< PreviousCOVER STORY 20APRIL - MAY 2021 | LOGISTICS MIDDLE EASTwww.logisticsmiddleeast.com receive deliveries accurately and on time. To be able to promise a delivery slot, com- panies like Amazon have to know exactly where their customers are. “Many people in the Western world use ZIP codes and postal codes as a way to know where the location of the delivery address is. In our part of the world, some- times you have landmarks, sometimes you have city names that are the same but in different regions. So we had to innovate a lot in terms of how our logistics systems are able to give these promises and be as accurate as possible for Prime members. At the same time we had to build the right logistics infrastructure on the ground so our sellers, our fulfillment services, the businesses who sell on Ama- zon in Saudi, feel like our de- livery is at the global standard and meets the expectation of customers in this region.” When a giant like Amazon adapts its logistics set-up, so too must its partners. Mouchawar says he is seeing fellow or- ganisations in the region evolve and invest in line with the developing e-commerce scene. He cites Saudi Post and Emirates Transport as two groups in the Gulf that have evolved their infrastructure allow- ing Amazon to deliver on its promises. He notes: “Three or four years back, delivery promise, logistics and cash payment were big e-commerce barriers. And we’re see- ing that shift today. You’re seeing much bigger growth overall for the e-commerce sector fuelled by the ease of logistics, the improved customer experience and im- proved payment-processing capabilities on smartphones. You also see the sellers on Amazon – which make up more than 55 percent of what we sell today – are doing better and growing faster.” During the pandemic, Amazon was forced to evolve its logistics infrastruc- ture rapidly to be able to keep up with changing customer demands with peo- ple less inclined than ever before to wait more than a few days for delivery. At the same time, a massive boom in e-commerce and medical equipment sales made for a perfect storm which caused supply chains to creak and crack. Mouchawar says the group had to innovate quickly but importantly had to keep things simple for the custom- ers and its logistics partners. This approach was also nec- essary so smaller companies with more modest logistics infrastructures could serve Amazon sellers and deliver packages using Amazon’s technology on personal devices. Crucially, it ensured customers and Amazon were able to trust companies to deliver packages on time. Describing the kind of tech deployed, Mouchawar says Amazon extended its fulfillment and warehouse technology to manufacturers in the Gulf region, meaning they were able to ship directly from their warehouses. The organisation also sought to make its last-mile technology easily ac- cessible to small logistics companies and businesses that wanted to set up their own AMAZON EXPANDS SAUDI ARABIAN DELIVERY NETWORK Amazon is growing its operations network across Saudi Arabia with 11 new buildings and more than 1,500 jobs to enable faster and more fl exible deliv- ery options to customers in 2021. The enhanced delivery network will boast a total footprint of six fulfi llment centres that store goods and 13 delivery stations from which the parcels are delivered. This investment will bolster Amazon’s fulfi lment network’s storage capacity by 89 percent and increase its delivery network area across KSA by 58 percent. Amazon also partners with Saudi Post and a network of ten delivery service partners, enabling the company to serve more customers throughout the country. Amazon’s investments this year will achieve an enhanced storage capac- ity delivered through a pipeline of new openings, closure of older buildings, and upgrades designed to provide a more innovative, faster and more consistent experience for customers. By the end of 2021, Amazon’s fulfi lment network will reach across a total fl oor area of over 867,000 square feet – the equivalent of more than ten football fi elds – housing millions of consumer items. 