GXO to Manage Logistics Operations for Levi Strauss & Co at State-of-the-Art German Distribution Center
GXO Logistics, Inc. (NYSE: GXO) announced a 20-year partnership with Levi Strauss & Co to manage operations at a 70,000 square meter Dorsten Distribution Center in Germany. The site, LEED and WELL Health-Safety certified, will create up to 650 jobs by 2026. GXO will provide logistics services for LS&Co. across various channels, emphasizing sustainability and cutting-edge technology.
- The 20-year partnership agreement between GXO and Levi Strauss & Co will boost GXO's growth strategy in Germany and enable LS&Co to accelerate its omnichannel growth in Europe.
- The new Dorsten Distribution Center is a state-of-the-art facility with cutting-edge technology and sustainability features, including LEED and WELL Health-Safety certifications.
- The partnership is expected to create up to 650 jobs by 2026, showcasing a positive impact on employment in Dorsten, Germany.
- While the partnership is beneficial for both GXO and LS&Co, there might be potential challenges in meeting the ambitious target of creating 650 jobs by 2026 due to various factors such as market conditions, operational efficiency, and economic uncertainties.
GXO advances its growth strategy to serve leading global brands across sectors in Germany
70,000 automated square meter site with pioneering sustainability standards; Both LEED and WELL Health-Safety Certified
Expect to create up to 650 jobs at full capacity in 2026
DORSTEN, Germany and GREENWICH, Conn., May 06, 2024 (GLOBE NEWSWIRE) -- GXO Logistics, Inc. (NYSE: GXO), the world’s largest pure-play contract logistics provider, today announced a 20-year partnership agreement with Levi Strauss & Co (LS&Co.) to manage operations at a state-of-the-art 70,000 square meter Dorsten Distribution Center (DDC) launching in early June. GXO will manage all logistics services for LS&Co. at the fully-automated facility, including value-added services, to distribute apparel and accessories across wholesale, retail, digital, ecommerce and marketplace channels.
Richard Cawston, Chief Revenue Officer, GXO, said, "This significant partnership with LS&Co. will help accelerate their omnichannel growth across Europe and advances our growth ambitions in Germany. This fully-automated site is among the greenest distribution centers in all of Europe with phenomenal sustainability features that raise the bar in the logistics industry. Together, we share a commitment to creating an inclusive and dynamic culture that will drive growth for both colleagues and the community.“
The fully-automated site includes state-of-the-art technology at every step of the logistics process, from inbound to outbound, including shuttle and miniload systems as well as automatic carton opening, closing and labeling. The facility breaks new ground for sustainable warehousing, with LEED (Leadership in Energy and Environmental Design) and WELL Health-Safety certification. The facility includes features such as sustainably sourced concrete, walls of vegetation, rooftop solar panels and a green roof, as well as access to electric vehicle chargers, an on-site park and advanced recycling facilities.
Craig Jones, Senior Vice President, Global Distribution & Logistics at LS&Co., said: "The Dorsten distribution center will support our strategic priority of being a direct-to-consumer led retailer by accelerating our omnichannel capabilities in Europe. With GXO taking over management of the facility, we have full confidence that this goal will be effectively supported by best-in-class operations that address our logistics ambitions with technologically advanced supply chain and e-commerce solutions. With this agreement, LS&Co. also reaffirms continuous efforts to reduce the environmental impact of our operations across the supply chain.“
This new partnership illustrates the increasing demand for outsourcing logistics services in Germany to increase efficiency and achieve cost-savings, through tech and automation deployment, workforce management and upskilling, and inventory management.
The partnership also affirms GXO’s growth ambitions to serve a breadth of sectors, including omnichannel and DTC retailers, in Germany. In 2023, GXO invested in a new 36,000 square meter warehouse in Dormagen, a key logistics center in the Düsseldorf region, where the company operates its GXO Service Tech operations for consumer tech repair and refurbishment, as well as operations for The Quality Group.
The Dorsten site will initially start with a capacity of 33 million units. By 2026, when the site reaches its full capacity of 55 million units, up to 650 employees are expected to be employed in Dorsten.
GXO has operated in 14 European countries for more than 25 years and serves customers from the e-commerce, fashion, FMCG and DIY sectors, including German companies such as Henkel, BASF, Bayer, OBI and online retailers such as zooplus. The company currently employs around 80,000 people at around 550 locations in the region, including Germany.
About GXO Logistics
GXO Logistics, Inc. (NYSE: GXO) is the world’s largest pure-play contract logistics provider and is benefiting from the rapid growth of ecommerce and automation. GXO is committed to providing a diverse, world-class workplace for more than 130,000 team members across more than 970 facilities totaling approximately 200 million square feet. The company partners with the world’s leading blue-chip companies to solve complex logistics challenges with technologically advanced supply chain and ecommerce solutions. GXO corporate headquarters is in Greenwich, Connecticut, USA. Visit GXO.com for more information and connect with GXO on LinkedIn, X, Facebook, Instagram and YouTube.
Media contact:
Europe
Anne Lafourcade
+33 (0)6 75 22 52 90
anne.lafourcade@gxo.com
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