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Home » Is There a Return to Focus on Core Services by Ocean Carriers?

Is There a Return to Focus on Core Services by Ocean Carriers?

August 26, 2013
Carbon Positive

Although partly driven by financial necessity, the ocean carrier trend appears to recognize that one-stop shops are not the way forward; that expansion via vertical integration should be replaced by greater focus on the provision of core services.

This is implicit in Maersk's statement, which reads: "˜The Group's strategy is to build on its strong presence in shipping, energy and related activities. We have been pleased with the business levels, the profitability and the quality of management at BTT. It is, however, a provider of drayage services that does not fit in our long-term strategic focus [any longer]. The sale will allow the Group to reallocate resources to the strategic focus areas within shipping, energy and related activities.'

The industry trend is not new. For example, in June, Maersk announced the sale of its European railway company ERS Railways to Freightliner. In May, Zim Line sold its holdings in two companies that own container manufacturing factories in China. In April, MSC announced the sale of 35 percent of its ports division, Terminal Investments Limited, to Global Infrastructure Partners, and in January, CMA CGM declared the sale of 49 percent of its container terminal operating company, Terminal Link, to CMHI. Much earlier, in 2010, Maersk already sold its stake in the logistics company Trans-Siberian Express Service to InterRail, whilst others started reducing their involvement in third-party logistics services even before then.

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Logistics Global Logistics Logistics Outsourcing Ocean Transportation Transportation & Distribution Inventory Planning/ Optimization Business Strategy Alignment Global Supply Chain Management Supply Chain Security & Risk Mgmt
KEYWORDS 3PL Business Strategy Alignment Carbon Positive Cargo Management Global Logistics Global Supply Chain Management Inventory Planning/ Optimization Logistics logistics & supply chain logistics management Logistics Management: Ocean Transportation Logistics Outsourcing Ocean Cargo Ocean Transportation SC Security & Risk Mgmt supply chain Supply Chain Analysis & Consulting Supply Chain Management Transportation & Distribution Transportation Management
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