Helping reduce the inevitable temptation to increase buffer stock, with its consequent costs
As part of its AirDirect service, which is an own controlled network (OCN), GEODIS has confirmed a two-way schedule of flights from China to Europe and back, through to early 2021, guaranteeing its customers a regular and reliable service.
GEODIS originally instigated its full aircraft charter arrangements on this route in March with ad hoc flights and introduced a weekly timetable in June to meet the urgent need for air cargo capacity which had diminished due to the effects of the pandemic. Now, with both freighter and passenger belly-hold space still in short supply, the logistics provider has announced a permanent schedule reaching into next year. Weekly direct flights will depart from Shanghai (PVG) every Monday and from Amsterdam (AMS) each Sunday to service what is expected to be a post-COVID resurgence in demand during what is traditionally a fourth quarter peak season.
The advent of the China-Europe-China service brings the company’s total investment in GEODIS’ OCN to over €70.0 million. More than 400 flights have been successfully completed across Asia, Europe, North and Latin America to date.
Among the customers requiring such a service are, in particular, a European auto manufacturer equipping its plant in China with sub-assembly parts.
In addition, Lenovo, a global leader in the manufacturing of personal computers, smartphones, workstations, computer servers and smart IoT devices, is one of GEODIS’ customers of its AirDirect Mexico service (Hong Kong/ Guadalajara) as well as its weekly direct flights from Shanghai-Amsterdam. GEODIS ensures the transportation of Lenovo’s products are safely and securely handled, helping Lenovo to deliver its components to factories and finished goods to customers in a timely manner.
The regularity and reliability of this newly-established service, coupled with the visibility provided by the 3PL’s IRIS systems technology will help manufacturers and retailers rejuvenate their business as the global economy recovers post-COVID. GEODIS hope to help them prevent further supply chain disruption and reduce the inevitable temptation to increase buffer stock, with its consequent costs.