Volkswagen Group of America, Chattanooga Operations' new plant in Chattanooga, Tenn., has awarded the vehicle processing and yard management business to Wallenius Wilhelmsen Logistics (WWL), a specialist in factory-to-dealer logistics. The new contract, it is believed, will lead to increased employment opportunities in the southeastern Tennessee region. WWL plans to hire up to an estimated 80 employees in order to expand plant operations and meet the facility's operational capacity. This is in addition to 171 employees at WWL's Smyrna, Tenn., location.
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outsource
Doosan Infracore Construction Equipment (DICE), a manufacturer of compact and heavy construction equipment, has teamed with procurement outsourcing specialist ICG Commerce in an attempt to drive significant cost savings across non-core spending. DICE is a global alliance that represents such brands as Doosan, Bobcat, Montabert, Portable Power and Geith. DICE will leverage ICG Commerce's purchasing category expertise, market intelligence and integrated infrastructure to help enable critical internal resources to focus on core competencies. If you're among the many companies that believe outsourcing is a dirty word, you may be missing out on significant opportunities for improving your supply chain operations.
Schenker Logistics Inc., a provider of logistics services, has signed a five-year contract to operate a third-party warehouse, a transportation management system (TMS) load center and provide lead logistics activities at Spirit AeroSystems' greenfield start up located in Kinston, N.C. Spirit is a supplier of commercial airplane assemblies and components, including fuselages, pylons, nacelles and wing components. Most companies just re-tender their current outsourced Logistics & Warehouse operations at the end of the contract term, which often does not yield the full cost and service benefits and opportunities offered by an effective tender process and does not sufficiently challenge the highly competitive market of Logistics Service Providers (LSPs). "In reality the market place and service capabilities of the LSPs will probably have changed over the current contract term and our experience shows that just re-tendering the same operation can provide cost savings in the region of 10% of annual spend" says Gideon Hillman FCILT. "The potential savings however are far greater" |
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