Subscribe to our free, weekly email newsletter!


Maersk Distribution Services Inc. now part of Damco?

Ranked number 17 in a recent global overview by the consultancy of Armstrong & Associates, Damco appears to be poised for growth.
By Patrick Burnson, Executive Editor
September 20, 2010

Damco, the logistics arm of A.P. Moller-Maersk and one of the world’s “top 20” providers of freight forwarding and supply chain management solutions, has announced that Maersk Distribution Services Inc. (MDSI) will be integrated into Damco.

Ranked number 17 in a recent global overview by the consultancy of Armstrong & Associates, Damco appears to be poised for growth.

“This seems like a good time to consolidate global operations,” said Tom Mathers, a spokesman for the National Customs Brokers and Freight Forwarders Association (NCBFAA). “That is particularly true if it enhances economy of scale.”

MDSI generates around $200 million in revenue per year in the U.S.. and Canada and employs more than 600 people. It is a warehousing and distribution company which delivers cross-docking, transload, warehousing and inland transportation services to shippers from its 18 facilities in the major ocean and rail gateways in North America.

According to spokesmen, this establishes a “critical link” between the international and domestic supply chains of many customers.??

“MDSI has during the last years re-organized, optimized and upgraded their facilities and are now well positioned for growth,” said Rolf Habben-Jansen, CEO of Damco in a statement.

He added that by integrating MDSI with Damco, shippers sourcing from overseas will benefit from systematic integration between the international supply chain to the domestic distribution, and it enables postponed decision making for final allocation of cargo to each store.

Delivering what it calls “cost and carbon efficient transportation and distribution services,” Damco is positioned to build a transparent supply chain to end-users and point-of-sale.

“The MDSI team is a natural extension to Damco. MDSI substantially enhances our offerings to the market and enables us to extend the scope of the services we offer to our valued customers” said Habben-Jansen

About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Almost all companies today are aware of their labor or material costs... but what about energy consumption? It all comes down to having the energy data needed to determine what actions you must take to improve. The payoff is worth it, as insight into energy data allows you to make more valuable, relevant operating decisions.

With lower energy prices sparking domestic economic gains, coupled with solid manufacturing and industrial production activity, improving jobs numbers, and a GDP number that shows progress, there is, or there should be, much to be enthused about when it comes to the economy and the economic recovery, which has been raised and discussed and dissected from basically every angle possible, it seems. But that enthusiasm regarding the economy needs to be tempered, because big headline themes seldom tell the full story at all really.

The annualized turnover rate for large truckload carriers in the third quarter rose one percentage point to 97 percent, according to the ATA.

The Pacific Maritime Association (PMA), representing employers at 29 ports, and the International Longshore and Warehouse Union (ILWU), which represents 20,000 dockworkers, have come to a tentative agreement on a key issue in ongoing contract negotiations.

Diesel prices continued their ongoing decline, with the average price per gallon falling 6.7 cents to $2.866 per gallon, according to data issued this week by the Department of Energy’s Energy Information Administration (EIA).

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA