Think big! The port of New York is one of the most important in the world for DB Schenker. It is currently being modernized in an effort to accommodate larger ships and more cargo. A day in the life of the Ocean Freight specialists at DB Schenker.
Towering above the black hull like a rampart is a wall of white containers – order prevails at the stern of the “MSC Federica” on this stifling hot afternoon in Port Newark Container Terminal (PNCT).
Gantry wagons with flashing orange lights speed by on their way to the quayside, bringing the last few containers for loading. On the vessel’s port side, a pallet bearing food and other goods for the crew is hoisted up with a winch.
The “MSC Federica” is scheduled to depart in a matter of hours, after which she will head down the East Coast of the United States, through the Panama Canal and along the western coast of South America until she reaches Chile.
PNCT is one of six terminals that make up the Port of New York and New Jersey. For the most part, the Big Apple’s harbor facilities extend along the territory belonging to the southwesterly neighbor New Jersey. With a total transshipment volume of almost 5.5 million TEU in 2013, this is the third-largest container port in the USA behind the West Coast ports of Los Angeles and Long Beach. In a global ranking, New York City is listed in 25th place.
Consignments from DB Schenker attribute for around 64,000 TEU of the cargo handled here, and nearly two-thirds of that are imports. “New York is of tremendous importance to us for both import and export,” says Terry Donohoe, Head of Ocean Freight USA at Schenker Inc. Ocean freight plays such a significant role in New York that DB Schenker has built an Ocean Competence Center in Newark, New Jersey, and this is where a dedicated team of specialists handles all issues concerning transport operations on transatlantic routes.
It is of vital concern to the customers of Terry Donohoe and his team that the port of New York City and New Jersey is currently undergoing an extensive modernization program to ensure that it meets the demands of the future. Most recently, the port facilities had been unable to keep pace with the growth of the larger ports.
On the one hand, this was due to the fact that both the trans-Pacific routes and the traffic between Europe and Asia have gained even greater significance than the transatlantic business so crucial to New York. And, on the other hand, it was down to port infrastructure in the Big Apple: four of the six terminals, which together account for around 80 percent of the freight volume, can only be accessed by ships with a maximum capacity of 9,200 TEU. Very often, it is ships like the 4,000-TEU capacity “MSC Federica” which are processed here.
The reason is that in order to get to the four terminals in question, ships must pass under the Bayonne Bridge, a vital roadway between New York City and New Jersey. The steel arch construction, officially opened in 1931, is an imposing sight – and yet its air draft is too low for larger vessels. The roadway is now being raised considerably at a cost of almost one billion euros to the Port Authority. “That will provide a real boost to the port and also to DB Schenker’s business,” says Terry Donohoe. The terminals will then also be open to the Super-Post-Panamax class of ships with a container capacity of up to 12,500 TEU.
Construction work is scheduled to be complete by the end of 2015, quite possibly just at the right time for this will coincide with the opening of the newly widened Panama Canal. Far larger vessels than previously possible can then traverse the canal destined for New York: ships from South America and even from Asia. At present, Asian traffic primarily plays a role for the port as far as exports go, for example, on voyages to India through the Suez Canal.
Things are also happening at the New York terminals themselves, primarily at PNCT. Just a few hundred meters from the “MSC Federica” three new, red-coated container gantry cranes stand glistening in the sun. The trip, which brought them from Shanghai, lasted almost three months. They were transported on a special ship – standing upright, yet “legless” to ensure safe passage under the Bayonne Bridge. These almost 80-meter high behemoths were installed in May and are now ready to handle Super-Post-Panamax vessels.
In addition to the new equipment, the harbor basin has been dredged and deepened, and the freight yard located behind the terminal is undergoing extensive redevelopment work to improve its hinterland connections. In another project, a derelict site with old warehouses will be turned into additional facilities for transshipping containers by truck. This package of measures, totaling around 370 million euros, aims to ensure that by 2019 the terminal’s capacity is almost doubled to well over two million TEU.
The distance from PNCT to the offices of the New York-based ocean freight specialists at DB Schenker is only a few kilometers. The Transatlantic Ocean Competency Center employs a staff of around 50, whereas its transpacific counterpart in Vancouver, Canada, has 200 employees. A third center, which focuses on Latin America, has 30 members of staff based in Miami. “Our Ocean Competency Center concept is based on the strong belief that it is strategically important to provide specialized support and specific trade lane knowledge particularly to major customers,” says Donohoe.
In terms of tonnage, a brewing corporation is a major player for the New York office, which handles both exports and imports for its customer. The same goes for a pharmaceutical and consumer goods manufacturer. Other major industries include the machine tool sector and white goods as well as the retail trade and, primarily with regard to exports, the timber industry. Donohoe says, “When you support one of our major customers, you are dealing with him on a daily basis.” He knows exactly what this calls for: a big plus in times when deliveries are precisely scheduled even for those consignments that spend the main leg of their journey at sea. After all, large enterprises tend to keep their inventory levels low.
Regardless of whether the customer is a major player or a company that consigns only a handful of containers per month, since 2012 all bookings throughout North America have been handled by these three competency centers. In total, DB Schenker has more than 30 Ocean Freight branch offices located throughout the USA and Canada. “They remain in close contact with their customers, but the freight capacities for transatlantic consignments are booked from New York City,” says Donohoe.
