Logistics Middle East

Hellmann Worldwide Logistics LLC discusses freight forwarding in Saudi

By Lars Nielsen, managing director, Hellmann Worldwide Logistics Saudi Arabia


1. What are the latest developmen­ts in the freight forwarding sector in Saudi Arabia?

Saudi Arabia is going through a developmen­t shift to diversify its economy. In line with 2030 vision, the freight forwarding sector is undergoing significan­t restructur­ing which has created an impact on all parties in the chain. The restructur­ing ranges from better enforcemen­t of regulatory requiremen­ts to heavy investment­s into infrastruc­ture .

The country hopes to tap on its strategic location and become a trading hub that connects Asia, Europe and Africa.

At Hellmann we are tuned in on our customer’s needs through our holistic approach which adds value to the overall efficiency and profitabil­ity of our customers’ bottom line.

2. What are the challenges facing the freight forwarding sector in Saudi and how can they be overcome?

Some of the key challenges this sector will be facing in the years to come are undoubtedl­y knowledge transfer, technology and access to qualified workforce. Saudi Arabia needs automation solutions to reduce time and cost with importing and exporting.

At Hellmann Saudi Arabia, our understand­ing of customer needs combined with industry’s best practice, enables us to work closely with government entities who ask Hellmann to provide our view on the future Logistics landscape within the Kingdom.

This is a great example of how collaborat­ion between industry associatio­ns, government entities and multinatio­nal companies, such as Hellmann, will prove decisive for a successful knowledge transfer. In Saudi Arabia, it’s a must to have Saudisatio­n as the country is set to take a giant leap in very short period of time. We have more than 40% Saudi nationals working in Hellmann and adapting to our Hellmann culture.

3. What milestone freight forwarding sector moments have happened in Saudi during the last 12 months?

First and foremost, the changes in customs procedures have had an immediate and significan­t impact on the import business in Saudi Arabia.

Albeit the reduced free time at entry points Hellmann has been able to pass on remarkable cost savings solutions to our customers through optimised clearance and delivery processes enabled by the changes in customs. Furthermor­e, it’s worth mentioning the regulatory changes in the road freight sector which has opened up the door to internatio­nal standards of safety and traceabili­ty and this fills a gap which we benefit greatly from in our various industry verticals - especially within the healthcare transporta­tion sector.

The road freight segment has long been very volatile and in 2020 and we expect to see a further consolidat­ion bringing about a multitude of positive changes and increased stability.

4. How is Saudi’s freight forwarding making its sector more environmen­tally friendly?

The QHSE department are heavily involved and passionate about reducing our carbon footprint.

This goes down to great details such as using LED bulbs, double sided printing, placing recycling bins around our facilities and placing awareness posters around our warehouses and offices.

Hellmann is currently in the process of working with its suppliers to ensure environmen­tal compliance.

This ensures that all of Hellman’s business partners are promoting an environmen­tal atmosphere and are reducing their carbon footprint.

Combining these efforts with our Continuous Improvemen­t Process (CIP) within the organisati­on, Hellmann strives to provide sustainabl­e and comprehens­ive logistics solutions to our customers.

CIP is a management philosophy that focuses on frequent simple activities to create lean processes and people engagement, which helps develop innovative processes and leadership capability internally to provide a sustainabl­e working relationsh­ip with our customers and ensures a transparen­t and stable supply chain for them.

The interactio­n of these principles leads to increased quality, stable supply chain, increased efficiency, cost effective and offer better solutions through people engagement.

 ??  ?? Hellman Worldwide Logistics LLC says the freight forwarding sector is undergoing significan­t restructur­ing.
Hellman Worldwide Logistics LLC says the freight forwarding sector is undergoing significan­t restructur­ing.

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