Motor Transport 18 June 2018

Page 1

Sharp ■ Informed ■ Challenging

BOOK N OW

18.6.18

UPTIME REDEFINED CEO and CFO departing and Pass my Parcel to shut following disappointing trading

Heads roll at Connect

MOTOR TRANSPORT AWARDS 2018

MTAWARDS.CO.UK

NEWS INSIDE

30014_MTA_strip_ads_38x64.indd 5

01/02/2018

Ninth network

Leonard and Burns take on Principle roles p3

Restricted licence

Consultation over financial standing limit opened p4

Looking good

Pollock (Scotrans) progress continues a pace p6

OPERATORS IN THIS ISSUE Caterite Food and Wineservice.............p22 Continental Cargo Carriers.....................p3 Delsol .................................................p16 Europa Worldwide Group .......................p3 Gnewt Cargo .......................................p20 Hermes...............................................p22 Howard Tenens....................................p22 McBurney Transport Group...................p26

Connect Group CEO Mark 12:03 Cashmore and chief financial officer (CFO) David Bauernfeind are leaving the business, and its Pass my Parcel network is closing, after a grim trading update last week laid bare significant challenges at Tuffnells. The update said the group’s performance in the third quarter had been disappointing and Connect had consequentially “materially reduced” its pre-tax profit forecast for the full year. A difficult peak period for express parcels carrier Tuffnells contributed to this, it added. In May Connect Group told MT the division’s performance was expected to improve in its third quarter. However, last week’s update revealed that Tuffnells suffered a 12.3% drop in turnover in March, April and May to £43.5m (2017: £49.6m). Tuffnells’ turnover for the year to date was down 3.9% at £136.2m, and it has contin-

Moran Logistics...................................p26 NFT Distribution ..................................p26 Panic Transport .....................................p8 Pollock (Scotrans).................................p6 Poundworld Retail.................................p8 Rexel UK .............................................p20 Royal Mail ...........................................p20 Whistl ..................................................p8

News

Extra

MTR_180618_001.indd 1

p10

By Emma Shone

Focus:

ued to face difficult trading conditions. Connect warned that it does not expect Tuffnells’ full-year performance to be better than its first half’s, which saw the once star performer slump into the red. However, a Connect Group spokesman told MT the decision to shut Pass my Parcel would strengthen Tuffnells’ position as it will no longer have to trunk small parcels for the network and will refocus

on its core IDW operation. The closure of Pass my Parcel is the result of a six-week internal review, and the exit from the market will be “orderly and swift”. Connect Group commercial director Stuart Godman said: “It’s disappointing when a new venture doesn’t succeed, but the level of losses is unsustainable and to continue would potentially compromise investment in our core Tuffnells and

Smiths News businesses.” Connect Group will proceed with three key operational priorities: a turnaround of Tuffnells; a clean exit from the click and collect market with the Pass my Parcel closure; and maintaining a resilient performance at Smiths News. An external hunt for Cashmore’s replacement is under way, but he will remain in the role temporarily to ensure a smooth transition. However, Bauernfeind has left the business with immediate effect. Former Yodel CFO Tony Grace will replace him. The Connect Group spokesman said Grace’s expertise in parcel freight will strengthen the executive team’s knowledge and experience in the sector. “Importantly,” he added, “from an operational perspective there will be no compromise to delivering excellent service as we establish our turnaround plans.”

Everywoman awards celebrate women in logistics Leaders from operators including TNT and DHL Supply Chain were honoured at the FTA Everywoman in Transport and Logistics Awards last week. At a ceremony in the London Marriott Hotel in Grosvenor Square, the dedicated freight awards were handed to DB Cargo UK head of planning Kate Turner for going the extra mile, with the Leader category given to Warehousing

p12

Diamond Distribution MD Keely Priestman. In the Supply Chain category, the Above and Beyond award went to Asda senior manager operating model June Jones, and the victory in the Leader category was awarded to TNT national same day manager – storage fashion and solutions Faye Calland. Everywoman co-founder Maxine Benson said: “The winners represent those

Profile:

Delsol

p16

Livery

making a real difference to transport and logistics, whether it’s through the remarkable transformations they’ve made to the companies they work for or the innovative businesses they have built from the ground up.” David Wells, chief executive, FTA, which sponsored the event, added: “In such economically challenging times, it is vital that the sector continues to attract the very best talent.” and

wraps

p18

MT

Awards

shortlists

p20-26

14/06/2018 16:33:59


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.