Аутор: Yvonne Ruiz

Whether capacities, energy prices or personnel costs: for the airfreight industry, the Corona pandemic was not without consequences. At present, it is still virtually impossible to make any long-term plans. In times of uncertainty, however, there are also some constants – like Frankfurt Airport, which has maintained its strong position as a major cargo hub in Central Europe for many companies. Including for Militzer & Münch.

 

M&M air sea cargo GmbH has an office directly at Cargo City South, Frankfurt Airport, where 15 employees work to serve customers; and the service goes far beyond standard freight: the team primarily handles dangerous goods shipments, valuable cargo and GDP (Good Distribution Practice) compliant transports for pharmaceuticals, which are subject to specific requirements, for instance with regard to refrigeration.

Santino Hormuth has been working in the logistics industry for 15 years and has been managing the branch of M&M air sea cargo GmbH at Frankfurt Airport for just over a year. Transports according to GDP guidelines have characterized his work from the very beginning, as immediately after he joined the company, certifications in the GDP area were already taking place. „That was rather challenging for me – after all, I was familiarizing myself with the internal structures, the work processes, and my colleagues at the same time,“ he recounts. „Not least thanks to the excellent cooperation on the team, we passed the certifications successfully and have since been working on boosting GDP transports as a product in our portfolio and expanding our customer base in this area.“

Special, in many ways

In 2021, the air freight volume at Frankfurt Airport was around 2.3 million tons, the highest amount of cargo handled at any German airport. Europe-wide, Frankfurt Airport is one of the ten largest airports.

Santino Hormuth appreciates his workplace and is aware of its importance: „Frankfurt Airport is a magnet for companies, an important location for science and education, and one of the biggest workplaces in Germany. It is also the Lufthansa home base and the leading cargo hub in Europe. This gives the airport a very special position also for Militzer & Münch,“ he explains. „Moreover, our location directly at the airport is definitely of competitive advantage for us: we are virtually in the middle of the action, and can act fast.“

Speed is the order of the day

Speed plays a crucial role in the handling of air freight projects. In most cases, orders are urgent and need to be handled efficiently and swiftly. In this respect, Militzer & Münch benefits from its decades of experience and presence on the market, as well as from well-practiced teams. This allows for short decision-making paths with a minimum of bureaucracy – and that way, even particularly urgent transports become routine tasks. Santino Hormuth’s team regularly handles just-in-time shipments for automotive suppliers, transports engines and other parts for the air freight industry, and was recently responsible for the transport of equipment for the World Cup in Qatar from Frankfurt to Doha.

Santino Hormuth’s goal for 2023 is to further increase Militzer & Münch’s freight volume at Frankfurt Airport, the number of key accounts, and of existing customers. To this end, among other things, there are plans to restructure the sales department.

„We are still facing tense times. But in my year so far with Militzer & Münch, I have experienced how informal and at the same time professional the cooperation is here at the Frankfurt site and across all branches. Therefore, I am sure that we will successfully master this phase.“

Merry Christmas and a Happy New Year!

As the Christmas holidays are drawing near, we wish you joyful, restful days among family and friends.
We would like to take the occasion to express our thanks to you for the good cooperation in 2022.
For the challenges of the upcoming year, we wish you good luck, success, health and personal contentment.

Dushanbe. First prize for M&M Tajikistan: the team under Managing Director (MD) Aziz Sharipov won the official competition for best exporter of the year 2021 in the logistics segment. The competition is held every year by the Government’s Export Agency; the award ceremony for the country’s best exporting companies took place at the Hyatt Regency hotel in Dushanbe on November 28.

Proud of this honor is Aziz Sharipov: “It is a great reward for all the work the team has done this year, and it further strengthens the M&M brand name.” The picture shows the M&M Tajikistan team with MD Sharipov (third from left) with the trophy.

Militzer & Münch is stepping up activities in China – with more employees and new branches. Local sales are being strengthened, and services are being expanded, which offers more opportunities for customers.

