80883_HAV_Einband-Jubilaeumsbuch:Layout 1
30.07.2008
17:17 Uhr
Seite 1
25 Years of Company History: 1981 – 2006
Havi Logistics is making history A new global brand is born
Publisher Havi Global Logistics GmbH Geitlingstraße 20 47228 Duisburg, Germany Phone: +49 20 65 695 04
[email protected] www.havi-logistics.com
25
Years 1981-2006
Since our group was established in 1981 we have grown from a new German business to an international logistics network of 25 Food Service Logistics (FSL) companies and an additional 15 service enterprises. Previously all 40 companies had different names and logos despite being part of one single company’s success story. It is that same passion for logistics, as well as the common vision and level of commitment that unite all our employees whether in Portugal, Russia, Norway or Italy. This powerful bond has been further strengthened by renaming all our FSL companies Havi Logistics, thus cementing our market position as “The Global Lead Logistics Provider” within Europe and paving the way to becoming a major global brand. Ever since our beginnings 25 years ago we have been dedicated to meeting our customers’expectations of the highest food safety standards, reliable supply-chain management and innovative logistics ideas. We have done this with an uncompromising commitment to the environment and continued social responsibility. This remains unchanged today: based on the “one-stop shopping” concept, our more than 4,100 employees continue to provide dependable logistics services in Europe under the banner of Havi Logistics.
Responsible Christoph Thünemann General Manager Corporate Communications
The Global Lead Logistics Provider
In July 2008 the corporation previously known as Alpha Group, “The European Lead Logistics Provider”, was renamed Havi Logistics. And along with the new name came a simultaneous increase of international expansion.
The Global Lead Logistics Provider
s r yea 1981-2006
The Foundation of WLS
History & Future
“The Only Partner for McDonald‘s“ “Andreas, you’ve got the job.” The call, which came in June
partners suddenly bailing out in case of a change of heart (leaving
1981 from Michael Gerling (McDonald´s Purchasing Manager
it with a large volume of goods and nobody to sell them to). Both
in Germany at that time) was one Frigoropa Germany had been
partners also agree that the Managing Partner should be allocated
eagerly awaiting for a number of weeks. The “you” in question
shares in order to encourage his entrepreneurial spirit. Finally,
was the still young trading company from Duisburg. A subsidiary
the capital stock of 100,000 German marks is shared 45:45:10
of Frigoscandia, it had been supplying frozen foods to the ex-
between McDonald’s, Frigoscandia and the designated Managing
panding quick service restaurants group in Germany since April
Partner, Andreas Rost. It is Rost who comes up with the name by
1978. Andreas? Frigoropa’s Managing Director Andreas Rost.
which the joint venture will be known as of November 1, 1981:
The job? McDonald’s had decided in principle to purchase the
WLS GmbH Warenhandel + Logistik + Service.
logistics for its entire range of frozen, chilled and dry goods from a single source as of November 1, 1981. That single source was
Let’s now take a moment to step back a little further into
to be Frigoropa Germany, having successfully bid for the role of
history. Frigoscandia Deutschland GmbH first starts distribu-
“Total Distributor Germany” in competition with major national
ting McDonald’s frozen foods in July 1975. According to the
and international players.
contract concluded on June 18 that year, “Frigoscandia shall purchase from known suppliers at the specifications negotiated by
During the course of the conversation that followed, McDonald’s
McDonald’s exclusively for McDonald’s and McDonald’s licen-
and Frigoscandia quickly agreed to form a joint venture for this
sees”. In principle, the agreement has retained its validity for Fri-
business, in which both partners should have equal share. For
goscandia successor companies. The two parties agree a margin
McDonald’s, this model is new and unusual, as its policy is not to take shares in suppliers. However, in this case, the company is determined to get its franchisees on board in order to whet their appetites for the strategy of supply from a single distributor,
which they are not familiar to yet. The specially founded holding company offers franchisees cost transparency by means of control and co-management, as well as a share in profits. In choosing this
1975 - 1981
solution, Frigoscandia believes that it is minimizing the risk of
Frigoscandia Germany and, since April 1978, the Frigoscandia affiliate Frigoropa have been exclusive suppliers to the German McDonald’s restaurants. While affiliated companies in Austria, Denmark, France, Sweden, and Switzerland at that time deliver frozen, chilled, and dry goods to the restaurants in their respective countries, Frigoropa in Germany is only responsible for frozen goods.
