Panalpina sees big savings from port centric distribution
The client previously managed its own supply chain once product arrived at the UK port of entry; however this was proving to be complex and costly. Now Panalpina has taken charge of the final stage of the journey using Import Services and TNT to provide two distinct services once Panalpina has moved product in sea containers, from origin to Southampton port.
Express carrier TNT collects store ready consignments from the containers at its Southampton port based depot, before putting them into its national distribution network in readiness for next day delivery to high street retailers throughout the UK.
Import Services takes the residual bulk stock into its adjacent distribution centre where storage, order processing, high volume pick/pack and distribution of replenishment orders are affected.
Distributing goods straight from the port of entry is becoming increasingly popular as it can offer cost and time savings. “We have developed port centric distribution successfully for our clients such as Flair and Carte Blanche in the toy and gift sector,” said Mike Thomas of Import Services. “Our clients demand swift movement of their products to market and retail trends also show smaller volume orders are required in store more frequently. The savings gained from port centric distribution simply outperforms traditional models of moving goods inland to distribution centers.
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