Among other things, the central booking desks allow for improved carrier management, which pays off in emergency situations. “If, for example, a carrier in Chicago has a shortage of containers, then we here in New York have immediate access to alternative sources, without us and the customers having to compromise in terms of conditions.”
The work carried out at the booking desks exemplifies the fact that the ocean freight specialists at DB Schenker do a great deal more than simply handling transportation. “It is more and more about providing expertise,” says Terry Donohoe – for example, in the context of government regulations in the USA, which were significantly tightened following the events of September 11. “The customs authorities require comprehensive information on each shipment, even before the ship has actually departed.” This is dealt with by the Compliance Team in New York. Other countries often have specific provisions, and these are handled by specialists in the Route Development Team. Tasks that are playing an increasingly important role also include analyzing complete supply chains and implementing new solutions.
Transport, however, remains at the heart of the company’s business – and in the case of Ocean Freight, this also includes ensuring the most efficient hinterland connections. Managing the transport of part-load consignments by truck in New York City and throughout the United States is the primary job of DB Schenker. Admittedly, long distances to and from the container terminal are usually covered by rail. Traditionally, this is the responsibility of the carrier – as is transshipment in the port.
“Our business is primarily organizing the last mile by truck,” says Terry Donohoe. In actual fact, this last mile from the rail ramp to the recipient by truck can often be as long as several hundred miles. Transporting shipments across the United States highways is mainly the job of haulage companies who are contractually bound to DB Schenker. Very often, the “last mile” does not begin somewhere in the country’s heartland but in New York – more specifically: in Newark. The building complex which houses the Transatlantic Ocean Competency Center also comprises a warehouse featuring 20 truck-docks.
In emergencies, when weather conditions cause long delays for ships, the experts also organize transloading as an additional service. “This means that part-load traffic or even entire containers, which were originally scheduled to be forwarded by rail, are instead loaded onto trucks at the port and transported to the consignee. It’s faster,” says Donohoe.
On this sweltering hot day, everything proceeds as planned: two ocean freight containers are being loaded with boxes of cable drums and other equipment on behalf of an Israeli electronics wholesaler – awaiting transport to Israel. “This is what is known as a buyer’s consolidation: we are responsible for ensuring that the goods from the various suppliers are delivered to us by truck before they are consolidated and prepared for transshipment by sea,” Terry Donohoe explains. The packages have been surrounded by large air cushions to protect them from shock and vibration, and the two typically American long-hooded trucks are now ready to drive off – destination PNCT.
Growth stimuli for New York Although a global ranking lists the Port of New York and New Jersey in 25th place, the container port is the third-largest in the USA. As such, it is of extreme importance for DB Schenker. When the new Panama Canal opens in 2015, more ocean freight from the Far East could be routed via New York. As a result, and because ocean freight is still showing an upward trend, the terminals are currently undergoing modernization. One such example is Port Newark Container Terminal (PNCT), which is responsible for around 20 percent of New York’s transshipment volume and which has recently been equipped with larger container gantry cranes weighing 1,500 metric tons. DB Schenker’s operational activities at PNCT include transporting imported freight by truck to the customers, quite a number of whom are located several hundred miles in the hinterland.
The people working at DB Schenker Ocean Freight are ambitious professionals – whether they are based in New York as specialists managing transports across the Atlantic or in Hamburg organizing deliveries from India and China to the living accessories retailer Boltze or indeed anywhere around the world at one of well over 100 maritime freight locations. They all ensure that DB Schenker continues to enjoy above-average growth. And yet, those who strive for success today need more than just ambition, commitment and good handling: customized solutions for key industries are as much a part of this as an IT system that optimally maps processes for customers, service providers and customs authorities. Furthermore, intelligent handling of the market’s sharp volatility is also required. Although freight rates in general are under pressure owing to an overcapacity of tonnage, they recurrently experience a spike once demand on a route rallies. To counter this, DB Schenker initiates planning at an early stage with its customers and fosters relationships based on partnerships with the shipping companies.
Customer orientation at its best in the Big Apple DB Schenker has a team of around 50 employees in New York specializing in transatlantic transports. Terry Donohoe, a native Briton, is responsible for the ocean freight activities of DB Schenker across the USA.
Shorter time slots, larger vessels Lay times in ports must be kept as short as possible, which is why the containers aboard the “MSC Federica” are discharged quickly. With its capacity of 4,000 TEU, the vessel belongs to a smaller class of freighters. By the end of 2015 the port plans to accommodate 12,500-TEU container giants. Apart from the Mediterranean Shipping Company, DB Schenker cooperates with around 20 other carriers at the Port of New York and New Jersey, among them Maersk, CMA CGM and Hapag Lloyd.
PNCT is one of six terminals that make up the Port of New York and New Jersey. For the most part, the Big Apple’s harbor facilities extend along the territory belonging to the southwesterly neighbor New Jersey. With a total transshipment volume of almost 5.5 million TEU in 2013, this is the third-largest container port in the USA behind the West Coast ports of Los Angeles and Long Beach. In a global ranking, New York City is listed in 25th place.
