JWD, a leading fully integrated in-land logistics service provider, is placing more focus on on-site services - performing automobile storage and management at the carmakers' plants and yards. During the second year-half, it won deals involving automotive parts management at Nissan's Bang Na-Trat (KM 22) plant and 25-rai (10-acre) yard management at Isuzu's Samrong plant, and it is negotiating contracts with four to five firms in the automotive industry, who are interested in the company's on-site services and rental automotive yard space at Laem Chabang industrial estate and Bang Na-Trat (KM 19), which are expected to raise the company's 2016 yard utilisation rate to near 100%.
Mr Charvanin Bunditkitsada, Chairman of the Executive Committee and Chief Executive Officer of JWD Infologistics PCL, or JWD, a fully integrated in-land logistics service provider, revealed that, to better satisfy the needs of customers in the automotive industry, the company is increasing the level of its automobile storage and management services, by performing more "on-site" automobile and automotive parts management services at the automakers' plants and yards, rather than mainly at its own sites within Laem Chabang port (Chon Buri) and on Bang Na-Trat Road (KM 19).
Most recently, JWD won a three-year (2016-2018) contract for automotive yard management at Isuzu's Samrong plant, for which it will employ its own Automotive Yard Management System (AYMS) software to enhance management efficiency for the project. It is also supplying more on-site services for automotive parts management at Nissan's car manufacturing plant on Bang Na-Trat Road (KM 22) and negotiating an extension of the contract (which will become effective in October) by three years (2016-2018). The services to these two customers are expected to generate an aggregate revenue of more than THB 30 million per year.
"We seek to enhance our on-site services for management of automobiles and automotive parts as a way to strengthen our performances, using our automotive management know-hows and in-house software to improve our efficiency in serving our customers in the automotive industry," he said.
Mr Kiattisak Ditsayanan, General Manager of AutoLogic Co., Ltd., JWD's automotive storage and management arm, added that the 2016 sales target for automotive storage and management is THB 500 million. The company will continuously enhance on-site services to carmakers, and expects that carmakers will become the sources of more than 10% of its revenue. JWD is negotiating contracts with four or five more firms for supply of on-site services at their automotive yards and for its rental space for automotive management. All those negotiations, if successful as anticipated, will lead to an increase in the 395,287sq.m. automotive yard's utilisation ratio from the current level of 80% to nearly 100%, said he.