58% Amount Amazon has increased its delivery network area in KSAThank you to our esteemed colleagues and friends for your recognition of our efforts! An ITP Business Event WINNER OF THE EXPRESS LOGISTICS COMPANY OF THE YEARCOVER STORY 22APRIL - MAY 2021 | LOGISTICS MIDDLE EASTwww.logisticsmiddleeast.com infrastructure in a particular city or zone. In this way, Mouchawar wants businesses to be able to tap into and link up with Ama- zon’s network. “These start-ups may not have all the technical capability, but they will defi- nitely have the local know-how. They know their cities well. They know the addressing scheme well. So by putting the two together, making the technology available to them, we’re able to really jumpstart many of these smaller service providers for us. And at the same time for them, they can guarantee business from Amazon on a daily basis. And as we all know, e-commerce is growing, so it’s a way forward for them to really grow.” In theory, as Amazon and its partners in- vest together, ultimately the customer expe- rience and satisfaction levels improve. But with the pandemic, consumer demands shot up when it came to e-commerce. Moucha- war had to focus initially on expanding the workforce and number of delivery stations and fulfillment centres on the ground in Saudi. But he also had to think on his feet to meet e-commerce demands. “We went out and said: ‘Airline transport has closed and demand for mobility has come down’. So it was a case of: ‘How can we use your vehicles that are usually parked around the airport to help us in meeting the demand?’ We even went out to car-sharing companies and said: ‘You’re not transporting people. We need you to transport goods.’ So while we grow our teams organically, we also make MAKING A BUZZ: DRONES FOR LOGISTICS How likely it is that Amazon will adopt drones as a delivery or logistics solution in the Gulf in the next fi ve years? The giant’s Middle East boss, Ronaldo Mouchawar, is aware of the role currently played by drones in industries across the world and reveals that it is something he has looked at. “We do have pilots in certain regions. I see, for example, in rural areas, they may play an even bigger role in terms of delivery. [It is] something we’re evolving and looking at. In the Gulf region, how- ever, we are focused on making sure our current services work well, for example understanding streets and addresses and things our customers tell us, but I do see technologies evolving.” Mouchawar says Amazon has also made a signifi cant investment in environ- mentally friendly vehicles to reduce its carbon footprint. “I’m excited that we can one day hope- fully bring these new types of delivery technologies, be it electric cars or drones, to the region. Today they are being piloted all over the world in different en- vironments and different customers and areas require different solutions. But we’re more focused right now to make sure our service here for customers, local partners and our global sellers, is as fast and good as it can be.” sure that wherever possible, wherever there was extra supply of mobility because people were staying at home, we’re able to tap into it using Amazon’s technology. The shift for these companies was much easier than if they would have had to build their own technology.” Clearly then, Amazon sees the value in working with smaller and more unlikely companies to strengthen its supply chain. Flexibility is crucial in crises and the re- gion’s largest majors are unlikely to con- tinue to rely wholly on a narrow base of logistics hubs and operators. This method of running supply chains could dictate part of Amazon’s strategy in Saudi Arabia, which presents significant opportunities for logistics operators in and around the kingdom. Already we have seen Amazon and other majors establishing new bases in Saudi Arabia in the last 12 months. The time is now for supply chain hubs across the Gulf to make themselves heard and help support and facilitate the expansion of e-commerce groups looking to capitalise on the pandemic surge. C M Y CM MY CY CMY K JAN_AD_FINAL.pdf 1 1/21/20 10:40 PMSUPPLY CHAIN HEROES LOGISTICS MIDDLE EAST AWARDS 2021 The Middle East’s logistics sector finally came together to recognise the industry’s steadfastness after year of untold crisis. Over the coming pages, we bring you the details and comments of the winners as well as all the action from the night. The winners of the Logistics Middle East Awards 2021 have been unveiled following an evening of reflection and recognition in Dubai. Some of the logistics industry’s top companies and professionals assembled at the JW Marriott Marquis, adhering to social distancing and health and safety protocol while they did so. 2020 was a year of crisis. But it has also brought out the best in supply chain operators. During the evening, the Gulf ’s rich logistics community recognised its achievements and resilience, honouring those businesses going above and beyond. In total, 14 highly prized awards were presented to well deserving recipients. Each category was incredibly close this year, with every company involved deserving of a nod. This year’s edition of the LME Awards would not have been possible without the support of sponsors LogSquare, IQ Fulfillment, ASYAD, Almajdouie Logistics, Hellmann Worldwide Logistics, Grand FreightX and ALS Logistics Solutions.LOGISTICS MIDDLE EAST AWARDS 2021 25LOGISTICS