Consignments from DB Schenker attribute for around 64,000 TEU of the cargo handled here, and nearly two-thirds of that are imports. “New York is of tremendous importance to us for both import and export,” says Terry Donohoe, Head of Ocean Freight USA at Schenker Inc. Ocean freight plays such a significant role in New York that DB Schenker has built an Ocean Competence Center in Newark, New Jersey, and this is where a dedicated team of specialists handles all issues concerning transport operations on transatlantic routes.
It is of vital concern to the customers of Terry Donohoe and his team that the port of New York City and New Jersey is currently undergoing an extensive modernization program to ensure that it meets the demands of the future. Most recently, the port facilities had been unable to keep pace with the growth of the larger ports.
On the one hand, this was due to the fact that both the trans-Pacific routes and the traffic between Europe and Asia have gained even greater significance than the transatlantic business so crucial to New York. And, on the other hand, it was down to port infrastructure in the Big Apple: four of the six terminals, which together account for around 80 percent of the freight volume, can only be accessed by ships with a maximum capacity of 9,200 TEU. Very often, it is ships like the 4,000-TEU capacity “MSC Federica” which are processed here.
The reason is that in order to get to the four terminals in question, ships must pass under the Bayonne Bridge, a vital roadway between New York City and New Jersey. The steel arch construction, officially opened in 1931, is an imposing sight – and yet its air draft is too low for larger vessels. The roadway is now being raised considerably at a cost of almost one billion euros to the Port Authority. “That will provide a real boost to the port and also to DB Schenker’s business,” says Terry Donohoe. The terminals will then also be open to the Super-Post-Panamax class of ships with a container capacity of up to 12,500 TEU.
Construction work is scheduled to be complete by the end of 2015, quite possibly just at the right time for this will coincide with the opening of the newly widened Panama Canal. Far larger vessels than previously possible can then traverse the canal destined for New York: ships from South America and even from Asia. At present, Asian traffic primarily plays a role for the port as far as exports go, for example, on voyages to India through the Suez Canal.
Things are also happening at the New York terminals themselves, primarily at PNCT. Just a few hundred meters from the “MSC Federica” three new, red-coated container gantry cranes stand glistening in the sun. The trip, which brought them from Shanghai, lasted almost three months. They were transported on a special ship – standing upright, yet “legless” to ensure safe passage under the Bayonne Bridge. These almost 80-meter high behemoths were installed in May and are now ready to handle Super-Post-Panamax vessels.
In addition to the new equipment, the harbor basin has been dredged and deepened, and the freight yard located behind the terminal is undergoing extensive redevelopment work to improve its hinterland connections. In another project, a derelict site with old warehouses will be turned into additional facilities for transshipping containers by truck. This package of measures, totaling around 370 million euros, aims to ensure that by 2019 the terminal’s capacity is almost doubled to well over two million TEU.
The distance from PNCT to the offices of the New York-based ocean freight specialists at DB Schenker is only a few kilometers. The Transatlantic Ocean Competency Center employs a staff of around 50, whereas its transpacific counterpart in Vancouver, Canada, has 200 employees. A third center, which focuses on Latin America, has 30 members of staff based in Miami. “Our Ocean Competency Center concept is based on the strong belief that it is strategically important to provide specialized support and specific trade lane knowledge particularly to major customers,” says Donohoe.
In terms of tonnage, a brewing corporation is a major player for the New York office, which handles both exports and imports for its customer. The same goes for a pharmaceutical and consumer goods manufacturer. Other major industries include the machine tool sector and white goods as well as the retail trade and, primarily with regard to exports, the timber industry. Donohoe says, “When you support one of our major customers, you are dealing with him on a daily basis.” He knows exactly what this calls for: a big plus in times when deliveries are precisely scheduled even for those consignments that spend the main leg of their journey at sea. After all, large enterprises tend to keep their inventory levels low.
Regardless of whether the customer is a major player or a company that consigns only a handful of containers per month, since 2012 all bookings throughout North America have been handled by these three competency centers. In total, DB Schenker has more than 30 Ocean Freight branch offices located throughout the USA and Canada. “They remain in close contact with their customers, but the freight capacities for transatlantic consignments are booked from New York City,” says Donohoe.
Among other things, the central booking desks allow for improved carrier management, which pays off in emergency situations. “If, for example, a carrier in Chicago has a shortage of containers, then we here in New York have immediate access to alternative sources, without us and the customers having to compromise in terms of conditions.”
The work carried out at the booking desks exemplifies the fact that the ocean freight specialists at DB Schenker do a great deal more than simply handling transportation. “It is more and more about providing expertise,” says Terry Donohoe – for example, in the context of government regulations in the USA, which were significantly tightened following the events of September 11. “The customs authorities require comprehensive information on each shipment, even before the ship has actually departed.” This is dealt with by the Compliance Team in New York. Other countries often have specific provisions, and these are handled by specialists in the Route Development Team. Tasks that are playing an increasingly important role also include analyzing complete supply chains and implementing new solutions.
