KNFreshChain - Perishables Retail Update

9th January 2020

At the beginning of the new year, we start looking forward to what’s to come in the year ahead and considering the ways in which the industry is changing.

From blockchain technology to trade wars, from e-commerce to brick-and-mortar retailers, 2019 was a very ‘look into the future’ year, where disruptive technology came to the forefront to improve the online experience. With the increase of online shoppers around the world, enhancing technology has become crucial to drive online sales.

Ocado, whose technology deals have become more important than its original business of selling food online, has clearly stated that technology enabled them to win partnership deals with supermarket groups including Kroger in the US and Casino in France.

In February, Ocado and Marks & Spencer agreed a 1.5-billion-pound joint venture, signalling the end of Ocado’s long term supply agreement with Waitrose in September 2020. Internet grocery shopping has yet to take off in Japan, where consumers still often buy fresh produce on a daily basis. But growing numbers of working women and improved technology and logistics networks are expected to change that. Aeon supermarkets has hired Ocado to develop its e-commerce business, hoping to fend off rivals such as Amazon as more customers buy groceries online.

Plant-based foods continue to evolve and expand into more categories. In 2020, cauliflower will remain a top gluten substitute and oat will continue to gain traction as a creamy alternative milk to mix into your morning coffee. 2020 will bring new developments in and further solidification of organic, plant-based meat and cheese.

Regenerative agriculture is a relatively new concept aimed at combatting the strain that traditional farming practices put on the earth. Increasing the soil quality and fertility of the land not only helps the environment, but also allows the animals raised there to be healthier and happier. When you buy meat from farmers who practice regenerative agriculture, you are using your wallet to vote for better animal husbandry practices and more economically and environmentally sustainable farming practices.

Functional beverages and gut health continue to drive food choices in today’s consumer market. Consumption of on-the-go snacks continues to increase, while traditional meal preparation seems to lose more ground due to busy schedules. While snacks of the past can be unhealthy, the snacking of tomorrow consists of bite-size superfoods, healthy snack kits and subscription boxes.

As consumers explore special diets and move toward smaller eating occasions (away from traditional meals), they are often looking for snacks and drinks that pack more of a nutritional punch. Transparency and traceability is no longer a trend, but a demand. Consumers have become increasingly educated on the food supply chain, ingredients and the environmental impact of what they eat. Because of this, many brands are introducing source traceability into their packaging so that consumers can learn where exactly certain ingredients are sourced and how they are harvested.

With all these changes around the world, retail has proven to be very adaptable and has actively reinvented itself. Demanding consumers around the world have pushed the industry to put the customer in the centre of their decision-making alongside farmers and service providers.

Written by Goncalo Vieira, Kuehne + Nagel Manager Global Perishables

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Kuehne + Nagel wins Supply Chain Innovation Award with its Leonardo Helicopters UK partnership

5th November 2019

The Kuehne + Nagel Leonardo contract logistics team celebrated bonfire night with a bang as they picked-up the Award for Innovation at the Supply Chain Excellence awards in the Aerospace industry, making it two years in a row for Kuehne + Nagel in this category, following the food service contract logistics success of the Greene King partnership in 2018.

The team have completed a number of innovative projects to drive change in Leonardo’s Supply Chain with particular focus on improving the tracking and visibility of urgent ‘aircraft on ground’ (AOG) parts via the use of dynamic dashboard, productivity reporting, live GPS tracking and automated express packing systems.

Not only are some of these solutions ‘industry firsts’, they also provided the Customer with:

·       100% On-time delivery of Time Critical Parts, tracked globally within one metre;
·       60% packaging lead time reduction;
·       30% reduction in cost per delivery; and
·       3,100 hours per annum saved in the stock checking process.

Richard Smith, Kuehne + Nagel Aerospace Director commented: “This is another fantastic example of the strong collaborative relationship that the Kuehne + Nagel team have developed with Leonardo Helicopters. The potential of these projects has only been fully realised thanks to the close working relationship and shared strategic vision with our Customer to drive real innovation and change into the Leonardo supply chain.”

Jerry Prideaux, Leonardo’s Supplier Development Manager added, this is “A great example of what can be achieved between customer and supplier when both understand the importance of meaningful collaboration”

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Kuehne + Nagel’s new Overland hub wins best ‘New Facility’ at Logistics Awards

26th September 2019

Kuehne + Nagel  announced as the winner of the highly coveted New Facility (<150,000 sq ft) Award during the 5th annual Logistics Awards ceremony.

The Logistics Awards, which took place on 26 September 2019, celebrates excellence in the logistics and supply chain sectors and recognise the most impressive achievements throughout the industry over the last 12 months.

Kuehne + Nagel’s new Overland hub, located in the heart of the ‘Golden Triangle’, won the New Facility award for not only putting their customers at the heart of the business model but also offering a state-of-the-art Pharma facility while reducing carbon footprint where possible.

