FROM START TO FINNISH

P&O Ferrymasters’ sets its sites on Russian market



Having grand business ambitions always starts with small steps, but when your corporate target is the very Steppes of Russia, the strides have to get larger the closer you get to your goal.

This is the case with freight management expert P&O Ferrymasters’ which through its Amsterdam office is celebrating a 15 year strategic partnership with Kaukohuolinta in neighbouring Finland by announcing a 50% increase in volume over the past five years.

Few companies have that long-term in-road to the Finnish market that brings Ferrymasters so close to one of the largest untapped markets in the world.

With increasing demand across the global network for effective supply-chain management, P&O Ferrymasters growth into Finland secures future developments for huge investment in Russia, soon to be one of the most powerful freight exports/imports markets worldwide.

The partnership, which was cemented in 1991 has resulted in growth in traffic between Finland and Benelux and last year Kaukohuolinta and P&O Ferrymasters were responsible for 3500 loads between the two territories, a record traffic service for both partners.

According to Marcel Manshanden, general manager from POFM in Amsterdam, the success of the partnership is down to a sound business strategy:

“The partnership is based on the ameta principle whereby the total turnover and costs of each operative side are combined and then the profit or loss is split down the middle. The result is two companies dedicated to improvement and sharing a common goal,” he said.

For example, at our Holland office we operate a team of specialists who are constantly working on improving the Finnish traffic. We work as one team and this cooperation has lead to a thorough knowledge of the Finnish market which means ultimately we can service our customers better.”

Kirsi Jarvinen at Kaukohuolinta concurs, “To keep our partnership working so efficiently we hold an official review bi-annually. Any further negotiations are done as one party and this means we can achieve the best rates on the market by combining the volume of trips we share which benefits our subcontractors and of course the customer.”

P&O Ferrymasters Amsterdam control the northbound commercial vehicles to the German ports where subcontractors exchange their trailers with the southbound trailers out of Finland. Traffic is then under supervision of Kaukohuolinta on the Finnish side.

The partnership between P&OFM and Finland provides many companies with a door to Russia and the Baltic states, says Herman Braam, Ferrymasters’ Director, Continental Freight Management Division.

“The door to Finland has always been an important gateway to the untapped potential of Russia and we are working closely with our Finnish partners at Kaukohuolinta to realise the benefits for both of our companies,” he said.