Transport, however, remains at the heart of the company’s business – and in the case of Ocean Freight, this also includes ensuring the most efficient hinterland connections. Managing the transport of part-load consignments by truck in New York City and throughout the United States is the primary job of DB Schenker. Admittedly, long distances to and from the container terminal are usually covered by rail. Traditionally, this is the responsibility of the carrier – as is transshipment in the port.
“Our business is primarily organizing the last mile by truck,” says Terry Donohoe. In actual fact, this last mile from the rail ramp to the recipient by truck can often be as long as several hundred miles. Transporting shipments across the United States highways is mainly the job of haulage companies who are contractually bound to DB Schenker. Very often, the “last mile” does not begin somewhere in the country’s heartland but in New York – more specifically: in Newark. The building complex which houses the Transatlantic Ocean Competency Center also comprises a warehouse featuring 20 truck-docks.
In emergencies, when weather conditions cause long delays for ships, the experts also organize transloading as an additional service. “This means that part-load traffic or even entire containers, which were originally scheduled to be forwarded by rail, are instead loaded onto trucks at the port and transported to the consignee. It’s faster,” says Donohoe.
On this sweltering hot day, everything proceeds as planned: two ocean freight containers are being loaded with boxes of cable drums and other equipment on behalf of an Israeli electronics wholesaler – awaiting transport to Israel. “This is what is known as a buyer’s consolidation: we are responsible for ensuring that the goods from the various suppliers are delivered to us by truck before they are consolidated and prepared for transshipment by sea,” Terry Donohoe explains. The packages have been surrounded by large air cushions to protect them from shock and vibration, and the two typically American long-hooded trucks are now ready to drive off – destination PNCT.
Growth stimuli for New York Although a global ranking lists the Port of New York and New Jersey in 25th place, the container port is the third-largest in the USA. As such, it is of extreme importance for DB Schenker. When the new Panama Canal opens in 2015, more ocean freight from the Far East could be routed via New York. As a result, and because ocean freight is still showing an upward trend, the terminals are currently undergoing modernization. One such example is Port Newark Container Terminal (PNCT), which is responsible for around 20 percent of New York’s transshipment volume and which has recently been equipped with larger container gantry cranes weighing 1,500 metric tons. DB Schenker’s operational activities at PNCT include transporting imported freight by truck to the customers, quite a number of whom are located several hundred miles in the hinterland.
The people working at DB Schenker Ocean Freight are ambitious professionals – whether they are based in New York as specialists managing transports across the Atlantic or in Hamburg organizing deliveries from India and China to the living accessories retailer Boltze or indeed anywhere around the world at one of well over 100 maritime freight locations. They all ensure that DB Schenker continues to enjoy above-average growth. And yet, those who strive for success today need more than just ambition, commitment and good handling: customized solutions for key industries are as much a part of this as an IT system that optimally maps processes for customers, service providers and customs authorities. Furthermore, intelligent handling of the market’s sharp volatility is also required. Although freight rates in general are under pressure owing to an overcapacity of tonnage, they recurrently experience a spike once demand on a route rallies. To counter this, DB Schenker initiates planning at an early stage with its customers and fosters relationships based on partnerships with the shipping companies.
Customer orientation at its best in the Big Apple DB Schenker has a team of around 50 employees in New York specializing in transatlantic transports. Terry Donohoe, a native Briton, is responsible for the ocean freight activities of DB Schenker across the USA.
Shorter time slots, larger vessels Lay times in ports must be kept as short as possible, which is why the containers aboard the “MSC Federica” are discharged quickly. With its capacity of 4,000 TEU, the vessel belongs to a smaller class of freighters. By the end of 2015 the port plans to accommodate 12,500-TEU container giants. Apart from the Mediterranean Shipping Company, DB Schenker cooperates with around 20 other carriers at the Port of New York and New Jersey, among them Maersk, CMA CGM and Hapag Lloyd.
Prosperous Predictions for 2015 – look towards e-commerce
The huge boom in e-commerce has led to strong increases in global trade. Companies providing support services to e-commerce, such as logistics providers, are seeing the demand for their services increase rapidly along with the companies that are selling consumer goods on-line.
The recovery in the United States is gaining momentum and jobs are being created at an accelerated pace. As the largest consumer group in the world, the recovery of the United States leads to strong demand growth in global trade as well.
Similarly, Abeomics – Prime Minister Shinzo Abe’s bold policies to jumpstart the Japanese economy – start to show signs that it’s indeed working. This leads to developing countries such as China and India being able to continue growth pace in order to feed the demand from USA and Japan. Add to this the lower gasoline costs and you have huge increases in capital available.
Innovations across the board to develop and expand.
Financial innovation such as bitcoins and Alipay’s Yu’e Bao fund made their way onto the global stage. Will these more innovative tools for banking become embedded in the widespread global economy? – That’s anyone’s guess. But where there is a need – that need will be filled by someone.
As the global economy improves, so does the property sector. Good logistics needs warehousing and distribution centers as well as transportation ports and modernization of existing ports. 2015 looks very bright for logistics as well as companies that expand e-commerce.
The future is now. Or at least, it will be here in October. In the 1989 sci-fi comedy “Back to the Future Part II,” characters Marty McFly, Doc Brown and Jennifer use the famous outfitted DeLorean time machine to travel from the year 1985 into the future. The date? Oct. 21, 2015. DB Schenker is very keen to hear from any company that needs to ship hover boards, automatic shoe-laces or flying cars.
