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Raising the Level BollorĂŠ Africa Logistics: building synergies across its network in East Africa for competitive advantage
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of Logistics
Writer Emily Jarvis
f r om t h e Ea s t A f r i c a n C o a s t
Project Manager Stuart Shirra
to the Heart of Africa
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t has been more than 50 years since the Bolloré Group began their operations in Africa and since then, the Group grown to become the leading integrated logistics network in the continent, with subsidiaries in 55 countries, 45 in Africa. While the Bolloré Africa Logistics brand was only created in 2008, the Group’s activities were previously undertaken under various successful brands including SDV, which is a whollyowned subsidiary of the Bolloré Group. The logic behind the brand change was to unite all activities in the continent so as to create synergy in strategy, direction and operations. In East Africa, Bolloré Africa Logistics has 33 operational bases in the region and an active presence in Kenya, Uganda, Tanzania, Rwanda, Burundi, Sudan South Sudan, Ethiopia and Djibouti. With its unrivalled territorial coverage, and decades of experience and success in Africa, Bolloré Africa Logistics is today the specialist in customised industrial projects, with customers all over the world.
A leader in public-private partnerships
Bolloré Africa Logistics is also the leading operator of public-private partnerships in the port and rail sectors, with 30 public-private partnerships, including 16 container terminals, in the port, rail, inland waterway and dry port sectors. Their dual role as port operator and logistics provider informs a unique end-toend approach to develop the entire logistics corridor, from the seaboard to the heartland of the continent. Performance and efficiency of the port and inland operations are directly related. “Our corridor approach involves developing the point of entry, i.e. the Ports, as a gateway
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to trade in the hinterland as well as investing in supportive infrastructure in the hinterland to enable the Port to operate as efficiently as possible,” explains Jason Reynard, the CEO of the East African region. “In East Africa, this involves optimising our network to ensure that we are able to provide the same standard of service across the region as well as additional premium services that offer additional value to our customers at every stopover along the different corridors in the region. For example, we have Inland Container Depots in Kampala and Kigali, where our customers can consolidate/ deconsolidate cargo for onward freight to South Sudan, Burundi and East DRC. In doing so, we offer our customers an alternative to the bases we have in Mombasa and Nairobi.” In Kenya specifically, Bolloré Africa Logistics was among the first companies to set up an Inland Container Depot in Mombasa, with a view to decrease congestion at the Port of Mombasa by providing a more efficient alternative for custom clearance. The ICD concept has been instrumental in increasing efficiency at the Mombasa Port, handling 61% of local imports and 43% of the total cargo inflows at Mombasa.
Strategy for Sustainable Development
The corridor approach is also a testament to the company’s commitment to contribute to the continent’s development: “Our greatest strength is our entrepreneurial spirit. The primary objective of our business is creating opportunities for trade - we are an enabler for economic development. Thus, our ability to identify opportunities for our customers and create tailor-made solutions to ensure that they can effectively and efficiently operate in new markets is
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a key advantage. The success of our foundation, and our current success, can be attested to this.” Underpinning this success however, is the commitment to continually invest in improvement and optimization. “We believe not only in doing things different, but also doing things the best way they can be done. Thus, Bolloré Africa Logistics is engaged in the quest for excellence,” Reynard cites. The Bolloré Group has been a member of the United Nations Global Compact since 2003. In 2011, it signed the 10:10 undertaking which sets out to reduce greenhouse gas emissions by 10%. In line with this, Bolloré Africa Logistics seeks to conduct its business in compliance with the most demanding international standards, thereby guaranteeing that its customers enjoy optimal service while safeguarding its employees and its environment. “We are a responsive company that puts the needs of its customers
first: through innovation, we widen our customers reach in the continent enabling them to pursue new markets. Through our commitment to quality and safety, we ensure that our customers achieve the greatest value, while safeguarding the sensitive environmental and social structures of these frontiers; and through responsible investment, we strive to build a sustainable impact in our operations and for the communities we work with.”
Challenges and opportunities
Obviously, poor infrastructure is a challenge for any business in Eastern Africa. A lot of time and money is spent contending with the road network; for the governments maintaining the roads, and businesses losing out on time to market. The lack of a reliable rail network also puts the region at a disadvantage and contributes to having some of the most expensive transportation costs worldwide. On
Thus, Bolloré Africa Logistics is engaged in the quest for excellence”
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Tipper Hauliers Limited Tipper Hauliers Limited provides all aspects of international transportation and tailor made logistics solutions. The company mainly specialises in: Turnkeys projects Containerized loads Less containerized loads Break Bulks Heavy machineries Relief & emergencies supplies Tipper Hauliers Limited keeps and maintains a strict vigil on the quality check on any services it provides, from point of loading to delivery along the designated route to the loading point. The company maintains close tracking on the entire cargo movement to ensure maximum efficiency is optimised. Email tipperhauliers@africaonline.co.ke / info@tipperhauliers.com
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the upside however, digitisation and consequent integration of the regional customs process, if handled properly, will shorten the time taken for clearance as well as reduce contentious issues arising from the differences in regulation between the EAC member states. The region is currently witnessing its version of an industrial revolution. The discovery of oil in Uganda and Kenya, gas in Tanzania, new investments into infrastructural developments which cuts across the region, and the growing potential of the mining industry present an opportunity for Bolloré Africa Logistics to employ its unique expertise in providing tailor-made industrial logistics solutions - a global approach tailored for Africa.
Large Scale Professional Teams
Bolloré Africa Logistics has a global workforce of 25,000 in the African
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continent. Having 10% of them based in the East African region speaks to the magnitude of the East African operation. An endeavour to promote local development has seen the company invest millions in training and career development, with over 95% of their management being indigenous Africans. “We have a well-established secondment system, which allows our staff to work in countries outside their own so as to grow their level of experience while streamlining internal processes and systems. The program has proved useful in encouraging innovation, an attribute that is essential to growth in such a competitive sector,” remarks Reynard. In the last five decades, Bolloré Africa Logistics has witnessed tremendous growth. The market is getting tougher, more saturated, which only strengthens their drive to experience and excel in all the projects they undertake. “Our expertise in logistics and port
Our greatest strength is our entrepreneurial spirit. The primary objective of our business is creating opportunities” management, and our extensive investment into improvement of the facilities under our responsibility ensures Bolloré Africa Logistics remains a reliable professional, long-term partner to the authorities, as well as the ship owners, importers and exporters who rely on their efficient operation of these facilities.” Going forward, pursuing their ship-to-shore strategy remains a key growth sector for Bolloré Africa Logistics.
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E n q u iries Tel (UK): +44 (0) 1603 559 151 Tel (SA): +27 (0) 21 527 0053 ben.weaver@outlookpublishing.com
SUBSCRIPTIONS Tel (UK): +44 (0) 1603 559 152 matt.bone@outlookpublishing.com
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BOLLORE LOGISTICS KENYA SDV, Old Airport North Road Off. Mombasa Road PO Box 46586, 00100 Nairobi Tel: 00254 20 642 1000
www.bollore-africa-logistics.com