May 17, 2020

XPO Logistics: delivering leading supply chain solutions

Logistics
Supply Chain
Sean Galea-Pace
2 min
XPO Logistics: delivering leading supply chain solutions
XPO Logistics is a leading logistics provider of supply chain solutions to some of the biggest companies globally.

Through its network, XPO helps custo...

XPO Logistics is a leading logistics provider of supply chain solutions to some of the biggest companies globally.

Through its network, XPO helps customers to manage their goods efficiently throughout their supply chains. At the top of its value proposition is a service-driven culture that connects its team worldwide. XPO serves a wide range of industries such as aerospace, agribusiness, automotive, chemical, consumer packaged goods, food and beverage, healthcare, industrial, technology and more.

Supply chain solutions

XPO is the second largest provider in North America with 100 million sq.ft in Europe. Its contract logistics expertise covers a wide range of goods for B2B and B2C channels, with a large presence in e-commerce. XPO manages the storage and fulfillment of SKUs for apparel, cosmetics, consumer electronics, food and beverages, appliances, consumer packaged goods, furniture, aerospace parts, chemicals, medical equipment and more. 

XPO also provides high-value add services such as kitting, packaging and personalisation, including reverse logistics. Its disciplined processes for returned merchandise includes inspections, refurbishment, recycling, disposal, refunding, warranty management and return-to-retail.

Advanced automation and analytics

XPO’s solutions are highly customised and integrate AI and machine learning for continuous improvement. The organisation has a focus on robotics, autonomous vehicles, automated sortation systems, drones and other cutting-edge technologies that speeds goods through the supply chain. XPO integrates these technologies as required for each proprietary WMx platform. Upon completion of the startup, managers use XPO Smart labour analytics to optimise productivity. XPO has also developed predictive analytics for demand forecasting, and other sophisticated BI analytics and customised KPIs. 

SEE ALSO:

XPO Direct

XPO Direct is a network of strategically placed XPO stockholding sites, cross-docks and last mile hubs used by multiple shippers at the same time. The solution was ideal for retailers, e-commerce firms and manufacturers as it can position inventories within two-day ground transportation to the vast majority of the US population. 

  • First Fulfillment as a Service (FaaS) model of its kind within the industry.

  • Offers consistent, national solutions at scale.

  • Provides warehouse space, labour and technology when and where it’s needed.

  • Reduces order-to-delivery time to end customers and to retail stores for replenishment.

  • Creates one last mile tracking number for end-to-end visibility of heavy goods.

  • Supported by other XPO services and capacity.

Did you know?

XPO Logistics featured in our Top 10 Logistics Brands in February's magazine. Click here to find out what other companies made our list!

For more information on procurement, supply chain and logistics topics - please take a look at the latest edition of Supply Chain Digital magazine.

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Jul 22, 2021

Uber Freight to Acquire Transplace in $2.2bn Deal

UberFreight
Logistics
supplychain
Acquisition
2 min
Uber Freight’s acquisition of Transplace will supercharge parent Uber’s move into logistics and supply chain

Uber Freight is to acquire logistics technology and solutions provider Transplace in a deal worth $2.25bn. 

The company will pay up to $750m in common stock and the remainder in cash to TPG Capital, Transplace’s private equity owner, pending regulatory approval and closing conditions. 

“This is a significant step forward, not just for Uber Freight but for the entire logistics ecosystem,” said Lior Ron, Head of Uber Freight, and former founder of the Uber-owned trucking start-up Otto.

Uber’s Big Play for Supply Chain


Transplace is one of the world's largest managed transportation and logistics networks, with 62,000 unique users on its platform and $11bn in freight under management. It offers truck brokerage and other capacity solutions, end-to-end visibility on cross border shipments, and a suite of digital solutions and consultancy services. 

The purchase is the latest move by parent company Uber, which launched as a San Francisco cab-hailing app in 2011, to diversify its offering and create new revenue streams in all transport segments.

Transplace said the takeover comes amid a period of “accelerated transformation in logistics”, where globalisation, shipping and transport disruption, and widespread volatility are colliding. 

Uber Freight plans to integrate the Transplace network into its own platform, which connects shippers and carriers in a dashboard that mirroring the intuitive experience found in its consumer vehicle booking and food ordering services. 

“This is an opportunity to bring together complementary best-in-class technology solutions and operational excellence from two premier companies to create an industry-first shipper-to-carrier platform that will transform shippers’ entire supply chains, delivering operational resilience and reducing costs at a time when it matters most,” said Ron. 

Frank McGuigan, CEO of Transplace, said the resulting merger will offer enhanced efficiency and transparency for shippers, and benefits of scale for carriers. “All in all, we expect to significantly reduce shipper and carrier empty miles to the benefit of highway and road infrastructures and the environment,” he added. 
 

History of Uber Freight


Uber Freight was established in 2017 and separated into its own business unit the following year. In 2019 the company had expanded across the entire continental US, established a headquarters in Chicago. Later that year it launched its first international division in Europe, initially from a regional foothold in the Nertherlands, and later moving into Germany. 



The logistics spinoff attracted a $500m investment from New York-based Greenbriar Equity Group in October 2020, and launched a new shipping platform for companies of all sizes in May, partly in response to a driver shortage in Canada.
 

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