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Customer inertia preventing RDC changes, claims PD Ports CEO
chris.wattonfarbi.co.uk INERTIA AMONG customers is the only thing holding back serious changes to the regional distribution centre (RDC) model in the UK, according to PD Ports.
Speaking exclusively to CM at the 2010 Multi-Modal Show in Birmingham last week, David Robinson. group CEO at PD Ports, says; "Some customers have had the same supply chain for the past 35 years They need to get smarter."
Robinson was at the show to promote PD Ports' port-centric logistics' offering to potential customers. The Teesport operator, which also has warehousing and wet bond facilities at Felixstowe and Immingham, is using its operations to store inbound goods before routing them directly to customers in the north and east of England. He says removing the port to RDC leg of the journey saved its customer Asda 1.2 million road miles in 2009, by shipping the retailer's products directly into Teesport and storing them on site before the final leg to stores. PD Ports has also signed up tea retailer Taylors of Harrogate to the same service.
Iransport policies have not been very well debated in the election and they are not going to be in the short term, hut we need to get smarter and the providers within it need to get smarter," says Robinson.
"Our strategy on port-centric logistics is quite precious. We are not saying we are the smartest, but we are being progressive."
• Some 94% of manufacturers and retailers would be willing to work with a direct competitor in their supply chain, according to research by Transport Intelligence unveiled at this year's Multi-Modal Show.
The survey of logistics customers also found that 65% of respondents said cost was the main driver for considering collaboration with a competitor.