2 Point 0
To begin, how would you describe the current state of the logistics market from your perspective as CEO ?
This 2nd May 2 Point 0 exists 10 years. As one of the main e-commerce fulfillment service providers in Luxembourg, we see this more as a milestone than an event to celebrate. Times are hard in our niche. Past and current events had and have a serious impact on the end consumer buying behavior, for better or for worse. Brexit, Covid, special operations in Ukraine, Gaza-war, US trade restrictions and recent attack on Iran are only a few of the headliners that interfered directly or indirectly with our daily logistics operations. On top of that, homeland consecutive salary indexations have disastrous consequences for SME like ours and for the national economy as a whole and do not encourage entrepreneurship. Being a CEO/owner in these circumstances is not having fun every day. Future will tell us if it was really nobler to suffer the Shakespearian slings and arrows of outrageous fortune.
Thirty years ago, when I came to Luxembourg, there was only a green field with some exceptions like Cargolux, Kühne-Nagel and the Welter-Weiss-Wallenborn trio. The country, not the inventor of logistics by far, made an incredible catch-up the last decades and can be proud of its logistics exposure.
What are the strategic priorities your company is focusing on right now?
Our first priority is to double our customer base and/or orders volume. Reduced margins due to increased cost can only be compensated by more throughput.
In order to handle these volumes, we are looking into warehouse automation like a goods-to-man storage solution and an automated packing line.
Digital transformation is reshaping logistics. Which technologies do you see as most impactful for your operations?
From the early beginning, we invested in end-to-end IT solutions allowing full and real-time transparency to our customers, connected via API to the carrier platforms.
Sustainability is becoming a competitive factor. How is your company integrating ESG, CSRD, Lean&Green into its strategy ?
Since day one, our operations are running based on ‘good family father’ principles. Efficient processes, work place organization, hygiene and health, recycling, waste management,… are guided by common sense. As long as our customers are not asking, we will not go for an extra green mile.
The logistics sector faces a talent shortage. How are you addressing this challenge?
It is not the shortage of talent as such, but its related cost is the real problem. The multiple salary indexations are only making it worse. It might that we will price ourselves out of the market, if this continues. Therefor we focus on in-house training on one hand and invest in automation on the other hand, hoping to handle more throughput with the same staff and avoid hiring.
How can our cluster better support your company and the broader industry?
C4L is doing a great job. It is good to have an independent shopping window that contributes and confirms the Luxembourg logistics ecosystem is alive.
What does “excellent customer experience” mean in logistics today?
Full transparency and availability are key factors. As such our performance is not measured by the 99,99% orders that were delivered in full and on time, but by the way and the speed we handle the 0,01% exceptions.
Where do you see the biggest growth opportunities for your company in the coming years?
Logistics is about moving goods. Especially in the e-commerce logistics business, the challenge is to attract volumes from abroad. The biggest opportunity lays in opening trade lanes, instead of blocking or restricting them. There are many countries producing goods better, smarter and cheaper. Without any hesitation, future successful partnerships will be found on the Silk Road, from Russia to China, via Serbia, Turkey, Vietnam, Korea, etc… If we don’t go for it, others will. Letz’ make it happen.