Did you know that as early as 1981 potential new customers were interested in working with WLS?
offers • Administrate attendance lists • Work on a firm basis • Create jobs • Archive documents • Carry out audits • Watch the red dot •
History & Future
The Foundation of WLS
of “0.19 DM per kg”. They also agree that orders and deliveries
is so different from its other business. In relation to McDonald’s
should run “strictly in accordance with a fixed schedule». For the
and his franchisees, Frigoscandia is not only a forwarder but also
purpose of supply, Frigoscandia takes over the McDonald’s stock
a wholesale trader. As such, it has ownership of the goods in tran-
of frozen foods. The company, which opened its first restaurant
sit. It is, therefore, only logical that the company should operate
in Germany in Munich in 1971, had before managed its own
as a trading company. It is at this time that its management team
logistics and supplied its restaurants directly.
Andreas Rost and Kent Zohnne are approached by McDonald’s, whose people are insistent that the German business needs to be
Three years later, in April 1978, Frigoscandia founds the Frigor-
restructured and a total distribution system encompassing frozen,
opa subsidiary primarily because the business with McDonald’s
chilled and dry goods – like that operating in the USA – has to
10 The ice cream manufacturer Baskin Robbins made some inquiries, but WLS wanted to concentrate fully on McDonald’s at the start.
WLS DC Duisburg-Großenbaum
Delegate tasks • Fill tasks with life • Track fulfilment of tasks • Be honest • Refine used shortening • Make excursions • Improve efficiency
The Foundation of WLS
be introduced. With this in mind, Andreas Rost and Kent Zohnne
dia in respect of frozen-food storage and transportation problems;
collaborate on a project to draw up the most cost-effective
already the total distributor for McDonald’s in five countries».
History & Future
logistics concept for McDonald’s distribution in Germany (and Europe). Their findings reflect the perceptions of a quick service
At this time, sister companies of Frigoropa Germany were sup-
restaurant company.
plying McDonald’s restaurants in Austria, Denmark, France, Sweden, and Switzerland as total distributors. When the joint venture
Against the background of these preliminary investigations, it is
actually goes into operation in Germany on November 1, 1981,
no surprise that the duo’s findings provide the basis for the bid
these companies initially remain part of the Frigoropa Group, to
submitted by Frigoropa on April 21, 1981, for the role of “Total
be taken over subsequently one by one by WLS. WLS too is still
Distributor Germany”. The primary difference between the bid
under the Frigoropa umbrella when the big day dawns. Due to
and the original findings is that the former also includes “absolu-
cartel legislation based on parent-company turnover and number
te costs for the most cost-effective distribution model submitted
of employees, the new company needs a license. This takes time
previously in rough draft format». Appended to the bid is a list
– it is not until February 1982 that the license is actually granted.
of eight advantages (entitled Frigoropa – the only partner for
However, the parties have agreed that during this transitional
McDonald’s) arguing in favor of Frigoropa succeeding in its bid.
phase, total distribution should run under the auspices of Frigor-
The most important among these are: “Profit sharing and cost
opa Germany.
transparency in the form of a joint venture; many years of loyal cooperation; access to the know-how and resources of Frigoscan-
McDonald’s tenders an application for a ‘Total Distributor Germany’ and is thus looking for a distributor supplying all the goods required in a restaurant – frozen, chilled, and dry – as a one-stop-shopping concept in Germany too. Frigoscandia is awarded the contract against a number of competent competitors on the condition that a new company is established for this task.
November 1, 1981
1981
11
WLS GmbH Warenhandel + Logistik + Service is established. WLS becomes the exclusive and full-range supplier of McDonald’s in Germany. The shareholders are Frigoscandia GmbH with 45 per cent, McDonald’s -including its franchisees - with another 45 per cent, and the Managing Partner Andreas Rost with 10 per cent.
