British automotive brands Jaguar and Land Rover have selected TNT Innight for distribution of spareparts and equipment throughout Germany with effect from June 29, 2009, and awarded DHL Exel Supply
Chain a contract for a pan-European in-bound supply chain solution.Under its contract, TNT Innight distributes the parts shipments of Land Rover from theEuropean storehouse in Flévy, France, which is operated by Caterpillar Logistics Services.Shipments of Jaguar are distributed across the country from the European stock in Großostheim,Germany. TNT Innight has also taken over the management of returns and cash on delivery servicesduring the day.
The reason for the selection of TNT Innight was the company’s good value for money as well asits international orientation. Additionally, TNT Innight was recommended by AGCO Ennery (Metz)after having had a successful cooperation for several years.
“Reliability and business size have both played a significant role for our decision for thetransport service provider,” explained Frank Meurer, Coordinator Parts & Logistics for Jaguarand Land Rover. “Another key factor was the European orientation of TNT Innight. In themedium-term, we would like to implement a single partner for distribution throughout Europe,therefore a purely national orientation of a service provider would not have made any sense.”
Jaguar and Land Rover both make use of night express distribution in order to benefit fromlonger time frames for the ordering process. The required spare parts for the “rush-order” as wellas “daily stock-order” are delivered within Germany from Tuesday to Saturday before 8 a.m.
“German retailers can thereby access any required spare parts in the morning when workstarts, even during the so-called “car-down” situation,” added Wolfgang Burgfeld, General ManagerVertical Market of TNT Innight.
The existing concept was optimised in advance in order to meet the individual demands of bothbrands. “Our customers expect a top quality service”, says Meurer. “We pass on this requirement toour transport service provider which needs to ensure high quality and reliability at distribution.After all, it concerns first-class premium and luxury products.” The concept includes specials suchas an additional IT interface for Jaguar which enables the employees of TNT Innight to record allshipments of the Jaguar European stock in Großostenheim. The new transport solution was implementedwithin four weeks despite the individual requirements.
At the same time, Jaguar and Land Rover have chosen DHL Exel Supply Chain for a pan-European,in-bound logistics solution, following the successful implementation of the UK parts collectionservice for the vehicle manufacturer in August 2008.
As part of the in-bound solution, DHL’s team based at the Jaguar and Land Rover facility inSolihull, near Birmingham, has focused on a number of areas to bring about greater visibility andcontrol throughout the supply chain. A container management team has reduced reverse logisticscosts by improved management of the pallet and container processes.
A new vendor management quality system has been introduced by DHL to investigate and solvedelivery issues across the supplier base. DHL’s supply chain management system has been integratedwith the Jaguar and Land Rover system to provide greater transparency and supply chain visibility.