Solutions

Positioning for the future

Asia Pacific December 2014

6 1815 27China growth Peak planning

Bound for South Australia

Driven for success

SUPPLY CHAIN SOLUTIONS

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Contents

China growth

Bound for South Australia

Peak planning

Driven for success

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6Chairman’s note 3

CEO Australia and New Zealand message 4

CEO Asia message 5

China growth 6

Delivering convenience 7

2014 highlights 8

Destination 100 10

Unilever’s Thailand expansion 11

Pack and deliver 14

Bound for South Australia 15

Connecting Thailand 16

Peak planning 18

Colours of India 20

Safety excellence 21

Lean inspiration 22

Healthy Fox inspires change 23

Food solutions 24

Guten Tag Grace 25

Linfox alumni 25

Supervisor training hits record number 26

Driven for success 27

Cover photo: Linfox driver Justin Grantham, Linehaul, South Australia.

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Peter Fox - Chairman

Raising the bar It’s been quite a year for Linfox Logistics. We have a lot to be proud of in 2014 which means we have plenty to focus on in the new year.

Our achievements have been based on steadily building scale across the Asia Pacific to deliver a full range of supply chain solutions to global businesses in 10 countries.Ours is a business that doubles in size every five years. What we don’t do however, is allow this growth to dilute our commitment to safety, developing our people, delivering consistent service excellence and caring for the environment.In fact, we raise the bar even higher, demanding more of ourselves as a business and as individuals.

Asia investmentThe foundation has been established for Linfox International to steer our growing presence in Asia through the creation of a board and a new executive leadership team. Since joining Linfox in May, Gabby Costigan as CEO Asia has focused on building on the existing strengths and positioning the business as an innovative supply chain solutions leader. Highlights for the year in Asia include working with Giant in Malaysia, Phu Bia Mining in Lao and expanded operations for Unilever in Thailand and China.Linfox Logistics Acting CEO, Annette Carey is to be credited for maintaining business focus and a supportive environment for our people to perform at their best. A significant contract with the Australian Defence Force has added a new business unit, Government and Defence, while Resources and Industrial has added fuel and energy to its portfolio with Shell, BP and BOC. Our Woolworths Online delivery operations now cover nearly every state and territory in Australia, with the addition of South Australia, the ACT and the Northern Territory.

Moving into next year, strategically we will work to retain our strong culture, our competitive differentiators, and maintain our focus on deepening customer relationships.

Safety – ‘It’s up to me’What sets us apart where safety is concerned? Our reputation for safety in this industry is hard-earned and our employee training, safety programs and on-the-job development at every level and in all locations is part of how we keep at it.We set industry standards for safety and continuous improvement with everything we do. Our Peak Season safety theme, ‘It’s up to me’ reinforces both the business and individual responsibility to step up and ensure we demonstrate our ‘vision ZERO’ strategy in every part of our day-to-day operations.

Business Advisory CouncilOver the past 12 months I’ve been privileged to be involved as a member of the Prime Minister’s Business Advisory Council, providing thoughts on how government programs and policy can best serve Australian small and large businesses. It’s an opportunity to share the experience of this business and reflect on Linfox’s contribution over nearly six decades as a major Australian employer and investor in this country.

The health of our peopleThe Healthy Fox program has been activated in 30 sites since it began in July this year. It’s embraced by employees at each of the official launches. Each launch is followed by a free confidential health check. The feedback received so far is that these check-ups have contributed to the early detection of health issues or improved a person’s general wellbeing. We are on the right track.

Our approach to mental health and how we manage this as an employer and as individuals is another core component of the Healthy Fox program. To make sure we have the right professional approach, Linfox is a proud industry partner of beyondblue for the best available resources and guidance.Throughout Australia, our people leaders have now attended workshops to enhance their knowledge about the impact of common mental health problems on individuals and the workplace, and how to put strategies in place to help address this.

Building an informed workforceLinfox College has launched an exciting learning program for 2015 – investment in the capability and ongoing professional development of our people can only benefit our employees, the business and how this knowledge translates into improved outcomes for customers.Our support of learning extends to employee families, with the Linfox AFS scholarship awarded this year to Grace Didlick who has chosen to study in Germany.

Looking to 2015To our valued customers, industry partners, and the governments and agency representatives of the countries in which we operate, thank you for your continued support. We look forward to continuing our shared success in 2015 as the business moves from strength to strength in Australia and New Zealand and emerging Asian markets, underpinned by our investment in leading edge fleet, equipment and technology.

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Long term partnershipsThis has been a significant year for Linfox.