Optimize occupancy • Participate in tender processes • Take picture for employee identity card • Make evaluations • Automatic creation of outgoing
History & Future
The Foundation of WLS
By this time, WLS has physically been in operation for four
And get underway it did, because even during these first - if still
months and has passed the first acid test, having integrated the
unofficial - days of WLS, an advantage you will not see listed in
dry goods previously supplied to McDonald’s restaurants in
any advertising brochure was clearly in evidence: the entire crew
Germany by RWR into its own range in November 1981. And yet,
was willing to give 120%. Everyone pulled together during the
despite an agreement being in place for the new total distributor
takeover phase, sorting, counting, cataloging, working almost 60
to take over RWR’s goods and stock on the big day, November 1,
hours non-stop and grabbing what little sleep they could get bet-
hardly anyone in the WLS team has any knowledge of dry goods
ween the – carefully sorted – floorcloths and cup lids. When they
or their specification. So, on the weekend before the takeover,
awoke, they would be McDonald’s “Total Distributor Germany”.
there are many puzzled looks on many faces. What exactly is a
What a job… ■
packaging unit of floorcloths? Ten items or just one? And which of the ten different types of cup lids go with which item number? Question after question, all needing answers in just three days – total distribution had to get underway the following Monday. (See minutes of advisory board meeting dates February 19, 1982 item two on agenda, annex).
A core team of five people starts building WLS: These are: the Managing Partner Andreas Rost, Nikolaus Meischatz, Willi Müller, Bernhard Gabriel, and Käthe Eickel. The company is headquartered in Duisburg-Großenbaum and has two full-range Distribution Centers in Duisburg and Markgröningen. In addition, warehousing capacities for frozen goods are leased in Hamburg, Groß-Gerau, and Munich as so-called satellites.
October 1983
November 1981
12
I.T.S. Internationale Transporte & Spedition is established to optimize transport of all products from the McDonald’s suppliers to the existing WLS Distribution Centers. In September, 1986, the company is renamed as S.T.I. International Spedition & Transport.
invoices • Organize backhaulage • Environmental pacemaker • Plan trips by train • Scan barcodes • Refill battery water • Travel expense
History & Future
13
December 1986
Did you know that there are installed some really clever aids in the warehouses of the Alpha DCs? WLS moves into a tailor-made Distribution Center in Ilsfeld near Heilbronn. From now on, the McDonald’s restaurants in southern Germany are supplied from here. The satellites in Munich and Groß-Gerau are closed.
accounting • Show persistence • Write reports for A-lex • Treat meetings • Manage meetings • Spread best practice solutions • Create ord
History & Future
Philosophy of WLS
Always Able to Deliver From the very beginning in November 1981, WLS GmbH Warenhandel + Logistik + Service was conceived to operate as a distributor in the US sense, as a wholesale trader handling import/export business and specializing in logistics. The company does not have a purchasing function (prices are negotiated by McDonald’s), only procurement, and no sales: the only customers are exclusively McDonald’s restaurants. As a wholesale trader, WLS integrates the diversity of the quick service industry. The policy of the business is to be able to deliver all items throughout the range at all times – after all, if an item is not available, restaurants do not have an alternative they can use in its place to create a specific product. An important issue in this context is that of ownership of goods, something many forwarding companies in Germany still would shrink from in
For example: the red line at a height of 2.20 m in the loading area. It shows the maximum loading height allowed for pallets.
1986
14
HLS Logistik in Switzerland is established. This company, today headquartered in Oensingen, has exclusive responsibility for supplying all McDonald’s restaurants in Switzerland. Before the Swiss restaurants had been supplied by Frigoscandia since October 1976 and by Frigoropa since April 1980.
1986
picture 2000
the early 1980s.
