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US firms lags in Europe
Page 6
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• American companies are less efficient than their UK counterparts at distributing their products in the EC, according to a study by the Polytechnic of Central London, led by the Exel Logistics reader Dr James Cooper.
The survey of 54 leading companies throughout Europe gave the Netherlands the highest score for logistics efficiency when measured against various criteria such as delivery times, inventory control and customer service.
But the US-owned companies had far lower ratings than their European competitors, which Cooper put down to their lack of understanding of the complexity of European business and cultural life.
"There are nine main languages and many dialects to cope with, as well as differing regulations for employment, transport and company law. You cannot simply impose a US style of business management to such a complex scene and expect to do well," says Cooper. One US computer manufacturer uses 52 haulage companies in one country alone, which, Cooper says, is against the trend compared with Europeans who tend to use one or two main contractors: "Perhaps there are opportunities for greater applications of UK skills to American firms," he says.