Logistics services expansion strategy

Background

• Client is engaged in logistics services and hinterland development. Its logistics services include freight forwarding, storage/ warehousing, inland transport, and customs-related activity;

• Client has three subsidiaries at different locations that provide logistics services which located in different areas;

• Further the client has plans to review its existing logistics services, covering the operational, marketing, and commercial aspects;

• In addition, the client aims to provide more logistics services.

Client Objectives

• To review its existing logistics services, operationally and commercially, which are provided by its three subsidiaries, operationally and commercially;

• To develop a strategy to increase its market share and production;

• To establish an expansion strategy for entering new logistical services that the firm company does not currently provide.

Drewry Approach

• This study was conducted using a combination of primary surveys at the location of all the subsidiaries, discussions with the client and logistics services players, secondary research, and data analysis.
• Drewry started by developing an understanding of the client’s objectives over a series of calls. Subsequently, Drewry established the improved strategy by considering the constraints the client faced. The strategy required a review of the existing services and the client’s master plan.

Results Achieved

• Drewry presented a detailed report outlining the results of the analysis of the client’s existing businesses as well as local and worldwide logistics trends;
• Drewry additionally delivered the KPI for each logistics service, inter-collaboration among the subsidiaries, and guidance of entry strategy on the new logistics services. The client went to implement some of the strategy proposed strategies.