Sometimes Moving Massive Components Requires a Velvet Touch
How do you move a 175,000 lbs (79,400 kg) industrial kiln and two of its 15,000 lbs (6,750 kg) combustion chambers from their custom manufacturer in Germany to their final destination in Akron, Ohio? You hire the right logistics team.
A Schenker customer for over 20 years, Rockwell Automation, Inc. is a global provider of industrial automation solutions. Rockwell employs over 22,000 people and serves customers in more than 80 countries worldwide. Rockwell’s solutions include engineered systems that range from custom-designed, bundled components to large, turnkey system integration projects.
Rockwell Automation had designed a custom manufacturing plant for their customer Vadxx Energy Ltd. Vadxx Energy is a cutting edge technology company developing a commercial scale waste to energy plant in Akron, OH. When completed, the plant will be capable of converting 60 tons/day of waste plastic to fuel. Rockwell Automation sourced the rotary kiln, which is a key piece of equipment for the plant, out of Germany.
The massive industrial kiln component is over 80 feet (24.4m) long and 12 feet (3.66m) high and wide. It had to be trucked with special permits and an escort from its birthplace in Wegbeg, Germany to a packer in Duisberg who shrink-wrapped it (over two days).
From there, it was put on a barge to Antwerp, Belgium’s ocean port. Despite its size, the kiln is delicate and Rockwell insisted it be handled as little as possible. Special connectors and ropes were installed to allow it to remain horizontal as it was lifted from one conveyance to another. Just taking the $1-million plus (USD) kiln off the truck and barge took two cranes and steady hands at the controls.
Because we were asked to handle the kiln as little as possible, we had to find the shortest direct transit route. Shipping it by ocean to a port on the U.S. East Coast would mean trucking it through several states requiring special permits and escorts for the oversize load.
“We chose an all water direct service, shipping from Antwerp to the port in Cleveland, Ohio, with Spliethoff’s Cleveland Europe Express,” says Lars Traner, Branch Manager from Schenker’s Cleveland office, who pulled this shipment together. “This service ships direct through the St. Lawrence Seaway and the Great Lakes to the Cleveland port. From there, it was taken by truck to the end customer’s door in Akron.”
“Not only did Schenker ship the kiln and combustion chambers with as little handling as possible, they saved money and time by going all water direct to Cleveland from Antwerp,” adds Tom Mauerer, Manager, International Transportation, Rockwell Automation. “It would have been a costly move over land if they had to ship to an East Coast port and truck the components to Akron from there. It was a Herculean effort handled with a lot of finesse.”
COAC Seeks Input on Trade Operations
Customs and Border Protection published CSMS 14-000392 to help spread the word that the Commercial Operations of Customs and Border Protection (COAC) is kicking off its 2014 Trade Efficiency Survey. The survey will be open until Wednesday, July 23rd. To access the survey, please click here. COAC Survey
COAC is an advisory committee that allows members of the trade and the government to work as partners on issues that affect trade and security programs. COAC is interested in your feedback regarding the import/export process. Information gathered in this survey will be used to obtain facilitation priorities by industry, assess the economic impact of specific trade initiatives, and assist in creating metrics that explain the key benefits of partnerships with U.S. Customs and Border Protection (CBP) and its Partner Government Agencies (PGA).
COAC is asking both importers, exporters, and their service providers to respond to this survey. This survey allows for multiple responses from the same entity. The survey consists of multiple choice questions that request information on a number of issues, including exam rates, estimated cost of doing business, time expenditures, satisfaction level with CBP and PGAs. The survey takes only 20 minutes to complete. Results will be shared in upcoming COAC meetings.
CBP Issues Guidance on Potential West Coast Port Disruption
As the contract between the International Longshore and Warehouse Union and the Pacific Maritime Association came to an end on June 30, 2014, Customs and Border Protection (CBP) published guidance to the trade community with detailed instructions on how to handle potential shipment and entry issues. The contract negotiations cover 29 U.S. west coast ports. Operational disruptions at these ports could encourage steamship lines to alter their routes.
CBP published Cargo Systems Messaging Service (CSMS) 14-000365 to provide instructions to members of the trade community on how to handle manifest, ISF, and entry filing changes that would be driven by one of six potential carrier options. The current message, CSMS 14-000393 notes that priority processing will be granted to member of the Customs-Trade Partnership Against Terrorism (C-TPAT) program, and provides additional instructions in the event the entry is subject to U.S. Food and Drug Administration (FDA) requirements.
- A vessel could divert to a foreign port and be discharged there.
- A vessel could divert to a foreign port and not be discharged but transferred to another conveyance (i.e. barge) for arrival and discharge at the original intended U.S. port.
- A vessel could divert to another U.S. west coast port and discharged.
- A vessel could divert to another U.S. west coast port and not be discharged but return to its original intended port.
- A vessel could divert to a gulf or east coast port.
- A vessel could rest at anchor and not divert.
DB Schenker is monitoring the situation and preparing to make all adjustments necessary to accommodate potential disruptions and diversions. Please contact your local DB Schenker office if you have any questions regarding how your shipments may be affected.
