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f+h Intralogistics 5/2016

f+h Intralogistics 5/2016

GLOBAL BUSINESS

GLOBAL BUSINESS factories, thus leaving Brazil far behind. Today, with its production of 3.5 million cars (2015), Mexico is the seventh largest automobile manufacturer worldwide. They have their eye on the five million mark by 2020, which would then make them the fifth largest automobile-producing country in the world. Guido Gries and his team want to make a contribution to this goal. “Logistics is creating the foundation for globalized value chains, which, in turn, create more growth,” he says. Most of Dachser’s customers—both large companies and SMEs—want to make their mark on the attractive growth markets in Latin America and the US. “We can support them in Europe or Asia as they make their way there,” Gries says. As an international logistics provider, Dachser Americas can score with customers on markets in the Americas by providing end-to-end logistics, tailored solutions, and comprehensive one-stop services. For most of Dachser’s customers in Latin America, the US is their number one trade partner because it is the largest global economy and because an increasing number of US companies are relocating their production facilities closer to their home markets, i.e., away from Asia to the US and Latin America. “This so-called nearshoring is a trend among US customers,” Gries says. Argentina, Brazil, Chile, and Peru, which traditionally have had close trade relations with Germany and Spain and are key trade partners of the US and China, are also betting on this trend. “It’s an advantage for Dachser that it already has a presence on these markets and can provide services for the automotive suppliers, life sciences, and health care industries as well as for industrial goods and civil engineering.” Data that impact the world A new quality of value creation is that the global economy is more connected than ever. A recently published study by the McKinsey Global Institute “Digital globalization: The new era of global flows” shows that, for the first time, international data flows contribute more to global economic growth than the classic goods trade. According to the study, global flows of goods, capital, and data have increased global economic output by ten percent overall. In 2014, this corresponded to USD 7.8 trillion, of which USD 2.8 trillion resulted from international data flows, while only USD 2.7 trillion was generated by the movement of goods. In the international exchange of goods, services, finance, people, and data, the United States, Singapore, the Netherlands, and Germany top the global connectedness rankings. “International connectedness provides substantial opportunities for small and midsize companies,” the authors of the study conclude. “They can develop new markets and customer groups with relative ease using online platforms.” For example, around 50 million so-called micromultinationals are operating on Facebook. Of all the start-ups examined in the study, 86 percent are operating across borders. And 360 million people have already made online purchases in another country. Wednesday, May 4, 2016, Johannesburg, South Africa: A customer is visiting Dachser South Africa in Kempton Park. Econo- Heat wants everything—the right thing at the right place at the right time. For the Cape Town company, this is the formula that makes for satisfied customers. Econo-Heat is one of the market leaders for wall panel heaters and heating pads. Today, the company has twelve branch offices worldwide, providing direct supply to its retailers. In other countries, sales are being expanded through distributors. For years, the heating specialist has been utilizing a combination of Dachser Air & Sea Logistics and Dachser European Logistics. “Econo- Heat especially appreciates the tracking & tracing option available in European Logistics, which provides the company with precise information about the supplied units,” explains Thomas Krüger, Managing Director Air & Sea Logistics EMEA at Dachser. The units are delivered throughout Europe from a warehouse in the Dutch town of Waddinxveen in accordance with Econo-Heat’s requirements. The task for the logistics experts is both exciting and challenging. “As a result of the extremely volatile sea freight rates from Asia to Europe, capacity has been removed from this market and utilized in other markets instead, for example, transatlantic routes,” Krüger explains. At the same time, the seasonal peaks, for example, around the Chinese New Year, have recently been noticeably lower. According to Krüger one reason is that the order cycles of the major importers are changing. In the past, there were two customer catalogs, one in the winter and one in the summer, which contained any special offers. Today, there are usually four seasonal cycles, and special offers sometimes change on a weekly basis. “Customer demand is increasingly short-term, requiring logistics to be more and more flexible,” Krüger says. This is also noticeable in the air freight sector. “Customers are steadily being forced to adhere to certain deadlines although their production can’t keep up. For example, premium automakers don’t order the leather for the leather seats until the vehicle has been completely configured and ordered so that nothing more can be changed. This is usually four weeks prior to delivery,” Krüger explains. “As a result, the leather has to be shipped by air freight.” New smartphone models are also shipped by air freight worldwide on short notice because companies like Apple or Samsung want to take advantage of the first rush on the new devices. “World trade is moving closer and closer to customers and what they want,” Krüger maintains. “And that’s a good thing. For decades, Beaujolais Nouveau, a young French red wine, has been flown to its destinations in full charters so that it is available in stores punctually on the third Thursday in November when it officially goes on sale.” The home factory isn’t happening Where are digitalization and the possibilities that Industry 4.0 offers going to end up? Even though many economists are forecasting that 3-D printing will change on-demand production chains, especially in the automotive industry, and will eliminate trade with certain goods, digitalization should bring positive effects for the logistics industry. Cyrus de la Rubia, chief economist at HSH Nordbank AG, is convinced that “digitalization will enable value chains, in particular, to be made more efficient. In other words, digitalization and trade are complementary to one another.” In the long term, de la Rubia does not think that consumers producing their own products with 3-D printers and bailing out of customary supply chains will be a realistic option. On the UPo Entrepreneur Platform, he estimated the demand for imported goods and commodities to be undiminished, especially for emerging nations; “We are noticing a reduction in container transport in China, however, we see a moderate increase in bulk carriers and tankers. So a widespread decline or an end of trade is not likely by any means.” Photos: lead HHLA, others Dachser SE www.dachser.com Customer demand is increasingly short-term, requiring logistics to be more and more flexible Thomas Krüger, Managing Director Air & Sea Logistics EMEA at Dachser f+h Intralogistics 5/2016

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