What are the advantages of working with an asset-based logistics company? - Girteka - Responsible Logistics

What are the advantages of working with an asset-based logistics company?

2023-01-16

Girteka, the largest asset-based logistics company in Europe, has a 26-year experience in delivering various goods to our clients across the continent. With an impressive and latest on the market fleet of up to 10,000 fully owned semi-trailers, we can offer our clients not only capacity, but also flexibility, quality of services, and sustainable solutions. If it sounds too good to be true, it is not. That is the reality of working with an asset-based logistics company.

 

Quality, capacity and flexibility – let us introduce you to the terms

 

First, it is all about capacity. Having started with a single MAN truck and three employees back in 1996, today Girteka has grown and expanded into a truly international and one of the leading logistics companies in Europe. The company delivers up to 900,000 full truck loads (FTL) annually utilizing its large fleet of over 9,000 trucks and more than 9,800 semi-trailers. In addition, the company handles around 7,700 refrigerated trailers and almost 2,200 tautliners, all driven by Girteka’s 18,000 drivers. Our annual cargo deliveries consist of 51% food and beverage; 25% consumer and household products; 15% industrials; 5% automotive; and 4% pharmaceutical supplies.

 

With capacity also comes flexibility. Flexibility is and will continue to remain an important part of the demand and supply capacity of road freight transportation. For instance, whenever there is a peak season at hand, despite the challenges that such intense periods can bring for both sides of the equation, Girteka can provide the correct solution at the right time for customers with the help of its huge fleet and guaranteed capacity, for instance, by offering standby trailers according to demand.

 

Keep in mind, that asset-based logistics companies physically control and monitor the assets hauling their customers’ freight. This gives such companies far more oversight on the quality of both the vehicles used to do so (routine maintenance of trucks and trailers) and the individuals seated behind the wheel. Our large driver pool assures stability and flexibility for the company. At Girteka, we strive to ensure a “drivers first” culture, focusing on the wellbeing and continuous improvement of working conditions for all our drivers.

 

By focusing on drivers’ behaviours on the road with various initiatives such as the EcoLeague – a competitive program for all the company’s drivers to practice eco-driving skills, – we can help ensure a safer road freight transportation environment. Adding to that, Girteka operates a very young, innovative, and constantly updated fleet with the average age of just 2,5 years old. Working with an asset-based transportation provider greatly reduces risks linked to unexpected break down of the vehicle, unsafe driving, and, as a result, a delayed or lost cargo.

 

Moreover, choosing one provider will always be more convenient than having to deal with many smaller shippers. Collaborating with one large logistics company, instead of many, will allow to save precious time on discussions and coordination of deliveries so you can focus on your core business. When you select an asset-based transportation provider you know that your logistics needs are taken care of by one large enterprise, giving personalized service, clear communication and with less room for errors. A long-term partnership gives the potential of collaboration on joint projects by reaching for common goals together.

 

Streamlining communication, giving the customer the access that he or she requires, and the information needed to make educated decisions for your business is what an asset-based trucking company is good at. Sure, smaller carriers boast of their low prices, but do their prices match the quality of their services? It is a choice for those shippers who do not care for sustainability and quality. Such carriers are able to offer lesser prices due to the simple fact that they drive old trucks.

 

Meanwhile, customer-centricity is at Girteka’s core, with customer-tailored solutions aimed at the thousands of clients that we work with daily, ensuring that the flow of trucks with cargo is smooth and uninterrupted, despite any disruptions, and that the status of your shipment is never in question. In addition, when you repeatedly work with a trusted asset-based transport provider, you can rely on the company’s processes of quality assurance and planning, which help to maintain the highest level of services and customer care. We can optimize with our customers over time, learning the processes, requirements, and the specifications of their supply chain, achieving synergy between the company and the client over the course of time.