After strong growth in China, Militzer & Münch is now adjusting its organization in the country: „We are internally splitting our activities into North and South China from now on“, explains Andreas Löwenstein, Regional Managing Director Asia / Far East. „At the helm of both, we have very experienced managers, to whom the North and South Chinese branches will report in the future.“

Regional Director for China South is Carl Gao, the former branch manager in Shanghai. Jeffery Guo, 45, took over as head of China North in October. He has been at home in the logistics industry for over 20 years, including more than ten years as branch manager with a renowned international logistics service provider. With his expertise, he will support the northern Chinese branches with immediate effect, and further expand business in the region.

A greater footprint in North China

“The new management appointment for North China is just one element in Militzer & Münch’s general growth strategy in the region,“ says Elyar Sherkati, Managing Director of Militzer & Münch China. „This year, we are strengthening our presence also by taking on additional employees, for instance at our branch offices in Tianjin as well as in Qingdao, one of China’s most important logistics locations.“ Moreover, the Qingdao team was recently able to move into new office premises, and in Zhengzhou and Changchun in the northeast, Militzer & Münch opened two new sales offices.

In Shenyang, also in northeastern China, the company recently began operating a new branch office. Branch manager Colon Sun, who has already been working in the international freight forwarding industry for several years and has a very good knowledge of the market in northeastern China in particular, is in charge of developing and running the new location.

„Shenyang is a major transportation hub in the north of the country. We are glad to be able to further expand our presence at this location and in North China in general, to win experienced specialists, and thus to offer high-quality logistics services to our customers,“ says Andreas Löwenstein.

The network of locations is expanding

Another new branch office expands Militzer & Münch’s network of locations in Central China: in September, an office was opened in Wuhan, capital of the Central Chinese province of Hubei and an important transport hub in China for air, rail, road and sea transport. The aim: to offer customers the full range of transport and logistics services, and to boost local sales. Branch manager in Wuhan is Jacky Zhu, who previously worked as sales manager at Militzer & Münch China in Wuhan for almost five years, and is thus very familiar with the local market and customers. He still reports to Carl Gao as before.

With the two new branches in Shenyang and Wuhan, the Militzer & Münch China network now comprises a total of 13 locations: Beijing, Tianjin, Dalian, Qingdao, Shenyang, Urumqi, Shanghai, Ningbo, Wuhan, Chongqing, Shenzhen, as well as the two sales offices in Zhengzhou and Changchun.

“Strengthening our activities in China is part of our growth strategy,“ says Andreas Löwenstein. „We look forward to further driving this positive development with the new offices and employees on board!“

‘New Markets’, ‘Industry 4.0 along the New Silk Road’, ‘New Risk Management’ – on October 10, online presentations on these diverse topics marked the end of the Talent Management Programme 2022, designed by TransInvest in cooperation with the Institute of Supply Chain Management at the University of St. Gallen.

In early summer, 21 young talents from various TransInvest companies had already convened in St. Gallen for the first teaching module of the in-service training course. In terms of topics, the three days focused on Strategy & Controlling, Supply Chain Resilience & Sustainability and Process Management. At the beginning of September, the participants met in Istanbul for the second, three-day module. In challenging, interactive teaching units, they gained in-depth insight into the areas of Leadership, Digitalization & Business Innovation, and Marketing & Sales, among others.

Alongside these tangible teaching contents, the Talent Management Programme also focuses on soft skills: thus, teamwork and the strengthening of the group spirit for example are decisive factors for living the TransInvest culture.

„In addition, the modules give the young talents the opportunity to expand their international network and experience the TransInvest culture first-hand by working closely with participants from other countries,“ says Ralph Stadler, Head of Group Human Resources. „That way, our experienced experts and guest lecturers not only train our junior employees professionally, but also promote their personal development.“

 

A tried-and-tested, new support concept

Exclusive, science-based, practice-oriented: the Talent Management Programme was launched eleven years ago to provide precisely this kind of support for future managers from TransInvest ranks. The aim of the Talent Management Programme is not only to equip participants with logistics and management skills, but also to retain them in the company in the long run.