MLS is established in the Netherlands. At the request of McDonald’s, WLS merges with the independent distributor Ber Damen to combine Ber Damen’s local competence with the know-how of WLS.
forecasts • Handle orders • Develop order proposals • Achieve best marks in productivity and reliability • Pick up visitors • Announce visitors on the
Philosophy of WLS
History & Future
As long as it doesn’t make any mistakes, because it has
At least of equal importance is the company’s service philoso-
customers in the shape of McDonald’s restaurants, the risk of
phy, which is also firmly ensconced in its name. It was the will
WLS being left with products in its Distribution Center and
of the shareholders that the letters WLS should be the perfect
not finding any purchaser would be relatively small. Although
expression of the purpose of the company’s existence: Waren-
franchisees (accounting for between 60 and 70% of McDonald’s
handel expresses the buying and selling the company does in its
restaurants in Germany) do not have to buy from WLS, they
role as a wholesale trader, Logistik – a little known term in Ger-
generally do. The high volumes WLS deals in keeps prices
many at the time of the company’s foundation – expresses the
reasonable and products are supplied, specified and approved
physical flow of goods from supplier to customer, and Service
by McDonald’s. Restaurants wishing to use other suppliers and
expresses the accompanying flow of information optimizing
their products could only do so if these suppliers and products
logistics and making the procurement process more transparent
are tested and approved by McDonald’s. In spite of this, from
for customers. In respect of the involvement of a US partner, all
the very beginning WLS was under pressure to deliver “low
the letters of the acronym should work equally well in English,
cost – best value” goods, in order to ensure that franchisees
where WLS stands for Wholesale + Logistics + Service. ■
would support the new model. So, in its role as McDonald’s Total Distributor, rather than having carte blanche, WLS actually finds itself under specific internal pressure to keep customers satisfied at all times.
15
black board
The entire WLS organization moves within Duisburg from Großenbaum to Rheinhausen, starting operation of the first McDonald’s Food Town in Europe in cooperation with FSB Backwaren GmbH and L+O Fleischwaren GmbH (now Esca Food Solutions). On the premises of what used to be the Diergardt Mevissen mine, the baking factory and the meat processing plant combine their production with the first tailor-made Distribution Center of WLS. At the same time, the WLS satellite in Hamburg is closed.
April 1988
March 1988
Andreas Rost (left) and Nikolaus Meischatz
SDL Service + Distribution + Logistik is established in Austria. As an enterprise of wholesale and import trades focusing on logistics, SDL is exclusively and fully responsible for supplying all McDonald’s restaurants in Austria.
• Take care for visitors • Issue a visitor identity card • Take visitor identity card • Hang up pictures • Adjust monitor • Switch mon
80883_HAV_Einband-Jubilaeumsbuch:Layout 1
30.07.2008
17:17 Uhr
Seite 1
25 Years of Company History: 1981 – 2006
Havi Logistics is making history A new global brand is born
Publisher Havi Global Logistics GmbH Geitlingstraße 20 47228 Duisburg, Germany Phone: +49 20 65 695 04
[email protected] www.havi-logistics.com
25
Years 1981-2006
Since our group was established in 1981 we have grown from a new German business to an international logistics network of 25 Food Service Logistics (FSL) companies and an additional 15 service enterprises. Previously all 40 companies had different names and logos despite being part of one single company’s success story. It is that same passion for logistics, as well as the common vision and level of commitment that unite all our employees whether in Portugal, Russia, Norway or Italy. This powerful bond has been further strengthened by renaming all our FSL companies Havi Logistics, thus cementing our market position as “The Global Lead Logistics Provider” within Europe and paving the way to becoming a major global brand. Ever since our beginnings 25 years ago we have been dedicated to meeting our customers’expectations of the highest food safety standards, reliable supply-chain management and innovative logistics ideas. We have done this with an uncompromising commitment to the environment and continued social responsibility. This remains unchanged today: based on the “one-stop shopping” concept, our more than 4,100 employees continue to provide dependable logistics services in Europe under the banner of Havi Logistics.
Responsible Christoph Thünemann General Manager Corporate Communications
The Global Lead Logistics Provider
In July 2008 the corporation previously known as Alpha Group, “The European Lead Logistics Provider”, was renamed Havi Logistics. And along with the new name came a simultaneous increase of international expansion.
The Global Lead Logistics Provider