DB Schenker Hires Randy Creel to Head Automotive Logistics Business, the Americas
DB Schenker today announced the appointment of Randy Creel to Head, Vertical Market, Automotive, the Americas. From his base in Boston, Mr. Creel will lead DB Schenker’s Automotive vertical market group throughout North and South America.
Prior to joining DB Schenker, Mr. Creel was with the Ford Motor Company for 14 years, most recently as Global Strategy and Planning Manager for the Ford Customer Service Division (FCSD). Before that, he spent nine years in China as Director of the Parts Supply and Logistics division of Ford’s Asia Pacific region based in Shanghai. He also served as Director, Service Parts Purchasing, and director, Service Purchasing & Logistics, at the China Emerging Market Sourcing Office, which he established in 2005.
“I had worked with the DB Schenker automotive logistics team as a customer for many years,” says Randy. “I was impressed with their global coverage through 2,000 offices around the world, but more importantly, their best-in-class performance and the DB Schenker team’s ability to not only attract high level customers, but also keep them for many years.”
“You don’t often come across candidates with this high level of expertise, energy and discipline,” adds Malcolm Heath, CEO Schenker, Inc. “Randy brings many years of strategic logistics planning and execution to his new role at DB Schenker, Automotive. We’re very fortunate that he has joined our group and look forward to a successful future together.”
Prior to joining Ford, Mr. Creel held quality engineering positions at SPX and Johnson Controls. He also spent over ten years in the U.S. Army, primarily as a logistics officer, including advanced training in logistics and petroleum management. In the early 1990s, he was a Logistics Planning and Support Officer to General David Petraeus (Retired). Mr. Creel was also a U.S. Army Ranger.
Canadian Shipper magazine awards Schenker of Canada the 2014 Shipper’s Choice Award and Carrier of Choice Award
Schenker of Canada Limited has been awarded the Shipper’s Choice and Carrier of Choice Award for 2014. Schenker of Canada has qualified for the award in every year since 2002. The Carrier of Choice distinction is reserved for carriers who have won the award for 5 or more consecutive years.
DB Schenker Enjoying a Long-Term Relationship with Community Giant
The H.Y. Louie group of companies is the second-largest private company on Canada’s West Coast. It includes a variety of companies including for example, London Drugs, the IGA grocery chain in British Columbia, a wholesale division that supplies independent grocery stores, London Air Services (LAS) and the Sonora Resort where an all-inclusive overnight stay will get you there by LAS helicopter and could set you back over $1,000 per day. The company was founded in 1903 and is based in Burnaby, British Columbia, Canada.
“We’re proud of our 20-year history with the H.Y. Louie companies,” says Arnold da Silva, Executive Vice President of, Schenker of Canada Limited and also Head of Ocean Freight, Region Americas – “We handle all customs brokerage for London Drugs, help get parts and complete aircraft across the border for London Air Services, and even help the exclusive Sonora Resort get fresh produce and specialty items that their celebrity guests can enjoy during their stay.”
“We have to be ready 24/7, 365 days a year for London Air Services in particular,” adds Kevin Haines, Schenker of Canada Customs Compliance Services Manager. “As a significant charter aircraft supplier for British Columbia they can’t have aircraft on the ground waiting for key emergency parts, so it’s our job to make sure the required replacements get to their planes without delay.”
London Air Services was created after the Chair Mr. Brand Louie was stranded on the tarmac in Chicago, waiting hours for an airline to find a crew. Though his meeting lasted only five hours, he had spent three days on flights and layovers. How was that efficient? He immediately set out to create an alternative—a productive, efficient, smart travel alternative. Wynne Powell recently retired President & CEO of London Drugs crunched the numbers and determined that the “business time poverty” was creating a business opportunity. In retirement Wynne remains as President & CEO of London Air and Sonora Resorts.
Since 1999, London Air Services has grown from a single corporate jet to a diverse fleet of aircraft. The company has flourished into the service Mr. Powell envisioned: smart, efficient travel for the busy executive.
“Each aircraft in the LAS fleet has been hand-picked for efficiency, comfort, and optimal safety,” observes Mr. Powell, president and CEO of LAS. “Our Learjets and Challengers can take you around the world in a moment’s notice and our helicopters can fly in virtually any weather condition to the most remote sites. That’s the same kind of top notch, hands-on service we expect from DB Schenker and that’s what we get.” When we have a $30 million aircraft on the ground waiting for a part we can depend on DB Schenker’s professional and dedication to get that part to us fast.
From humble beginnings in the early 1900’s to the powerhouse it is today, H.Y. Louie continues to grow and prosper, with DB Schenker keeping things running smoothly in the background.
Schenker of Canada Limited Named Official Logistics Supplier of TORONTO 2015 Pan Am/Parapan Am Games
TORONTO December 9, 2013 – More than a million items, from folding tables and chairs to basketballs, trampolines and kayaks, will need to be transported and carefully moved off trucks at more than 50 venues for the TORONTO 2015 Games. The company behind the massive move will be Schenker of Canada Limited, the Canadian arm of DB Schenker.
