Kuehne + Nagel’s overland business unit offers customers services that are not only reliable and secure but also pioneering – whether in the fields of groupage, less-than-truckload (LTL) and full truckload (FTL) or integrated into industry-specific supply chain solutions. The reach has been extended beyond Europe into the other world’s major economic regions. Through an acquisition in the United States in 2015, for instance, Kuehne + Nagel added intermodal activities to its product portfolio thereby expanding its offer for network customers.
Net turnover increased by 11.9 per cent in 2016 and gross profit improved by 7.3 per cent compared to the previous year. This favourable development can be attributed to the expansion of activities in and outside Europe, services for specific target groups and the consistent implementation of initiatives to increase efficiency.
In the European groupage business Kuehne + Nagel operates over 3,500 regular line hauls per week. The new procurement process is differentiated by market segment and supports the expansion of long-term partnerships with selected transport providers. In the future, customers will be able to book groupage shipments online via the KN FreightNet platform as well. This innovation was piloted in Germany in 2016 and the digital solution is due to be introduced Europe-wide within the current business year. In the LTL and FTL segment, Kuehne + Nagel has been collaborating with Transporeon since September 2016 and will be using the Transporeon digital platform to cooperate and connect with carriers across Europe. The new process allows Kuehne + Nagel to increase truckload factors, reduce environmental impact and improve efficiency for customers and partners. The platform solution has already been introduced in France and Luxembourg.
Industry-specific solutions are of strategic importance in the overland business unit. Customised services are offered for fairs and sports events as well as for the oil and gas industry. Demand for these activities is steadily increasing as is that for the production logistics solution developed for the automotive industry. Orders are up particularly for KN PharmaChain, and its dedicated network is being fully utilised. The industry-specific solutions in the overland business reinforce Kuehne + Nagel’s integrated service offering.
In overland, Kuehne + Nagel will continue to develop industry-specific services with added value based on its stable transport network. Other digitalisation initiatives will benefit all customer segments.