Contract Warehousing Ltd sees 5PL and TransLogix as the Way of the Future

by Case Studies on 2011-04-12

Sydney and Auckland, 1 December 2010:  TransLogix, Australasia’s leading vendor of transport and logistics solutions, today announced Contract Warehousing New Zealand Limited and its Australian operation Contract Logistics Ltd as the latest customers of its integrated Sapphire transport & logistics management suite.

The Auckland-headquartered business is in mid-implementation of the Transport, Warehouse, Accounts and Web Server modules of Sapphire.

With an annual turnover in excess of NZ$4 million and more than 90 clients across New Zealand and Australia, the multi-award winning Contract Warehousing group has moved from simple trucking and handling in the late 70s to delivering third party (3PL) warehousing and logistics solutions as well as 4PL supply chain services.  It is now also fulfilling a 5PL role on behalf of one client for whom it is currently buying NZ$300K – NZ$400K of stock per month). It is not aware of any logistics operator in New Zealand offering 5PL e-business support capabilities.

Contract Warehousing founder and managing director, Rod Giles, is recognised as the guru of New Zealand’s logistics sector. He has been at the forefront of logistics innovation for over 30 years and brings a high level perspective from his position as Chair of the Logistics Cluster Group that was instigated by the NZ Government. His selection of the Sapphire suite as the backbone of his company’s complex service offering is seen as a significant endorsement of TransLogix’s technology and service capabilities.

Rod Giles said: “We can’t afford to stand still. As our customers grow, we have to be able to keep ahead of them. When we saw what Sapphire could do for us, we pulled the plug on an expensive program implementation which was going nowhere. We know 3PL and 4PL and with the developing  5PL our partnership with TransLogix is the way of the future.

“This industry is no longer about trucks and sheds. It’s all in the service offering. We saw the opportunities that 4PL full accounting (including GST returns and monthly balance sheets) offers and TransLogix is equipping us for it.”

Giles sees that with the new system in place the group will be able to maintain current staff levels while continuing to grow profitably. The self-service web portal within the new system will put daily reporting of stock levels and activity at customers’ fingertips. This makes the business more accountable and also provides clients with a greater comfort level.

By outsourcing logistics and associated financial services to Contract Warehousing, companies can more easily and profitably enter the trans-Tasman marketplace. Without the need for bricks and mortar assets and staff, they can cut warehousing costs and management time by 20-30 percent: “Our 4PL and 5PL clients only have to support a rep while we run their business. And it offers us both great returns,” Giles said.

Training is seen as a key component of the new Sapphire system and Contract Warehousing already has its core staff testing and using the system. Giles reported that their initial feedback is very positive.

After the three month implementation and testing phase, the Sapphire project will go live in New Zealand on 1 January 2011 and roll out to the Australian operations on 1 April at the start of the company’s new financial year.

Giles congratulated TransLogix’ New Zealand Country Manager, Trevor Ammundsen, and his team: “Their honesty and level of understanding during our discussions was incredibly refreshing. And as I’ve talked with logistics operators across A/NZ, the message I’m getting about TransLogix is consistent: they’re great to deal with and do what they say they’ll do. I have a good comfort level with this project and expect great things of it and these sentiments were volunteered by those I spoke to.

“TransLogix is developing its products with a real purpose. It knows who and what they are and where the market is going.

“I see Contract Warehousing and TransLogix strengthening each other over time as we work to improve the sophistication and efficiencies of warehouse-centric logistics,” Giles said.

TransLogix New Zealand Country Manager, Trevor Ammundsen said: “Rod Giles and his Contract Warehousing group is a prime example of where the smart logistics operators are heading; with a tight focus on service levels and a sustainable future.

“When Contract Warehousing first came to us requiring 3PL services for some customers and 4PL or 5PL services for others, from one integrated software solution, we needed to make sure that we understood their requirements in detail. We demonstrated that Sapphire’s functional depth and great flexibility is able to manage this complex mix of services ‘out of the box’. Sapphire will streamline operations and provide one version of the truth across the whole business while creating much needed visibility to support both management and customers.”


About Contract Warehousing Ltd (www.contractwarehousing.co.nz)
Operating since 1978 and based in Auckland, New Zealand, Contract Warehousing’s operations are supported by 45 staff and encompass 60,000 square feet of warehousing in Auckland.  As Contract Logistics Australia Ltd it has offices in Brisbane and Melbourne, plus associated facilities in Sydney.

Contract Warehousing’s 5PL offering provides full logistics, inventory, ordering and accounting services and support.


About TransLogix (www.translogix.com.au)
TransLogix is Australasia’s leading supplier of transport and logistics solutions with more than 400 customers ranging from small family operated businesses through to large, publicly listed multi-depot transport companies. With offices in Sydney, Melbourne, Brisbane and Auckland, it works closely with customers to provide effective solutions to the rapid and significant changes that are encountered in today’s competitive marketplace.

The TransLogix Transport Management and 3rd Party Logistics suite includes more than 30 integrated modules covering accounting, transport management, warehouse, workshop, service, optimisation, scheduling, driver fatigue management, web portal, mobility, POD, GPS, mapping, tracking, Business Intelligence, and document imaging.

For further information please contact:
Ralf Moller
TransLogix
+61 2 9467 9400