20


Issue 2 2012


///PALLETS


Pallet people push into Europe


With the pallet network concept now well established over here, many operators are trying to replicate their success in other European countries. But weaning our Continental cousins away from traditional groupage services is no easy task.


Pall-Ex presses on with its European expansion plan


The past couple of years have seen palletised freight distribution network Pall-Ex take great strides towards achieving its ambition of establishing the first Pan-European network, says Anand Assi, the project director in charge of European expansion. In an update on the network’s progress, he explained why Europe is proving so receptive to the notion of pallet networks.


There is no doubt that pallet


networks have been hugely successful in the UK, increasing operational efficiency, cutting costs


for hauliers and end


customers and lessening the environmental impact of the supply chain. However, for many countries on the Continent, it is still a relatively new concept. We developed a European


expansion strategy as we were confident that our tried and tested hub and spoke model could bring similar benefits to other parts of Europe, offering a viable alternative to the way that many countries currently handle freight. In many


areas, freight is presently moved on groupage


terms. It is held until a full load is accumulated, so delivery times are erratic. Rates are calculated on a ‘weight and dimension’ basis making it difficult to predict costs. Pallet networks offer a unitary


service with very specific service levels. The main differentiator is that instead of working on the traditional measure of dimensions and weights (which can become complicated and expensive


at times), pallet


networks offer customers a more specific service, determining a pallet footprint rate against differing


height and weight


dimensions – for example, full, half, quarter pallet heights. In addition, pallet networks


provide a strong “first and last mile” domestic solution, so that collections


and deliveries at


the end of the international line haul are handled appropriately. This, coupled with a very comprehensive track and trace and service level management system allowing consignments to be tracked


all the way to


the customer, allows for a competitive offering that


has


been well received. Pall-Ex Italia was our first


country partner, launched in 2009 and serves Italy from regional


hubs in Milan and


Naples. This was followed in June 2011 by Pall-Ex Iberia, in Madrid and serves Spain, Portugal and


the Balearic Islands where, for the latter, it is the only pallet network.


In December 2011,


Pall-Ex Romania was launched, Eastern Europe’s first ever first pallet network, operating from its strategically located hub in Sibiu. This year will see expansion


continuing at a similar pace and we will soon be announcing partnerships in other European countries. We have also actively launched the search for a principal national partner in Turkey, which, alongside Romania, will provide the burgeoning Asian manufacturing economies with a convenient, efficient and secure gateway from Asia to (and from) Europe. Germany, France, Benelux, Poland and Scandinavia are all still very much on our radar too. For many, expansion is actively in


discouraged the current


economic climate. However, our continuing success in Europe is testament to the fact that, if you have a model that presents a solution to a problem and delivers genuine benefits, growth is more than achievable.


Palletways rises


to the occasion for French baker


Bringing some French flair to the bakery business


The Palletways Group has won a new contract with high class bread- maker Beauchamp Foods. The contract has been awarded to the warehousing solutions operation Palletways Fulfilment, with Beauchamp Foods outsourcing its domestic warehousing and distribution function to the logistics firm’s national hub in Fradley Park. Palletways Fulfilment will use its 100,000sq ft facility to store, process orders, provide a pick and pack service, modify and re-work some of the manufacturer’s popular brands, such as the Le Français range of baguettes, petit pains and ready-to- bake butter croissants. Palletways Fulfilment will handle


receipt of product from France, with collection and distribution services provided by a subcontracted operation.


Palletways


Having stock located at the hub


itself allows


Beauchamp to action orders placed late in the day for next day delivery, an important advantage in a fast-moving consumer market. Palletways will use its ‘Webstock’ system to allow the food firm to monitor and manage all stock movements. Products will be distributed


nationally to a number of leading retail chains and wholesalers via Palletways’ 100-member, nationwide pallet delivery network. Managing director for


Beauchamp Foods, Iain Fergus, said: “As our products are perishable, we needed a logistics provider capable of handling a very fast turnover product with strict use-by-dates and Palletways Fulfilment provided the ideal solution.”


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