In line with its overall growth strategy Kuehne + Nagel will significantly expand its European overland network. By 2014 the number of scheduled international lines will have increased from 300 to 500 with departure frequency doubling to 2,000 per week. The introduction of the new product portfolio "KN Euro-Line" together with a centralised network management approach will provide the basis for the intended growth.
Since 2007 Kuehne + Nagel has continuously extended its European groupage network through organic growth as well as strategic acquisitions. Today, the company’s groupage network has established line services between 38 countries across the continent. The network is based on a central hub in Haiger, Germany, and seven regional hubs. In addition to its 300 international connections, Kuehne + Nagel operates strong domestic groupage networks in large economies such as France and Germany.
To optimise transit times within the network, Kuehne + Nagel will increase its departure frequency and the number of direct lines between Europe’s economic centres; currently direct lines between Poznan and Strasbourg, Stuttgart and Milan, as well as Munich and Bologna have been set up. "We will add one new international direct connection each week during the next four years, with the objective to offer 500 scheduled connections throughout Europe by 2014," said Dirk Reich, Member of the Management Board of Kuehne + Nagel International AG.
A central network management located at the headquarters in Schindellegi, Switzerland, will be in charge of planning, control and supervision of the network activities. This centralisation and full transparency enables Kuehne + Nagel to optimise connections and transit times leading to a higher quality level. The standardisation of processes will improve the network efficiency. A comprehensive time table provides an overview of all international lines, and via the KN Scheduler (www.kn-scheduler.com) customers can access transit times and routing of their shipments.
The introduction of "KN Euro-Line", a unified product portfolio across Europe, complemented by the "KN Parcel" product is important for the extension of the overland network. The standard product "KN Euro-Line" features clearly structured tariffs and set time tables. It is being supplemented by "KN Euro-Line Time-Definite", which guarantees on-time delivery within an agreed timeframe. Kuehne + Nagel offers customers with time-sensitive shipments the two express products "KN Euro-Line Express" (with shorter transit times than the standard product) and "KN Euro-Line Express12" (shorter transit times and delivery before 12:00 a.m.). Along with their regular groupage cargo customers can also hand over smaller shipments of up to 32 kilogrammes using "KN Parcel".
Starting January 2011, Kuehne + Nagel and its strategic suppliers, two experienced parcel service providers, will gradually introduce this parcel service across Europe. Kuehne + Nagel is breaking new ground in the groupage business with "KN Euro-Line Climate-Neutral", which offers completely greenhouse gas-compensated groupage services. Thus, customers will be able to send climate-neutral shipments shortly.
"Our standardised offer is tailored to customer needs for reliable, clearly structured and innovative products," said Dirk Reich. "From parcel to complete load – we’re offering the full range of solutions from a single source."