April 23rd, 2015: Damco, a leading third party logistics provider, and Coop, one of Denmark's largest retailers, today announced they have signed a partnership agreement appointing Damco as Coop Denmark's sole logistics partner for inbound shipments from Asia.
The three-year contract commences on 1 May 2015. Damco has been managing a significant part of Coop's inbound flows from Asia since 2009, and now both parties have agreed to take the partnership to the next level.
Coop decided on an exclusive arrangement with Damco in order to drive strategic development – supported by Damco's dedicated Supply Chain Development team – and to capitalize on synergies obtained from sharing business strategies and long-term planning.
Coop assessed Damco and other global logistics service providers in 10 key areas including operational excellence, supply chain management capabilities and IT. Damco stood out due to its focus on supply chain development and its commitment to a long-term partnership, proven by Damco's best-in-class customer retention ratio.
"We believe that Coop's strategic and long term view on their supply chain priorities fits very well with what Damco does best. Having partnered with some of the world's largest and most successful retailers over many years gives us the confidence that we can assist Coop in fulfilling their strategic objectives in the years to come", says Mads Drejer, Chief Commercial Officer, Damco Nordics.
The new contract will include integrated supply chain management and advanced EDI connectivity supported by strong key account management. One of the first benefits that Damco aims to deliver is improved freight control in key parts of Coop's Asian supply chain.
"For the last six years, Damco has proved to be an efficient and reliable logistics partner for Coop," says Michael Frølich, Senior Supply Chain Manager, Coop Denmark. "By appointing Damco as sole logistics provider, we can take a more strategic approach to optimising our inbound supply chain with the aim of delivering bottom-line savings for Coop Denmark."