Automotive Purchasing Weekly 25 April 2016 - page 24

DistributionCentre in
Galveston, Texas
21 April 2016 | Supply Chain
The new port facility serves the growing business of BMW Group across Texas, Oklahoma,
Louisiana, and Arkansas (US).
The BMW Group celebrated the official
opening of its newest Vehicle Distribution
Centre at the Port of Galveston. BMW’s
Southern Region is growing rapidly and this
new facility will better serve the 45 BMW
and MINI dealers within four states (Texas,
Oklahoma, Louisiana, and Arkansas) that
make up a part of the Region. Through the
new facility, BMW Group will import and
process approximately 32,500 vehicles
annually, which represents an import value of
nearly $1.3 Billion. The facility is fully staffed
with a workforce of nearly 40 BMW Group
and Wallenius Wilhelmsen Logistics (WWL)
employees and already started receiving
shipments of cars for processing this year.
Craig Westbrook, Vice President, Customer
Experience, BMW of North America, and
Stephan Reiff, Vice President, Aftersales,
BMW of North America, were in attendance
and spoke at the opening.
“For us at BMW, there is nothing more
important than the satisfaction and delight of
our customers, and this Vehicle Distribution
Centre will play a critical role in keeping our
customers happy,” said Craig Westbrook,
Vice President, Customer Experience, BMW
of North America. “We are very excited to be
here, and be a part of Galveston’s economic
Located at 1028 Harborside Drive in
Galveston, the fully operational Galveston
Vehicle Distribution Centre includes more
than 44,000 square feet of processing
space in two buildings on approximately
20 acres of land. Vehicle inspection,
accessory installation, vehicle programming,
and vehicle maintenance and storage are
performed there.
“Why Galveston? BMW’s Southern Region
is growing faster than any other region in
the US,” said Stephan Reiff, Vice President,
Aftersales, BMW of North America. “Building
this facility allows us to continue to deliver
the highest quality vehicles while providing
faster delivery times to our customers.”
The facility is owned and operated
by WWL VSA under BMW Group on-site
management. WWL VSA is a leading global
provider of auto processing and outbound
vehicle logistics services. BMW executives
were joined onsite by Ray Fitzgerald,
President of Wallenius Wilhelmsen Logistics,
Atlantic, and Michael J. Mierzwa, Port
Director, Port of Galveston.
“WWL VSA is honoured to serve as
BMW’s choice logistics partner in Galveston,
supporting its vehicle finishing needs in
preparation for final distribution to dealers
in the Gulf region,” said Raymond Fitzgerald,
President - Atlantic at Wallenius Wilhelmsen
Logistics (WWL). “This Galveston port facility
marks the 63rd processing facility in WWL’s
global network – a newly constructed and
specially designed state-of-the-art vehicle
technical services and storage facility that
is fully outfitted and customised to BMW’s
processes, standards and requirements.”
“The Port of Galveston is pleased to
welcome BMW Group and its partner
Wallenius Wilhelmsen Logistics VSA for the
opening of this state of the industry Vehicle
Processing Centre (VPC),” said Michael
Mierzwa, Port of Galveston Port Director.
“This VPC will have a substantial economic
impact on the region and is in keeping
with the Port’s strategic vision to attract
new business that will promote jobs and
economic prosperity for the community.”
A range of BMW vehicles were on display
at the opening event, including the BMW X5.
As a sign of the partnership between BMW
and the Port of Galveston, BMW will equip
the port with an X5 to use for official port
NorfolkSouthern to reduce
operationsat Knoxville in response to
lower trafficvolumes
21 April 2016 | Supply Chain
Initiative will drive further network
efficiencies and cost savings.
Norfolk Southern will reduce train
operations at its Knoxville, Tennessee (US), rail
yard, effective May 1. The action is in response
to lower traffic volumes and is consistent
with the company’s ongoing implementation
of its strategic plan to enhance operating
efficiencies, reduce costs, drive profitability,
and support long-term growth. NS remains
on track to achieve its previously announced
annual expense savings of more than $650
million and an operating ratio below 65% by
NS plans to idle switching operations at
the rail yard, where freight cars from inbound
trains are sorted by destination and assembled
into outbound trains. As part of the change in
operations, train traffic will decrease at the
yard, reducing the need for personnel and
infrastructure associated with train operations
and maintenance activities. The Knoxville
terminal will continue to serve as a hub for
through-train operations and provide safe,
reliable service to local customers, and NS has
developed an operating plan to minimise any
customer impact.
Knoxville will continue to serve as
headquarters for the company’s Central
Division, which includes 1,100 track miles
primarily in Tennessee and Kentucky.
Although approximately 135 positions will be
impacted by the reduction of operations at
the yard, nearly 300 employees in Knoxville
will continue to support division operations
and manage yard traffic. NS has stated that
it will assist impacted employees by offering
them opportunities to fill job vacancies as they
become available across the system.
NS currently employs more than 1,570
of track across the state, intermodal terminals
in Memphis, and a major rail classification yard
and locomotive shop in Chattanooga.
Member Statesholdingback
digitalisationof EUTransport Logistics
20 April 2016 | Supply Chain
Legal uncertainty and a lack of uniform implementation of existing European and International
legislation by Member States is holding back EU wide digitalisation of the Transport logistics
Lack of standardisation at European level
regarding multimodal transport e-documents
is a barrier to seamless, streamlined, flexible
transport logisticswithin the EU. The economic,
social and environmental advantage of
e-documentation is clear. 16.5 million cars
transported annually in Europe result in 33
million pieces of paper or 135 tonnes of paper
each year. The courier industry has been
paperless for over 20 years with electronic
tracking and online proof of delivery accepted
as standard throughout the EU. Application
in the transport sector is being hampered by
insufficient harmonisation at national level.
A legal framework for the use of electronic
transport documents already exists for road,
rail and maritime transport. The ‘e-CMR
Protocol’ (2011) provides for the use of
electronic consignment notes for international
transport. However, only eight EU Member
States and Switzerland have ratified this
international treaty to date.
In rail, not all EU Member States recognise
electronic consignment notes (e-CIM) and
ongoing legal uncertainty exists in some
national authorities as to the validity of
electronic signatures or for the transportation
of certain goods.
The EU Reporting Formalities Directive
(RFD) 2010/65/EU aims to simplify, harmonise,
and rationalise administrative procedures and
reporting requirements for maritime carriers
calling at EU ports. By June 1, 2015 Member
States should have implemented measures to
allow the electronic submission and reception
of reporting formalities concerning vessels,
their crew and cargo via a ‘national single
window’. However, no effort has been made
by the majority of Member States to harmonise
their national requirements resulting in a
patchwork of systems and requirements,
sometimes even within the same country.
Speaking at the annual ECG Dinner Debate,
held on April 19 in the European Parliament,
host MEP Gesine Meissner (German Liberal,
ALDE Group) spoke openly of the great need
for digitalisation in transport logistics and the
lack of sufficient harmonisation at Member
State level.
ECG is an active and valued member of the
Commission’s Digital Transport and Logistics
Forum which supports the digitalisation
of freight transport and logistics. ECG is
also working closely on this issue with Car
manufacturers through its recently established
Finished Vehicle Logistics Industry group.
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