MIDDLE EAST | APRIL - MAY 2021www.logisticsmiddleeast.com Considering the current climate, it has never been so important for suppliers and operators to show support for their customer base. In total, seven companies stepped forward to sponsor the Logistics Middle East Awards 2021. Here, we get to know each one. LogSquare is a provider of intra logistics engineered and automated solutions. It offers a complete range of comprehensive integrated solutions and services right from inception to execution. The solutions range from the provision of handling equipment and controls for the highly automated facilities to advance IT solutions within the supply chain domain. Its services assist companies in streamlining their supply chains and in forging sophisticated facilities and operations. The solutions and services categories include among other conveyors and sortation systems, automated storage and retrieval systems, advanced picking modules as well as systems and controls. The company’s main differentiators are its local engineering and implementation capabilities always with a European backbone. LogSquare has successfully completed several projects in the Middle East region and is currently working on more. The solutions have covered several business verticals with a recent focus on Rack Clad, e-commerce and Retail DC applications. LogSquare strives to leverage on its recent successes and further widen its reference base. The competitive requirement in e-commerce and high customer expectation are propelling automation and technology. Faster and more streamlined operations are becoming critical to achieve the desired fulfillment in the warehouse. Companies are looking at ways of doing more with less and hence the pick-up of intra logistics automation. IQ Fulfillment is one of the GCC’s newest and most exciting logistics start-ups. Launched in Dubai in 2019, the company supports the needs of SMEs with the MENA region’s first robotic fulfillment centre. The company is filling a distinct gap in the logistics industry by offering e-commerce businesses the edge they need to compete in a fast-evolving industry. IQ Fulfillment’s advanced intelligent robotic solutions and cutting-edge software platform have come into their own in recent months as businesses around the Gulf have scrambled to move sales online during the pandemic. As part of its effort to lead the digital transformation of the MENA logistics sector, the UAE-based start-up recently secured a partnership with a Chinese robotics firm. 2021 is an iconic year for the Hellmann Worldwide Logistics family. It is celebrating 150 years of operations in the world, having continuously grown closer as a family and projected this to its customers. In 2020, it announced its strategic partnership with Dubai CommerCity and DHL Express to provide seamless logistics experience and high quality services that will allow seamless and efficient ecommerce, warehousing and last mile operations for regional and global companies. Its Middle East network has grown with the opening of Hellmann offices in two new countries – Oman and Egypt. Hellmann’s new offices in both Egypt and Oman are officially opening in the first half of March 2021 with the intention of allowing a more streamlined commercial and operational relationship with customers. The presence of Hellmann’s brand grows its customers’ trust and makes it easier for the logistics group to handle issues and offer more detailed solutions to clients, first-hand. Hellmann recognises that being closer to customers is only one crucial element. It knows that it must constantly adapt to changes presented across all of its customers’ industry verticals to keep the supply chain moving. 150 years ago, handwritten notes were used to identify shipments. Because innovation is deeply ingrained in Hellmann’s DNA, it knows that it comes in many shapes and colours. Expanding digital platforms and capabilities, Hellmann will continue to foster solutions that solve supply chain challenges and generate additional opportunities for customers. BACKING THE INDUSTRYLOGISTICS MIDDLE EAST AWARDS 2021 26APRIL - MAY 2021 | LOGISTICS MIDDLE EASTwww.logisticsmiddleeast.com ASYAD is Oman’s new integrated logistics provider. It is the centerpiece of Oman’s ambition to reclaim its 2,000-year-old regional trade leadership and establish the country one of the world’s top ten logistics hubs by 2040. Despite the impact of COVID-19 on the global trade and economy, Oman’s strategically located and well-equipped ports, offering end-to-end comprehensive logistics solutions, have witnessed a surge in their operational and commercial business. Working in close co-operation with government agencies, ASYAD Group endeavoured to facilitate cross-regional trade