We continued to grow across all sectors in 2014, securing several new business wins in Australia and New Zealand.A key achievement for Linfox was winning a contract with the Australian Defence Force (ADF) to provide warehousing and distribution for 26 sites across Australia. The contract led to the creation of our new Government and Defence Business Unit and over 500 new jobs. We look forward to a long-term partnership with the ADF. Woolworths Online recently appointed Linfox to provide home deliveries in South Australia, the Northern Territory and the Australian Capital Territory (story page 5). This complements our established business with Woolworths Online in other states and reflects Linfox’s expertise in the growing online shopping market.We were also delighted to secure major contracts with well-known fuel companies BP and Viva Energy Australia. The work has led to investment in new fleet and represents an exciting new era for our fuel business.

Strengthening customer relationshipsIn 2015 and beyond, Linfox Logistics will increase its focus on strengthening customer relationships. These relationships allow us to enhance our investment in technology and industry solutions to increase efficiencies and value across the supply chain. In 2014 for instance, Linfox Healthcare Logistics extended contracts with several multinational pharmaceutical companies. The work is based in NSW at our state-of-the-art Healthcare facility, designed and built to cater for the industry’s specific needs. The facility was recently the focus of a prestigious Master Builders Association Construction Excellence Award, which was presented to our construction partner, Prime Group. The award acknowledges excellence in the building and construction industry and highlights the value we can bring to our long-term partnerships through investment in new technology and facilities.

Peak Season safetyNovember through to the end of January is a busy time of year for our Australian and New Zealand operations, with volumes more than doubling for some customers. It’s a time when we ask all our people to renew their focus on safety through our Peak Season Safety campaign. The campaign aligns with the Christmas and New Year period and supports our people to maintain safe behaviours during this time of increased activity. This year’s campaign theme, ‘It’s up to me’, reminds us that it’s the responsibility of each and every one of us to fulfil our commitment to vision ZERO. On behalf of everyone at Linfox, I wish all our customers and friends a happy and safe festive season.

Annette CareyActing CEO Australia and New Zealand

CEO Australia and New Zealand message

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Growth path

Our work with global FMCG giant, Unilever increased across the region. In China, Linfox commenced operations at Unilever’s new central DC outside Beijing and in Thailand we were awarded a contract to operate its new state-of-the-art mega DC. Our partnership with Unilever also continued to strengthen in Indonesia and India. In India, we expanded our relationship with Asian Paints, commencing operations of its three regional DCs (story page 18). I’m also excited to announce that Linfox has won a contract to provide transport and warehousing for India’s second largest beer company SAB Miller, beginning in the new year.These successful partnerships demonstrate our commitment to forming stronger relationships and providing added value for our customers.

Realising our strategic goals Linfox continues to invest in new infrastructure, leading IT systems and continued improvement programs to realise our goal of becoming Asia’s preferred provider of supply chain solutions.Our Thailand team recently introduced a new resource planning tool to Minor Food Groups’ national distribution centre in Bang Na (story page 12). The tool integrates with SAP’s Extended Warehouse Management system to deliver greater warehouse automation and increased efficiencies. We recently completed a comprehensive restructure of our Asian business to support our continued growth. This included refining shared support functions, appointing new team members and introducing new policies and procedures. With change brings new leadership. I’m delighted to announce the appointment of James Evans as Linfox Regional Legal Counsel, responsible for the Linfox Logistics business in Asia. Other key appointments include Regional Solutions Manager – Khun Phatphong Phongsathiansak, Thailand Finance Director - Khun Somchai Srimode and Malaysia Operations Director FMCG - Barath Ashok.

Safety leader Linfox has a well-established reputation as a safety leader throughout the Asia Pacific. Building and strengthening this reputation is a key element of our regional strategy, and this work is well-recognised by our customers. For instance, Linfox drivers in Malaysia were recently presented with an Excellence in Safety Adherence award by our customer, Linde (story page 19). The recently launched 2014 Peak Season Safety campaign aligns with popular Asian festivals and the resulting spike in our operations. The campaign supports our people to ensure the safety and wellbeing of our colleagues, customers and the wider community during our busiest periods. I wish all of our customers a safe and happy new year and look forward to a productive 2015.

Gabby Costigan CEO Asia

“Linfox has a well-established

reputation as a safety leader throughout the

Asia Pacific. ”

CEO Asia message

In recent months, Linfox Asia has continued its strong growth path, attracting new customers and strengthening existing relationships.

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Linfox employees at the new Tianjin centralised distribution centre in China.

China growthLinfox’s work with Unilever is expanding.

Linfox has begun warehouse operations for Unilever at its new Central Distribution Centre (CDC) in Tianjin, near Beijing.

Linfox Country Manager China, Reese Sun says Linfox’s role also includes loading trucks and managing shuttle transport between Unilever’s Tianjin production facility, Tianjin CDC and its Lang Fang Regional Distribution Center (RDC), which Linfox also operates.

