BORUSAN LOJİSTİK INTERVIEW - 2
5-How was 2001 for your company? Can you explain your objectives and expectations for this year?
Borusan Lojistik performed well in 2001, when Turkey experienced one of its biggest crises in history and all markets entered a serious decline. We continued our work in 2001 in line with our vision of making a difference in service quality and diversity and being at the forefront of the organizations providing integrated logistics services to the Turkish market.
In 2001, we carried out 58,081 metric tons of land transportation in June alone and realized the biggest shipment of the last 50 years in Ereğli. We started our project logistics activities as a new service. Borusan Lojistik’s marine transportation division also carries machine parts and waste boilers with weights ranging from 20-100 metric tons. In addition, we have had a vibrant amount of business activity with the agreements signed during the year and the projects we have implemented. For example, we have signed a comprehensive agreement with Oyak Renault that includes the unloading to unbonded warehouse and the storage and loading of automobile parts coming from France, Spain and Italy, as well as their transportation via land from Borusan Lojistik to Oyak Renault. Netaş accepted the project which includes the logistics engineering solutions we have prepared, and signed a Logistics Service Agreement with us.
Borusan Lojistik will also carry piping materials regularly shipped from Gemlik to the Vobarno SPA private pipe plant in Italy, which was purchased by Borusan Mannessmann Boru in 2001. Borusan Lojistik will carry out the marine transportation of the pipes, which will be transported in loads of about 1000 metric tons each month from Gemlik factory to Italy, possible port services to be procured in Italy, warehousing, customs clearance and land transportation up to delivery to the factory.
Our objectives for 2002 are closely linked to our forecasts for the market. Although we see a series of revivals in our economy, we do not expect a serious burst of economic activity, at least not in the first half of 2002. Therefore, our primary objective is to raise the productivity of our business processes with the power we have acquired from our information-focused strategic business partnership with Cat Logistics and develop the most rational business strategies under the current conditions.
Corporations are becoming more and more conscious of the crucial importance of integrated logistics services. We believe that the integrated logistics market will grow by increasing outsourcing in our country in line with the global trend of lowering costs and increasing productivity.
At Borusan Lojistik we aim to maintain our investments and projects without ignoring this insight, while also taking into account the crisis conditions. Among these, our investments in human resources and education have a special place. We also maintain our internal e-logistics project and intend to advance it to the B2C stage. Meanwhile, work carries on our new warehouse investment in Gebze and the establishment of a new warehouse on the European side of Istanbul.
6- Does your company carry out exports? If yes, can you provide information about the countries you export to and your export numbers?
Borusan Lojistik does not have activities in the export area.
7- Can you provide information on your company’s Quality Certificates?
The first half of 1999 and the first half of 2000 for Borusan Lojistik was a period in which appropriate infrastructure investments, new organization and training activities were carried out to provide logistic services. Quality control has an important place in procuring the supply chain in the South Marmara region and then across the entirety of Turkey, ranging from the procurement of raw materials to the consumption of the product.
A member of the Council of Logistics Management and the Baltic and International Maritime Council, Borusan Lojistik’s “Total Quality” understanding has been certified by the internationally recognized ISO 9002 quality system certificate.
8- What can you tell us about your sector?
At the foundation of logistics lies the focus of each enterprise on its core business and the philosophy of outsourcing non-economic, small-scale and low-cost services. In order for the logistics industry to develop, a collaborative business understanding needs to develop in order that the work of both sides is fully adopted. On the other hand, there are gaps in the legislation in Turkey. Legal problems must be solved and the necessary infrastructure and logistics must be defined legally for the development of the logistics sector. In addition, companies should become self-aware of the added value to be created by logistics. The impact of a 5% reduction in logistics costs on profitability is equal to or greater than the profitability achieved after 20% increase in sales.