Since its establishment in 1962, DB Schenker has grown to become one of the leading transport and logistics companies in South Africa. With success particularly over the last decade, it now boasts operations at each of South Africa’s major ports, with nearly 900 employees providing solutions at its branches nationwide.
DB Schenker represents the transportation and logistics activities of Deutsche Bahn, whose logistics sector is the world’s second largest. It holds top spots in global air and ocean freight, alongside Europe’s densest land transport network, achieved through a combination of rich heritage, decades of experience and the delivery of superior service. Schenker South Africa’s employees, meanwhile, are divided between the company’s bases in Johannesburg, Pretoria, Durban, Cape Town, Port Elizabeth and East London.
South Africa today boasts one of the largest economies in Africa and is in the most developed country within sub-Saharan Africa. It has been pinpointed and placed among the BRICS countries, an association of five major emerging market economies alongside Brazil, Russia, India and China. There are several central facets underpinning South Africa’s position, among which is its well-developed financial, legal, communications and transport sectors, as well as an open trade policy and a strong domestic market. It is also the best performer in Africa when it comes to trade facilitation logistics, and is among the best in terms of its transport infrastructure.
Whilst its logistics services within South Africa are highly diversified, DB Schenker focusses its attention on selected key industries. Its Ocean arm comprises hi-tech vessels with the capacity to transport up to 12,000 twenty-foot equivalent units (TEUs) in one shipment. The movement of close to 1.8 million TEUs per annum positions DB Schenker among the world’s leading ocean logistics providers. Its core products offer highly advanced standard services, while its industry solutions are tailored specifically to allow certain industries tomaximise the effectiveness of their supply chain, whether this be shipping wine, sensitive goods or the transport of recyclables.
Under its DB Schenker Air umbrella, meanwhile, Schenkersky’s global approach ensures thedelivery of perfectly scheduled and coordinated air freight solutions. These tailor-made air cargo concepts take into account the full spectrum of logistics planning, from customs clearance through warehousing, distribution and transportation. Distribution concerns are handled by Schenker Freight Express (SFX), which integrates South Africa’s national land and logistics network with world-class infrastructure, logistics capabilities and global experience to service customers in 5500 destinations across South Africa & into Sub-Saharan Africa.
Completing an extensive portfolio of service offerings is the crucial arm of Logistics solutions, which sees Schenker Warehousing fulfil outsourced storage requirements through flexible and reliable warehousing in all major centres of South Africa. Not limited merely to storage, contract logistics requires an understanding and the designing of processes, only becoming optimal when a solutionis found that contributes to added value and gives the customer a competitive edge. All warehousing processes are thus aligned with and integrated into the business strategies of its many customers to do just this.
Having established such an industry leading set of service offerings, DB Schenker is looking now to further strengthen its ever-growing presence in Africa, in no small part through its new set-up in Angola and a first branch office in Mozambique. Located in Maputo and established midway through last year, Dr Thomas Lieb, Chairman of the Schenker AG Board of Management and responsible for the worldwide business of DB Schenker Logistics, explains that:“In line with our growth strategy, we continue to intensify our own presence in interesting markets. We are convinced that future growth in the global economy will also come from Africa.”
DB Schenker’s acquisition of partner Desert Logistics in Namibia is again geared toward further improving service levels and extendingits global reach. Schenker Namibia (Pty) Ltd. is now the global firm’s representative, and Peter Glatz, Regional Director NME/Africa, explains how this will facilitate an increased footprint for the firm.
“The focus of the activities is on looking forward to exponential growth in the Namibian market whilst maintaining good relations with existing customers by providing reliable and cost efficient world class logistics services,” he says.
Among its most significant expansions in recent years has been a strategically located centre in Kenya, five kilometres from the Jomo Kenyatta International Airport, serving to combineconvenience and growth prospects by connecting the port of Mombasa and the East African hinterland. This has been vital in achieving its notable successes in the area, as DB Schenker’s Regional Product Manager Logistics, Near Middle East & East Africa Ako Djaf states:“It is through our quality services and excellent work that we have been able to get big clients like GlaxoSmithKline and Organo Gold, who have transferred all their storage and transport business within Kenya as well as other markets in Eastern and Central Africa to DB Schenker.”
With DB Schenker Logistics recently marking its 50th year of business in South Africa, expansion continues to be the key word for the company. Its new corporate offices, on which construction began earlier in the year, will include a Shared Logistics Centre that will expand its storage capacity by more than 50%. This 40,000 square-meter facility will include 4,300 square meters of offices for both its regional main office and Johannesburg branch, as well as 35,000 square meters of warehouse. These new buildings are being constructed along a new access road for Johannesburg’s Oliver Tambo International Airport, to ensure quicker deliveries and easy employee commutes. Dr Liebsums up how DB Schenker South Africa’s approach has enabled it to carve out a sector leading position in the country: “Our success shows that good performance and a high commitment makes it possible to win and keep customers, even in an environment that is not always an easy one.”