Named the Official Logistics Supplier of the Pan Am/Parapan Am Games, Schenker of Canada will provide 6,968 square metres (75,000 square feet) of warehouse space, warehouse operations (including staff and equipment), freight transportation and freight distribution operations, venue and Athletes’ Village logistics operations, as well as customs clearance and freight forwarding.
Part of a global enterprise, DB Schenker has extensive experience in the provision of logistics services for the International Paralympic Committee and several National Olympic Committees at major international sporting events, including the Sochi, London, Vancouver and Beijing Olympic and Paralympic Games. In Canada, the company has worked with Bobsleigh Canada Skeleton, Cross Country Canada and the Canadian Cycling Association to ensure their equipment gets to events across the country and around the world.
“As the Official Logistics Supplier to the TORONTO 2015 Games, Schenker of Canada will play a major role in delivering the largest international multi-sport Games ever held in this country,” said Eric Dewey, chief executive officer of Schenker of Canada Limited.
“With 1,400 employees and more than 40 branches, we’re a leading logistics provider in Canada and our DB SCHENKERsportsevents team has had great success working on sports events here in Canada,” he said. “Our team is committed to providing logistics support and services at all times, ensuring athletes, officials and Games’ staff have everything they need to make these the best Pan Am/Parapan Am Games ever.”
Employees at Schenker of Canada’s corporate office were on hand for the partnership announcement today, along with officials from the TORONTO 2015 Pan Am/Parapan Am Games Organizing Committee (TO2015).
Staging the largest international multi-sport Games ever held in Canada — with 51 sports, 7,500 athletes and 50-plus competition and non-competition venues — will require twice the number of products used during the Vancouver 2010 Olympic and Paralympic Winter Games. And, with competitions in 15 municipalities stretching from Minden to Welland, Caledon to Oshawa, Schenker of Canada will travel 80,000 to 100,000 distribution kilometres in total by the time the Games end in August 2015.
Twenty-five per cent of the roughly one million items Schenker of Canada will handle will go to the CIBC Pan Am/Parapan Am Athletes’ Village in downtown Toronto. The company will also pick up the equipment and luggage of athletes at Toronto Pearson International Airport, and transport it to and from the village.
“We’re extremely fortunate to have a company with the expertise and experience of Schenker of Canada coming on board to help us deliver the Games,” said Ian Troop, chief executive officer of TO2015. “A great logistics team means our athletes, officials, volunteers and staff can perform with ease and confidence when the world is watching in 2015. The importance of Schenker of Canada’s role leading up to and during the Games cannot be underestimated.”
Fast facts on logistics for the TORONTO 2015 Pan Am/Parapan Am Games:
- 1,000,000 items with 5,000 stock-keeping units (SKUs) to keep track of them in the warehouse.
- 6,250 folding tables (stretched end to end would run the entire length of the Pan Am equestrian cross-country course).
- 22,500 folding chairs (the equivalent of 12 fully loaded 16-metre tractor trailers).
- 7,500 metres (25,000 feet) of barrier tape (almost 14 times the height of the CN Tower).
- 7,600 beds and mattresses.
- 950 pairs of track spikes.
- 920 swimsuits.
- 700 wheelchairs.
- 400 bicycles.
- 250 boats (sailing, canoe/kayak, rowing).
Schenker of Canada joins previously announced members of the TORONTO 2015 sponsor family, including: Lead Partner CIBC, Premier Partners Chevrolet Canada, CISCO and Loblaw Companies Limited, Opening Ceremony Creative Partner Cirque du Soleil, as well as Official Suppliers Beanfield Metroconnect, Pattison Outdoor Advertising, FUSE Marketing Group, McKesson Canada, Royal Canadian Mint, Toronto Pearson International Airport, the Toronto Star, and Official Broadcaster CBC/Radio-Canada.
About DB Schenker in Canada
Schenker of Canada Limited started operations in 1953, in just over half a century our business has grown to include over 40 branches and 1,400 employees. Today, the company is one of the top Integrated Logistics Service Providers in Canada.
Outside of Canada we are equally strong. Our global enterprise has annual sales of 19 billion euros, with 94,600 employees and 2,000 offices around the world. DB Schenker is one of the world’s leading providers of integrated logistics services, offering land operations, air and ocean freight as well as comprehensive contract logistics solutions and global supply chain management from a single source. DB Schenker is the Transport and Logistics Division of Deutsche Bahn, the German Railways.
About TO2015
The TORONTO 2015 Pan Am/Parapan Am Games Organizing Committee (TO2015) is tasked with the responsibility of planning, managing and delivering the Games. Its mission is to ignite the spirit through a celebration of sport and culture. The TORONTO 2015 Pan American Games will take place July 10–26 and the Parapan American Games August 7–14.
The 2015 Games are funded by the Government of Canada, the Province of Ontario, as well as other partners and sponsors. CIBC is the Lead Partner of the Games.
DB Schenker Achieves Highest Level of Transported Asset Protection Association Accreditation
(Toronto, Canada, March 17, 2014)
DB Schenker’s facility at Airway Drive in Mississauga, Ontario has officially achieved the highest level of Transported Asset Protection Association (TAPA) accreditation. The external certification body SGS performed the audit and certified DB Schenker. SGS is the world’s leading inspection, verification, testing and certification company.
