NEXT Logistics Japan, Ltd. (Hereafter “NLJ”; HQ: Shinjuku-ku, Tokyo; President: Yukio Umemura), a subsidiary of Hino Motors, Ltd. (Hereafter “Hino”; HQ: Hino-shi, Tokyo; President: Yoshio Shimo), welcomes Nichirei Logistics Group Inc. (HQ: Chuo-ku, Tokyo; President: Kazuhiko Umezawa), Nippon Konpo Unyu Soko Co., Ltd. (HQ: Chuo-ku, Tokyo; President: Seiji Ooka), and Mitsubishi UFJ Lease & Finance Company Limited (HQ: Chiyoda-ku, Tokyo; President: Takahiro Yanai) as new business partners. The new agreement aims to consolidate the expertise and technologies from each company to accelerate setting up the new scheme for trunk-route transportation in order to help provide solutions to escalating issues in logistics. In addition, the companies will invest a total of 40 million yen in NLJ.
Since December 2019, NLJ has worked with its partner companies to devise transport efficiency solutions for logistic issues such as driver shortages and declining loading rates. With the addition of the three new partner companies and their expertise and technologies, NLJ will work to increase loading rates and transport efficiency within the envisioned trunk-route transportation scheme and build a framework for future cross-docking expansion.
As a concrete example, we will expand cargo type variation by relying on Nichirei Logistic Group’s abundant expertise in low-temperature supply chains to the industry’s high demand for cold chain transport.
Meanwhile, Nippon Konpo Unyu Soko has many double trailer trucks and the know-how to go with them. This could allow temperature variation by cargo compartment to let NLJ simultaneously transport both room-temperature and low-temperature goods for the first time. A scheme to switch the second trailer with a different truck at a cross-docking center would also allow further efficiency and flexibility.
Finally, we will rely on know-how from Mitsubishi UFJ Lease & Finance and other companies in the Mitsubishi UFJ Financial Group to develop and maintain logistics facilities and build asset management schemes so that we can swiftly deal with future cross-docking expansions.
We will continue to accumulate know-how through real-world operations and further expand our circle of participating companies to evolve the trunk-route transportation scheme. Going forward, we are committed to serving society by establishing an open logistics system that will be available to all shipping companies and transport business.
Comments from the participating companies:
Rintaro Kitagawa, Head of the Business Innovation Advancement Department, Nichirei Logistics Group
“In advancing work style reforms for drivers, the Nichirei Logistics Group has implemented: 1. drivers switching operations, 2. fixed arrival and departure schedules, and 3. pallet shipping promotion. As we aim for further innovations, we believe that the endeavor proposed by NLJ is a promising solution to issues in society that we cannot hope to accomplish alone. We hope to continue to support Japan’s food industry through this partnership.”
Seiji Ooka, President and Representative Director, Nippon Konpo Unyu Soko
“In order to respond to the dramatic changes in logistic circumstances, we, Nippon Konpo Unyu Soko realize the evolution of logistic service and achieve the logistic scheme with NLJ by bringing our abundant experience with double trailer truck operation and practical cargo handling.
By collaborating this project, we are sure to contribute to the safety, security and stability of society in regional communities and to the nation.”
Masaki Mizutani, Managing Executive Officer, Mitsubishi UFJ Lease & Finance
“We fully empathize with NLJ’s worthwhile business vision that will help solve issues in the logistics industry. As an asset business platform company, we will make use of our practical expertise regarding assets, lease, and finance to leverage asset value power that can help resolve societal issues. With our partner companies, we hope to create new value that will serve to benefit society as a whole.”
Yukio Umemura, President and Representative Director, NLJ
“Ever since we launched the trunk-route transportation scheme endeavor last December in cooperation with five partner companies, we have received a lot of positive responses from all over. With the addition of three new partners, we will be able to accelerate the endeavor dramatically by cultivating know-how for better logistics efficiency. For example, we hope to expand into low-temperature transport and other cargo type variations, as well as maximize asset utilization of vehicles and logistics facilities. We will continue to put all of our efforts into solving the issues society faces such as driver shortages that threaten to hinder the transport of goods.”
SOURCE: Hino Motors
