What is Contract Logistics? Our Definition

Was is Contract Logistics? Our Definition

Contract logistics has gained enormous importance in the age of supply chain management. Cooperation with a comprehensively integrated logistics provider is a key success factor when service provision is shaped by supply chains with different players involved. This happens within the framework of contract logistics. This article is based on the unique Top 300 Logistics Companies Germany – List of the largest logistics companies.

  • Excel list of the 300 top German logistics companies (by revenues) for download
  • Including: sales (2015-2018), number of employees, e-mail, address, telephone number, management, etc.
  • Detailed information on the field of activity (transport logistics, warehouse logistics, industrial logistics, pharmaceutical logistics, food logistics, port logistics, etc.)
  • Download of the Excel file valid indefinitely, free updates within one year after purchase, free preview file available
  • Last update: 10.08.2020

Designed for strategic cooperation

Contract logistics is generally understood to be a long-term cooperation based on the division of labour between a goods manufacturer or trader and a logistics service provider. It is based on a corresponding contract (contract) and is designed as a partnership. Other typical characteristics of contract logistics are: the cooperation involves a considerable volume of business, the logistics service provider assumes central logistics functions within the supply or value chain and represents the link within the supply chain.

He thus assumes significant responsibility for the functioning of the supply chain. Contract logistics cooperation has the quality of a strategic partnership. It is always individually tailored to the needs and requirements of the partner. Turnover orders of half a million to one million euros per year are considered a critical threshold for contract logistics, but there are certainly contracts in the order of several hundred million euros per year.

The largest contract logistics company in Germany and worldwide is DHL Supply Chain, a division of Deutsche Post, which was created in 2005 through the acquisition of the British logistics company Exel. DHL Supply Chain has an annual turnover of over 14 billion euros and employs more than 145,000 people worldwide. Another major German player in the international contract logistics business is Deutsche Bahn subsidiary Schenker. In addition to land transport, sea freight and air freight, it also serves the contract logistics business segment.
Source: Listenchampion Image source: Unsplash

Logistic Industry ReportIn our sector report on the German logistics industry, you will find detailed information on areas of activity, an overview of the locations and clusters of the logistics industry, key financial figures as well as insights into the gender distribution and sustainability efforts of the industry.

 

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