and secure local market requirements for commodities and goods from their country of origin, through linking Omani ports with 86 regional and global counterparts. The resilient and prompt response of Omani ports to the repercussions of the global pandemic is a testament to the effectiveness of their operations, leadership and the integrated model and collaborative efforts amongst the logistics sector in Oman. A pioneer in its industry for over 50 years, Almajdouie Logistics is a leading integrated supply chain provider in the Middle East. It provides customers with unique solutions tailored to meet their specific needs and its services span diverse sectors in many countries. Almajdouie offers a wide range of services, including transportation, freight forwarding, terminal handling, automotive logistics and warehousing. Furthermore, it is globally recognised for handling heavy weight cargo. With a footprint across the MENA region, it continues its legacy of building business relationships based on trust and reliability. Driven by its commitment to exceed the expectations of customers with complex and demanding logistics requirements, Almajdouie has become one of the region’s leading end-to-end logistics services provider. It owns, operates and integrates assets, which are comprised of an expansive fleet of vehicles and trailers and expansive terminal and warehousing facilities. Grand FreightX Shipping offers a one- stop-shop solution for structuring and managing logistics. Its vision is to create a partner in each customer by adapting to their needs and offering a personalised service and being always ready to go the extra mile to ensure complete satisfaction. FreightX was founded by experienced and motivated staff in the freight forwarding industry and the team has been working for many years in the international transport business. FreightX is among the fastest growing freight forwarders in UAE and brands itself as a one-step-stop for international shipping and logistic needs. Headquartered in DAFZA, Dubai, with a team of over 15 years’ experience in the freight forwarding industry, FreightX provides a way out to handle any challenge that may arise with shipments. Today ALS Logistic Solutions is one of the leading automation solution providers of material handling, air cargo and car park systems. With more than 30 years of worldwide experience, ALS has proven its expertise in ergonomic space-saving solutions for airports, warehouses and parking areas. ALS’s global experience ensures a reliable network of suppliers, providing world- class engineering and IT solutions for our clients worldwide. Having offices in Dubai, Germany, Malaysia and Singapore, ALS has gained loyalty from the major players in the logistics market. IOT, robotics, automated cranes, conveyors and driverless technology are the main drivers in ALS’ equipment portfolio. The group relies on reducing the manpower needed for warehouse, storage and retrieval handling whether it is for small boxes, pharma product, large airline containers or cars. The reason for this is to maximise the area usage inside the facility and reduce dependencies on human driven movements, which are slow and unsafe in some cases. Future-proof solutions, customised approaches, perennial experience, attention to details and narrow focus on innovative automation mean ALS is trusted by professionals. Some of its well-renowned clients are major airlines, airports, 3PL companies, ecommerce as well as private and commercial customers with car parking needs for space saving. ALS Logistic Solutions has been active in the local MEA market since 2001 with installations nearly in every airport in the region.LOGISTICS MIDDLE EAST AWARDS 2021 27LOGISTICS MIDDLE EAST | APRIL - MAY 2021www.logisticsmiddleeast.com 3PL OF THE YEAR - AL-FUTTAIM LOGISTICS BESPOKE LOGISTICS PROJECT OF THE YEAR - ARAMEX Sponsored by The winner of 3PL of the Year is Al- Futtaim Logistics. “This award is exceptional because it recognises all the hard work that the silent community, with a lot of effort, has done to make sure logistics happens seamlessly. Yes, we had setbacks but we came back strength-by-strength, bit-by- bit, to make sure that we reached the level that we needed to,” said Binoy George from Al Futtaim Logistics. Al-Futtaim Logistics’ new facilities are becoming extensions of its partners’ businesses in the MENA region. Despite the pandemic, the UAE-based group is expanding its operations to other parts of the GCC. Al-Futtaim Logistics recently launched operations in Sohar and mainland Oman, providing end-to- end supply chain services from retailers to distributors in diverse sectors. Meanwhile, the company also expanded further in Saudi Arabia opening its second warehousing facility