„Employee retention is extremely important for companies; it is a big challenge,“ says Alexei Kovalenko, Chief Financial Officer, TransInvest and Militzer & Münch, and Speaker of M&M Group Management. „We are glad that we have been able to successfully meet this challenge with the Talent Management Programme for many years now. The young talents receive intensive training in all relevant areas and are offered the opportunity to develop individually – and we can fill top positions in the TransInvest Group with highly qualified and motivated junior staff from our own ranks. A win-win situation.“

In 2022, the Talent Management Programme met expectations in every respect – both on the part of the participants and those responsible around Ralph Stadler. With the impulses from the final teamwork presented, the participants are now creating a Personal Development Plan (PDP) with their superiors, a plan which will guide their development in the company over the next few years.

This year, Paata Kacharava celebrates a very special anniversary: 25 years ago in June, he started as Managing Director of M&M Militzer & Münch Georgia and has been driving the development of the country unit with heart and soul ever since. We talked about his time at Militzer & Münch so far, changes in the logistics industry, and the appeal the business holds for him.

Mr. Kacharava, first of all congratulations on 25 years with Militzer & Münch! That’s a long time; how would you describe it in retrospect?
In summary, I would say it was a very exciting and, in the beginning, also challenging time for me personally. When I joined Militzer & Münch Georgia in 1997, I was the first and only employee of the country unit. Today, our core team consists of six employees, who take care of all projects in the fields of road transport, air and sea freight, as well as of our courier and express services with our partners. The past three years in particular, with the global impact of the Corona pandemic and the political events in Ukraine, have had a major effect on the Georgian economy, and also put our business to the test.

What was your professional career like before you joined Militzer & Münch?
Before switching over to Militzer & Münch and the logistics industry, I had worked in Georgian government institutions for many years, holding various positions in the foreign trade sector; among others, I was responsible for the management of foreign trade relations.

What were the biggest changes you experienced in the subsequent 25 years at Militzer & Münch?
The trade lanes as we know them today and the possibilities they offer, did not exist at all at that time. When I started at Militzer & Münch Georgia, people were dreaming of a Euro-Asian transport corridor and the manifold opportunities it would create – in the course of my career, I was able to witness how this very dream became reality, step by step. Today, the Caucasus and Central Asia are important trading partners for European countries; transports via road, rail, sea, and air to these regions are part of the Militzer & Münch core business. And we are seeing that the demand for products from and connections to these regions continues to grow.

Which industries do your customers come from?
Currently, our most important customers come from the automotive industry, the retail sector, and the pharmaceutical industry. In addition, we work for many local manufacturers who wish to ship their products to the European market.

What is the attraction of the logistics industry for you?
It is clearly the people who work in this sector. Our employees drive our business forward every day with full commitment and know-how; they are the basis of our success. They have significantly contributed to the development we have been able to experience with Militzer & Münch Georgia in the past years, and I am very grateful to them for their commitment. I would also like to take this opportunity to express my sincere thanks to the Militzer & Münch management, whose support my team and I have always been able to count on in the past. Cooperating with all these people is a great pleasure for me, and I am looking forward to the tasks and projects still lying ahead of us.

Mr. Kacharava, thank you very much for taking the time to talk to us!

On October 11th, 2022, the new country unit Militzer & Münch New Zealand Ltd. started operations. With the first branch office in Auckland City, the Militzer & Münch network grows into the Polynesian region.

Militzer & Münch has recently started to offer its customers in New Zealand high-quality services in the air and sea freight sector. Its focus is on the import and export of various industrial goods and agricultural products. The newly founded company is part of a growth strategy, in the course of which Militzer & Münch is developing promising markets for itself.

New Zealand with its prosperous economy fits perfectly into this strategy: Due to the favourable climate, the agricultural sector thrives all year round, and agricultural products such as dairy products, wool, or meat account for a large share of exports. New Zealand is the world’s largest exporter of dairy products, for example. The island nation is largely dependent on international trade; imports include almost every industrial good.

 

Growing together

Shakir Samsudeen, 38, will head the company based in Auckland City. He is an experienced freight forwarder and knows the industry. The new country unit will start with three employees. it is planned to be expanded soon, however.