 

Let’s not forget that the European transportation industry is massive, and it can be difficult for shippers to select a dependable carrier. Asset-based providers understand their capabilities and areas of strength – although they are driven to get the most productivity from their assets – which translates to heightened dependability and reliability. In addition, the cost structure of an asset-based trucking company is far more complex and as such, these types of carriers are more financially dependable as well. These patterns can be easily observed when analysing the performance of many large road freight companies. Girteka positions itself as a reliable partner that can ensure that cargo is delivered on time, at the right place, and in the right condition.

 

Can a small expedition company ensure sustainability? Because we can.

 

Nowadays, sustainability is both one of the main headaches and goals of any company, whether in logistics or other sectors. So why do shippers, who talk big about the environment and emissions, not include sustainability requirements for trucks in their tenders with non-asset-based carriers? Smaller carriers rarely invest in new technologies that would allow to reduce CO2 emissions on the road.

 

The Euro 5 diesel that they fill up their tanks with is far more polluting, while the Euro 6 standard, used by Girteka, allows for a 67% reduction in emissions compared to the Euro 5. Larger asset-based are willing and enthusiastic about introducing state-of-the-art latest technologies on the market that allow, among other features, to monitor and control the company’s emissions. Our current strategy is to reduce emissions to 620 CO2g/km by 2026 or by 15% compared to 2021 across our entire fleet.

 

Girteka’s trucks are equipped with the most suitable digital solutions such as the “Transics” Fleet Management System (FMS). The innovative system is coupled with tablets that are found in the trucks, facilitating a real-time exchange of data from the perspective of the driver, the manager, and the customer. Moreover, the planning of transport can be rearranged and moved even easier thanks to SAP Transport Management systems.

 

SAP’s solution allows Girteka to simplify and automate processes, making sales, transport, and other processes much more efficient and accurate, and improving customer experience and satisfaction. The artificial intelligence (AI) tool collects all data from the trucks and optimizes the route according to various parameters such as speed, weather, petrol stations, heavy traffic, etc., including requirements from customers and needed setups.

 

With digital solutions, based on artificial intelligence (AI), real time visibility (RTV), machine learning technologies, focus on user interface, self-service and performance, the company can intelligently manage and analyse data in real time throughout the business chain, including transportation fleet, warehouse management, logistics operations and customer service. Among the analysed data, the most effective fuel usage is determined, allowing the company to reduce its emissions as well as letting customers check their carbon footprint.

 

Another digital solution and integration that Girteka provides with clients’ 3rd party applications is via the Electronic Data Interchange (EDI). The EDI aims to exchange data without human intervention, thus saving paper and being a more environmentally friendly solution. This also allows business operations to be processed faster since e-documents can be automatically integrated into other business systems. For instance, e-invoicing enables a company to automate their invoice processing. In addition to cost savings, the ability to automate the invoicing process and integrate with other business systems provides business efficiency and revenue generating opportunities. As a result, business processes become more efficient with the elimination of paper processing.

 

From digital tools to alternative fuels and intermodal rail transport, Girteka takes sustainability seriously. Currently, the company’s trucks run on no lower than Euro 6 diesel, but Girteka is also looking into alternative fuels and is already filling up tanks with HVO renewable diesel, which, although 20% more costly also produces 85% less emissions. In addition, the company is already testing the capabilities of electric trucks and continuously participating in discussions with truck and engine manufacturers to find the silver bullet solution to cut trucks’ emissions.

 

Another way by which Girteka can carry customers’ goods more sustainably is by utilizing intermodal rail freight transport throughout Europe. In fact, Girteka is the largest refrigerated/box operator in Europe, transporting the most refrigerated produce via intermodal rail transport in the continent. Without the need to re-load the cargo switching between the road and rail, carrying goods by way of intermodal rail transport allows the lane to save as much as 90% of CO2 emissions.

 

In the end, both large asset-based trucking companies and smaller carriers stand shoulder to shoulder vying for their customers’ attention by offering the best-in-class services that only they seemingly can provide. Ultimately, the type of carrier you choose will depend largely on your particular needs and the kind of business partnership you want to build. But before making a decision, ask yourself whether the company’s dependability, quality control practices, simplicity of communication, sustainability and large available capacity offerings that only an asset-based logistics company can provide, does not pose a more attractive option.

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