Airbus selects lead transport and logistics providers

Global - Airbus has selected Kuehne+Nagel as lead logistics provider and DHL as lead transport provider to beef up its supply chain. The appointments are part of Airbus' Power 8 programme, and is part of the company's strategy to optimise its logistics operations. 

Under the five-year agreement DHL will assume full management of third party logistics (3PL) companies from selection, contract negotiations, execution, measurement and followup. The transportation flow includes air and ocean freight, road freight, customs and value added services.

DHL will also be implementing its full transportation system from the fourth party logistics (4PL) Control Tower located in Europe, managing the inbound transportation flow between four regional hubs in Germany, France, Spain and the United Kingdom, with the Americas and the Asia-Pacific region still under negotiations.

DHL was awarded with the contract due to the company's extensive industrial knowledge in aviation and the domain expertise in offering and customising solutions to meet the needs and requirements, DHL said. 

The inclusion of DHL in the contract will benefit Airbus financially. "The partnership will lead to substantial savings for Airbus in the range of double-digit million Euros amount, and allowing better integration, rationalising of capacity and better tracking of items," Lili Koh, head of communications, DHL's Global Customer Solutions told ProcurementAsia.

Airbus also selected Kuehne+Nagel as the lead logistics provider for the company.

"The optimisation of our supply chain and logistics by defining one lead logistics provider and one lead transport provider is an essential step towards increasing our efficiency and delivering on our Power 8 targets," said Fabrice Bregier, Airbus COO. "This new way of working will greatly contribute to securing our global competitiveness."