The Overland hub at East Midlands Gateway offers a complete Overland solution for customers, with the added benefit that 85% of the mainland UK population are accessible within four hours making Kuehne + Nagel more responsive to their customers’ demand.

Technology plays an important role in the design of the facility, as biometric scanning, ANPR cameras and airport style scanners were introduced to meet the TAPA A requirements for Kuehne + Nagel’s SecureChain product.

The new facility also has a dedicated temperature-controlled room for KN PharmaChain products.

Reducing environmental impact was key when designing the new facility, which features rainwater harvesting and motion-activated LED lighting. A travel plan to encourage car sharing was introduced, with priority parking for people who actively car share as well as other rewards along the way. The facility is also located next to a 50-acre Strategic Rail Freight Interchange (SRFI) which will help reduce the carbon footprint of goods by
using the rail network.

Kuehne + Nagel’s UK Overland Director Jim Hedderwick said: “We are very pleased to have won this award, as it shows the importance in investing in our infrastructure to support our customers and add value to their supply chains.”

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Huel takes off with Kuehne + Nagel

25 September 2019 | Kuehne + Nagel UK

This month started with the kick-off of an energetic partnership: Huel, a passionate producer of nutritionally complete food with minimum impact on animals and the environment has chosen Kuehne + Nagel UK for the picking, packing and distribution of their products out of the Wellingborough facility for customers in the UK. Further, Kuehne + Nagel manages airfreight and seafreight imports from Canada and China, and Puerto Rico to be added soon.

“The impact of e-commerce and consumer trends on the environment and the society as a whole are significantly increasing. Partnering with a company that has this focus at the core of its culture is particularly gratifying, says Dave Malone, Contract Manager e-commerce. We also see this as an excellent opportunity for us to demonstrate our ability to meet the needs of an agile and growing business, delivering innovative solutions and service excellence.”

“We are delighted to be working with Kuehne + Nagel. This is a company that has a global reach and can help us expand across the globe, offering a one-stop-shop for all our logistics needs. Their expansive e-commerce capability also provides a competitive advantage in the UK and Europe which will undoubtedly help with our growth plans”, says Neville Dobson, Head of Logistics for Huel.

In the last years, Kuehne + Nagel has been expanding its e-commerce services all over the globe. With KN OmniChain, Kuehne + Nagel combines the global scale of leading logistics organisation with the flexibility required in e-commerce, offering e-fulfilment solutions, last-mile deliveries and returns, cross-border as well as digital services.


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Kuehne + Nagel offers CO2 neutral transports as of 2020

23 September 2019

  • Proprietary big data applications enable CO2 reduction for customers
  • Kuehne + Nagel to be CO2 neutral for shipments in its network of transport suppliers by 2030
  • Expansion of environmental measures at the workplace

Schindellegi, CH, September 23, 2019 – By launching its Net Zero Carbon programme, Kuehne + Nagel actively contributes to the reduction of CO2 in transport and logistics worldwide. In addition to the continuous reduction of its own CO2 emissions, the company now offers its customers solutions for reducing the CO2 footprint of their supply chain. With the use of big data and new digital platforms, the selection of transport routes and modes can be optimised from a CO2 perspective.

As a pioneer in the industry, Kuehne + Nagel has also decided to proactively address the CO2 footprint of the transportation services performed by its suppliers – airlines, shipping lines and haulage companies. Kuehne + Nagel targets comprehensive CO2 neutralisation (Scope 3 of the Greenhouse Gas Protocol – GHG) by 2030. As a first step, all less-than-container-load (LCL) shipments will be CO2 neutral from 2020 onwards.

Kuehne + Nagel’s Net Zero Carbon programme leverages three fields of action: detection, reduction and compensation of CO2. The company has started its own nature projects in Myanmar and New Zealand and has invested in various nature-based CO2 compensation projects, where carbon is being taken from the atmosphere. The emission credits obtained are in accordance with the highest international standards.

Over the past years, Kuehne + Nagel has considerably reduced its own CO2 footprint and will continue to pursue its efforts. Ongoing training programmes maintain and expand the environmental awareness of employees. For example, video conferencing increasingly replaces business trips. Direct Kuehne + Nagel CO2 emissions (GHG Scope 1 and 2) that cannot be avoided will be fully compensated as of 2020.

Dr. Detlef Trefzger, Chief Executive Officer of Kuehne + Nagel International AG, comments: “As one of the leading logistics companies worldwide, we acknowledge the responsibility we have for the environment, for our ecosystem and essentially for the people. Today’s announcement is based on a package of measures to fight CO2 emissions and provide sustainable and innovative supply chain solutions – hand in hand with our suppliers and customers. We thus support the aim of the Paris agreement to limit global temperature rise to 1.5°C.”

Visit https://uk.kuehne-nagel.com/en_gb/top-links/net-zero-carbon/ for further information.

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