Increasing the Competitiveness of a Logistics Provider Company

Kuehne & Nagel Group is one of the world's leading logistics companies. According to the Top Global Third-Party Logistics Providers (3PLs) list at the end of 2020, Kuehne & Nagel is ranked second by Armstrong & Associates, Inc, the consulting firm. Transport logistics play a primary role as they directly impact its efficient operation and distribution of costs and profits. Therefore, innovative technologies and current market trends must be present for all companies, regardless of the size of the enterprise. In turn, this requires constant attention and study. Currently, the company's primary goal is to strive for competitiveness in terms of organising the supply chain, which includes finding the optimal transport route that meets the maximum number of criteria. Thus, the purpose of the study is to analyse the competitiveness of a logistics provider using the example of Kuehne & Nagel. Objectives of work: Literature and statistical data, annual reports of the company, and theoretical and practical studies of issues to obtain specific ways to increase the company's competitiveness and increase market share were utilised in this work. The subject of the research is the supply management processes of Kuehne & Nagel. The object is the logistics services and processes of the Kuehne & Nagel company. The first chapter examines the company's financial statements, which are used to calculate Kuehne & Nagel's fundamental financial soundness, business performance, liquidity and solvency indicators. It also covers statistics on the company's market share, competitor analysis, Porter's five forces analysis, SWOT analysis, as well as their detailed description and recommendations for improvement. The organisational structure of Kuehne & Nagel as a whole is examined, as well as, in particular, the branch in Germany, where advantages and disadvantages are identified and recommendations for improvement are prepared. The second chapter discusses the theoretical aspects, articles and books that are needed to structure the plan and prepare a solution to improve the competitiveness of Kuehne & Nagel. The third chapter examines a specific proposal for increasing the level of competitiveness of Kuehne & Nagel via implementing an express airfreight delivery service. In order to assess the effectiveness, the Du Pont model is applied, which not only helps to evaluate the economic effect of the proposed solutions but also allows one to determine their scale and identify specific areas that the proposed solutions will affect.