“The new country unit will serve many different industries, both with import and export”, says Andreas Löwenstein, Regional Managing Director Asia / Far East at Militzer & Münch. “The industrial and logistics sector in New Zealand has grown strongly in recent years and we expect this trend to continue.”

Beijing, October 25, 2022. M&M China now has an official branch office in Wuhan (population 14 million), one of the most important transportation hubs of China in terms of air and rail. It is also a connection point to different cities and seaports through inland waterways and roads.

The Wuhan branch started operating on September 1, 2022, and offers the full range of M&M services. Jacky Zhu has been appointed branch manager. Having worked in sales for M&M China for five years in Wuhan, he has built a stable customer base and is familiar with the local market.

How do shippers cope with the fluctuating freight rates in logistics? The University of St. Gallen tackled this question with a diverse research consortium from the logistics industry. The result is a 132-page study that addresses challenges, practices, and instruments. Militzer & Münch participated in the study.

For several years now, Militzer & Münch has been a member of the Association of the Institute of Supply Chain Management at the University of St.Gallen. The institute regards itself as an international platform for the dialogue between science and practice in the field of Supply Chain Management. Holger Seehusen, Managing Director of M&M air sea cargo GmbH, regularly participates in various activities. For him, involvement in the study was an opportunity to demonstrate what practices shippers, forwarders and brokers can adopt to counteract volatile freight rates in logistics markets.

Volatile freight rates and sustainability

The study, titled „Managing Volatility in Logistics Markets“, examines freight rate volatility across ocean, road, rail, and air transport modes, and highlights management practices from the perspective of shippers and logistics service providers. It also provides a classification and analysis of indices and digital business models in the freight sector, thus making a significant contribution to a better understanding of the tools available on the market and their individual value propositions for shippers, forwarders and carriers.  In addition to fluctuating freight rates, sustainability concerns are also becoming increasingly important. „I am convinced that in the near future, decision-makers or customers, respectively, will not care so much whether it costs x € per kilogram, but how high the carbon footprint is in the goods procurement process,“ says Holger Seehusen.

 

Workshops and interviews

After the official start of the project in August 2021, workshops were held in the following three months; the final presentation took place in December 2021. Work then started on the study. Besides the University of St. Gallen and Militzer & Münch, other logistics service providers, shippers, IT providers, and a commercial law firm were involved.

In addition to the regular exchange within the consortium, 44 interviews were conducted with logistics experts between early September and the end of November, and used as source material for the compilation of the study.

„We defined relevant criteria to determine a suitable segmentation of logistics markets,“ says Prof. Dr. Erik Hofmann from the University of St. Gallen. „Based on these criteria, e.g., geographic reach, mode of transport, and carrier, we examined four relevant logistics scenarios. Our goal was for the study to provide practitioners with a basis for implementing concrete solutions.“

Interested parties can access the study free of charge via the following link:

https://www.alexandria.unisg.ch/266520/

 

Supply Chain Innovation Day

Participation in the study is only part of Militzer & Münch’s commitment to the Association of the Institute of Supply Chain Management at the University of St.Gallen. In order to get young people interested in the field of logistics and to draw their attention to Militzer & Münch as an employer, Holger Seehusen was a speaker at the Supply Chain Innovation Day initiated by the University of St. Gallen in Rorschach on Lake Constance last year. Militzer & Münch was also represented there with a small information booth. This year, Eva-Charlotte Dürr, Group Project Manager Pharmaceuticals, M&M Militzer & Münch International Holding AG, Switzerland, and Vignesh Pandi, Trade Lane Manager North America Airfreight, M&M air sea cargo GmbH, Germany, participated in the Supply Chain Innovation Day on September 27.

Ashgabat, September 6, 2022. First, a delegation was opened in Ashgabat in 1994, and then in 1997, M&M Militzer & Münch Turkmenistan Ltd. was founded: the Central Asian M&M company now looks back on 25 years of forwarding and logistics services and has gained a good reputation among customers and partners. The company is headed by Djeyhun Hummedov as managing director.