in Riyadh. The winner of Bespoke Logistics Project of the Year is Aramex. Suzandi Viljoen from Aramex said the award was representative of a team that has been built internally. “We believe that any foundation for a good partnership is trust. And our logistics team has really been able to do that. They’ve been able to build trust internally. And that enabled us to extend that trust. So, different departments, including commercial teams, solutions teams, they’ve been able to work together and sustain that trust and extend it to our clients.” Right from the start of the UAE’s lockdown in 2020, Aramex partnered with Mubadala Healthcare, Dubai’s Health Authority and Abu Dhabi Ports to provide door-to-door medical supplies service to patients across the country. Under these agreements, thousands of patients across the UAE received Al-Futtaim Logistics’ diverse industry specialisation aims to ensure a reliable solution for every sector using technology and artificial intelligence to enhance customer experience and provide them with end-to-end solutions. In this way, the group is extending its necessary medical supplies to their doors on a daily basis, which helped alleviate pressure on the healthcare system and ensured government-mandated physical distancing protocols are respected. Under the agreement, Aramex collaborated with participating hospitals and pharmacies footprint, even in the current climate, by focusing on cold chain solutions like its state-of-the-art cold storage facility in Dubai’s Jebel Ali Free Zone. The highly commended nominee for this category is Integrated National Logistics. across the UAE for next day delivery of over-the-counter drugs, prescription- only medicines, and nutritional feed to affected patients that are recovering outside of hospital facilities. The highly commended nominee for this category is Almajdouie Logistics Company.LOGISTICS MIDDLE EAST AWARDS 2021 28APRIL - MAY 2021 | LOGISTICS MIDDLE EASTwww.logisticsmiddleeast.com CORPORATE SOCIAL RESPONSIBILITY OF THE YEAR - TRISTAR GROUP EQUIPMENT SUPPLIER OF THE YEAR - IQ ROBOTICS The winner of Equipment Supplier of the Year is IQ Robotics. Fadi Amoudi, founder and CEO, IQ Fulfillment, picked up the award. He said: “We have managed to integrate a lot of technologies all together and we created a centre of excellence in Dubai … that will take and transform any bricks and mortar that wishes to transform from the regular bricks and mortar industry into new kinds of industries. We customise tailor-made solutions for them in order to take them to the next level, of course with the best ROI.” IQ Robotics has in recent months brought its world-class automated and robotic technologies to the logistics market with the aim of transforming businesses. The company’s robotics services include autonomous picking and sorting vehicles that make logistics more seamless and efficient for SMEs as well as large-scale enterprises. These technologies and advanced equipment are becoming increasingly useful in a post-pandemic world and IQ Robotics has wasted no time in capitalising on the growing trend for automated logistics. IQ Robotics is creating a centre of excellence out of Dubai, with a team of international and local experts who are directly involved in the customer journey from start to finish. The highly commended nominee for this category is PEOPLE. The winner of Corporate Social Responsibility of the Year is Tristar Group. Arthur Los Banos, corporate communications manager, Tristar Group, said on the receiving the award that the organisation aims to be a “business for purpose”. “For Tristar, COVID or no COVID, it’s really a responsible business. For this award, we offer this to our colleagues around the world but especially in Africa, where we are supporting educational projects.” Since its inception in 1998, Tristar’s sustainability strategy has gone hand- in-hand with its business strategy and in fact is closely linked to its long-term growth in line with its mission of being a Business for Purpose. Its commitment to being a strong advocate of the United Nations Sustainable Development Goals (SDGs) will continue unabated despite the pandemic challenges, the firm says. Aside from its environmental focus, Tristar Group contributes and takes action towards global issues in the communities where it operates. It acknowledges the triple bottom line responsibility towards stakeholders while striving to achieve top business performance. As part of the business approach, Tristar strives to engage with local communities and foster a relationship of trust and collaboration. The highly commended nominee for this category is Red Sea Gateway Terminal.AVIATIONBUSINESSME.COM THE LATEST NEWS AND ANALYSIS FOR AVIATION INDUSTRY EXECUTIVESNext >