Posti reveals more details on “Flexo” project
Finland’s Posti has announced more details about “Flexo” – its new joint venture with Solemo Oy (SOL) that will focus on providing in-house logistics services. As previously reported by Post&Parcel, Posti and SOL first revealed their plans in early April. In a statement issued today (3 May), Posti said that the Finnish Competition and Consumer Authority approved the corporate transaction on 25 April.
Flexo will leverage Posti’s logistics strengths with SOL’s HR administration and service management expertise.
According to Jukka Rosenberg, Senior Vice President, Parcel and Logistics Services at Posti, it is a natural step for Posti to expand to the in-house logistics market. In Europe, said Rosenberg, the corporate logistics outsourcing rate is approximately 40%, whereas in Finland, it is only roughly 12%. The logistics outsourcing rate is rising. Typically, warehousing accounts for 30% of the overall logistics costs of companies, transport for 30% and in-house logistics (i.e. handling at different phases of the supply chain) for 30%.
In today’s statement Posti also revealed that the “goal” is that the new company will provide more than 300 new jobs by the end of the year, and more than a thousand people “within a few years”.