Accreditation involved rigorous auditing of DB Schenker’s security infrastructure and warehouse facility at 3210 Airway Drive – a multi-modal HUB for the region handling air, ocean and ground cargo. This is the first DB Schenker facility in Canada to achieve the accreditation.
According to Eric Dewey, President and CEO, Schenker of Canada Limited: “TAPA ‘A’ certification underlines our commitment to providing a safe and secure facility for our customer’s goods and gives us a competitive advantage when dealing with the technology industry as we continue to grow in this sector. This achievement will benefit all of our freight forwarding modes and will assist in our growth efforts.”
“A fundamental TAPA objective is to affect positive change in the security practices of the freight transportation and insurance communities,” adds David Wilt, Chairman, TAPA, the Americas. “Major freight service providers are moving toward TAPA-recognized security standards for the care and handling of freight and are recognizing the inherent value of doing so.”
TAPA Freight Security Requirements (FSR) have been established to ensure the safe and secure in-transit storage and warehousing of any TAPA member’s assets throughout the world. The FSR specifies the minimum acceptable standards for security throughout the supply chain and the methods to be used in maintaining those standards. The FSR outlines the process and specification for suppliers to attain TAPA certification for their facilities and transit operations. It is the intention of TAPA members to select suppliers that meet or exceed TAPA certification requirements. The successful implementation of the FSR is dependent upon suppliers, TAPA certified auditors and buyers working in concert.
Transported Asset Protection Association (TAPA) is an association of security professionals and related business partners from high technology and high value companies who have organized for the purpose of addressing the emerging security threats that are common to the high value industry supply chain. For more information, go to http://www.tapaonline.org/.
Sustainability
Ecology and economy in harmony
Embracing the globe, while caring for the environment
DB Schenker sees no contradiction in ecology and economy, which is why DB’s logistics specialists prefer solutions that satisfy both the customer’s economic needs and their own ecological demands when planning their operations.
DB Schenker takes its responsibility for the environment very seriously. Sustainability is an integral part of the corporate philosophy, it is practiced and constantly being developed. In the development of their products and services, for example, the logistics specialists focus on innovation and invest in new environmentally sound logistics solutions and technologies.
Proving environmental management
Environmental management can be measured, with the result that today all DB Schenker country organizations in have received DIN ISO 14001 certification. The goal is have all the country organizations certified worldwide.
Environmental protection – an image factor
As a company’s environmental behavior is increasingly developing into a corporate image factor, DB Schenker is significantly improving your ecological performance. Deutsche Bahn’s goal is now to bring about a reduction in specific CO2 emissions of at least a further 20 percent by 2020 compared to 2006.
Schenker Boosts ISO Certified Facilities to 39!
As of February, 39 US Schenker, Inc. facilities have been awarded the ISO 14001 certification. Just one year ago, only two facilities held the certification: Freeport and JFK. We are very proud of our achievement, as it places us among a handful of Freight Forwarding / Logistics companies worldwide to be ISO 14001 certified.
Getting to the point where a facility can undergo the necessary audit to become ISO certified involves more than just a pile of binders with policies in them. It’s only possible with the commitment and hard work of many people in the organization.
A key success factor for Schenker was having a truly dedicated management team and staff that were absolutely committed to achieving and maintaining the designation. A special thanks to the offices that were audited this year: Hartford, Orlando, Indianapolis, Minneapolis, Chicago, Moline, JFK and Freeport. The DNV (Det Norske Veritas) auditor assigned to us was very impressed with the involvement and awareness of our employees and management.
One of the major requirements to obtaining certification is having an Environmental Management System (EMS) in place. We took our already established EMS and made some upgrades, creating the new Lean EMS Interface back in 2012. This replaced the traditional Environmental Policy Manual and gave users a simple-to-use flow chart design, with immediate access to all of our environmental programs, policies, processes and forms. The response from the field was very positive. With the training and continued support from Environmental Management, users were equipped with the knowledge and know-how to wow any auditor that crossed their paths… and they did just that!
The fact that we made this investment, indicates our commitment to continually monitor, manage, and improve our environmental performance. We must show that:
- We have identified significant environmental aspects of our operations. We currently monitor Electricity and Heating Gas use, and Paper Consumption.
- We are taking steps to control these aspects. We have Energy / Waste monitoring tools that we utilize (Environmental Data Reports, TORCH).
- And that those steps are proving effective. We review Environmental Data Reports quarterly.
Besides training employees, and utilizing green practices around the workplace, we plan on continually improving our environmental performance by adding transparency to the quarterly sustainability figures submitted by the branches. By getting creative with contests and rewarding offices for their energy achievements, we predict nothing but great things for our sustainable future.
Making a difference in our communities, one employee at a time.
On Thursday June 12, Schenker of Canada’s Air import and export team located in Mississauga, Ontario, held a fundraiser raffling tickets for a chance to win various gift baskets.
The airfreight team has a fundraiser twice a year, June and December; and with each fundraiser a different charity is chosen. For June 12th fundraiser, the team collected $816.00 for the “Children’s Make a Wish Foundation”.
We thank everyone who purchased tickets to help make a child’s wish come true.
By Joanne Edwards
International Air Export Manager
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