Logistics operator hints at further acquisitions

Being prepared for the unpredictable
is one of the few constants in the
logistics industry.
And 2010 has provided its fair
share of surprises – in the form of the
volcanic ash cloud and the Transnet
strike, which impacted both air and
seafreight volumes.
“It’s challenges like these that
demonstrate the importance of
networks, global partners, a delicate
geographical split of trade routes,
and the ability to make quick
contingency plans,” says Neil Harris,
managing director of logistics
operator Freightit.
While Freightit used the recent
global economic slow down to focus
on increasing back-office efficiency,
servicing its customers and opening
new strategic accounts in anticipation
of recovery in the second quarter of
2010, in reality it was faced with the
impact on airfreight volumes of the
volcanic ash cloud and the crippling
effect on seafreight volumes of the
17-day Transnet strike. “But through
our set-up in Durban we delivered
all 29 of our containers within a week
of the strike being resolved.”
As volumes have increased,
airfreight rates have escalated through
the roof on the China-SA route, says
Harris. “Europe has also strengthened
its rates as everyone tries to make
up for lost time, particularly as the
World Cup bolsters volumes into the
country.”
Streamlining processes through
improved freight management systems
is crucial – and part of the motivation
behind Freightit’s recent investment in
the Core Freight system.
“It will further enhance speed
of quotations, processing of EDI
documentation and management
information,” said Harris who told
FTW the company would be looking
for acquisition opportunities in the
industry in the future.