“The new CDC is an important addition for Unilever as it improves its distribution network in Northern China,“ said Reese. “It is strategically located near Unilever’s new Tianjin production facility and serves RDCs at Lang Fang, Shen Yang and Hefe.” All employees working at the sites are trained in Linfox’s safety and operating procedures.

“Our customer values Linfox’s high safety standards, operational excellence and commitment to environmental sustainability,” said Reese. Unilever is a global leader in nutrition, hygiene and personal care brands with more than 174,000 employees worldwide.Linfox is a regional strategic partner to Unilever and the businesses collaborate to improve operations through a Joint Business Development Program in the Asia Pacific. Linfox works with Unilever in six countries across the Asia Pacific.

“Our customer values Linfox’s high safety standards, operational excellence and commitment to environmental sustainability.”

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Delivering convenienceWoolworths Online has appointed Linfox in South Australia, the Northern Territory and the Australian Capital Territory.

Linfox’s home delivery operations in these new locations add to our established business with Woolworths Online in Queensland, New South Wales and Victoria.

Linfox National Manager for Woolworths Online, Glenn Ashton said the number of employees and fleet has increased with this new work.“Linfox’s Woolworths Online delivery service now numbers 340 vehicles with about 700 people including drivers and management roles,” said Glenn.

“Our customer is impressed with Linfox’s service model, our focus on safety and our driver training program which emphasises excellent service for online shoppers,” he said.Linfox’s fleet of home delivery trucks comprise 4.45-tonne vehicles, which are suitable for all urban environments and are able to carry between 15 and 20 deliveries. The vehicles’ dual temperature controlled compartment maintains quality for ambient, chilled and frozen produce.

Linfox driver, Ross Carter at the Willawong DC in Queensland.

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Asia • Launched our new high-tech Malaysian head office in April.

The purpose-built facility is the headquarters for Linfox’s operations in Malaysia and Singapore.

• Commenced transport services from Tesco Lotus’s first regional distribution centre in Thailand’s Khon Kaen province.

• Our teams in Vietnam and Thailand began transport of copper concentrate and mining supplies for Phu Bia Mining.

• A new partnership with Chinese company, HNA Group expanded our access to Chinese markets.

• Commenced operations of three regional distribution centres for Asian Paints in India.

• Our team in India were awarded a contract to provide transport and warehousing for Indian beer company, SAB Miller beginning in 2015.

• Strengthened our partnership with Unilever in China, Thailand, Indonesia and India.

Australia • Awarded the Australian Defence Force’s warehousing and distribution

contract, leading to the employment of 500 people at 26 sites across Australia.

• Australian retail giant, Myer reappointed Linfox to deliver nation-wide logistics services for the next five years.

• Won a long-term contract with BP to haul fuel in Sydney and Newcastle.

• Home improvement chain, Bunnings Warehouse, reappointed Linfox to manage deliveries to its stores across Australia’s east coast.

• BOC contracted Linfox to provide bulk transport of its liquefied natural gas along Australia’s east coast.

• Extended our warehousing and transportation contract with iconic Australian brewer, Carlton & United Breweries.

• Linfox Healthcare Logistics extended contracts with several multinational pharmaceutical companies.

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2014 highlights

Safety and sustainability• Delivered our ninth ‘Stop for Safety’ campaign to Linfox operations in

10 countries. The campaign focused on safety leadership and the theme, ‘It’s up to me.’

• Transport and Warehouse safety cards were translated into eight languages and distributed to all employees across the Asia Pacific.

• Reduced our injury rate by more than 95 per cent in the last 10 years.

• Achieved a 42.5 per cent reduction in carbon emissions based on our 2007 emissions, well on our way to achieving our 50 per cent reduction target by 2015.

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Training and development • Over 140 employees in Australia, New Zealand and Thailand completed

the Leadership Skills for Supervisors program.

• Around 400 Australian employees attended Linfox’s Leading Towards Vision Zero training program to reinforce our safety culture.

• 44 new graduates joined our Graduate Program in 2014, including 14 in Asia.

• 8 cadets graduated from our two-year Cadet Program providing valuable experience and skills training for school leavers.

• 11 outstanding employees were selected to participate in the 2014 Future Leaders Development Program.

Healthy Fox • Launched our Healthy Fox program in Australia to educate our people

about nutrition, fitness and strength, mental health and overall wellbeing.

• More than 740 Linfox employees at 30 sites across Australia have undergone comprehensive health checks since the program’s launch in July.

Indigenous Engagement Program• Launched our new Indigenous Engagement Program strategy to support,

enhance and improve Indigenous employment outcomes.

• Commenced industry-specific Indigenous Cultural Awareness training.

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Destination 100Linfox and customer Lion Dairy & Drinks have embarked on an ambitious

program to achieve 100 per cent service levels.

Linfox load planners, Damian Dimatrovski and Jarrod Pollard.

From left: Scott Wettenhall (Lion), Ben Carman (Linfox), Ann-Maree McMaster (Lion), Adam Wade (Lion), and Kyle Hawker (Linfox).

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The Destination 100 project was designed to boost already first-rate Delivery On Time (DOT) service levels. National Manager Linehaul, Ben Carman said the project aims to achieve 100 per cent DOT, well above the 95 per cent contractual target.“The project delivered a significant improvement in its first year and has strengthened the collaborative partnership with our customer,” said Ben.Linfox manages six transport operations for Lion nationally as well as managing key DCs in Melbourne and Sydney. Lion Dairy & Drinks produces and markets some of Australia’s most iconic brands in milk, dairy beverages, cheese, yoghurt, juice and soy.

“The introduction of a league table for our transport operations gave the project a competitive edge while remaining committed to Lion and Linfox’s safety strategies,” said Ben.Director of Logistics at Lion, Wayne Boxshall said: “Improved service levels allow us to have more valuable and future focused conversations with our channel partners. In addition, the ‘one team’ approach to improving service levels has led to a more constructive working relationship between Lion and Linfox.”

Ben said: “Part of the process has been to change the performance culture so that everyone in our team shares the 100 per cent target. “We celebrate performance improvements with joint events and this has boosted the team spirit and the great partnership we share with Lion.”

From left: Scott Wettenhall (Lion), Ben Carman (Linfox), Ann-Maree McMaster (Lion), Adam Wade (Lion), and Kyle Hawker (Linfox).

Destination 100 includes five focus areas:1. Implementing same day ‘live’ DOT reports

2. Linfox’s West Melbourne control room has boosted live activity reporting between Lion and Linfox

3. Improved subcontractor management tools and service level agreements with key suppliers

4. Eliminating order data errors including lead time

5. Increased engagement with retailers to streamline DC delivery times.

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Unilever’s Thailand expansion

Global FMCG giant, Unilever recently appointed Linfox to operate

its new state-of-the-art mega DC in southern Thailand.

The ambient 50,000sqm facility operates 24 hours a day, seven days a week to service Unilever’s 2,000 customers across the globe. Unilever is one of Thailand’s largest manufacturers of food, beverages, home and personal care products and is responsible for some of the world’s best known brands including Vaseline, Dove, Rexona, Omo, and Knorr. Linfox has worked with Unilever since 2002, providing warehousing and transportation services.

Linfox employees Khun Somkid Gamnil and Khun Chayapol Viratsakul inspect the new site.

“Linfox worked with Unilever to review the network and

identify opportunities to improve efficiencies and reduce costs.”

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Network efficiency Linfox Operations Director, Tom Tighe said the new facility is the backbone of Unilever’s expansive distribution network. “Unilever has experienced strong growth in Thailand since its introduction more than 80 years ago, gradually building its distribution network to meet ever-increasing demand,” said Tom. “Linfox worked with Unilever to review the distribution network and identify opportunities to improve efficiencies and reduce costs.“This resulted in the consolidation of Unilever’s eight distribution centres into

two adjacent mega DCs, located 60 kilometres outside Bangkok.” The new DC was constructed alongside Unilever’s existing 45,000sqm ambient facility. The new facility is designed to accommodate more than 1,500 stock keeping units and provide the flexibility to support Unilever’s continuous growth.

High-tech operationsThe new mega DC is equipped with leading-edge technology, including the SAP warehouse management system. “Linfox worked closely with Unilever to determine optimal methods to

manage, track, sort and allocate Unilever’s diverse range of products,” said Tom. “Real-time stock visibility and tight controls ensure Unilever’s product remains in peak condition and fluctuations in demand are managed. “The facility is supported by a wireless Radio Frequency (RF) system which integrates with SAP to reduce manual handling equipment travel time and improve stock management processes.“We’ve also introduced the OptiSlot optimisation tool to determine the most efficient pick paths to improve productivity and reduce customer costs.”

The new Unilever mega DC in Chachoengsao, Thailand.

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Pack and deliverCharta Packaging NZ has appointed Linfox to provide national deliveries to its customers across New Zealand.

Linfox has commenced nationwide transportation from Charta’s manufacturing plants in Auckland and Wellington following a three month trial of the service. Charta Packaging, a member of the Visy Group of companies, manufactures high-quality corrugated packaging for the food, beverage, horticulture, chemical, medical and manufacturing sectors.

Linfox FMCG National Transport Manager, Dylan Turner said the team transport up to 12 loads of Charta product each night to its customers in New Zealand’s North and South Islands. “The majority of the work is in New Zealand’s North Island, home to the bulk of our business and industry,” said Dylan. “Loads destined for the South Island are transported to the Wellington port where Linfox vehicles are transferred by ferry across the Cook Straight to continue their route,” he said.

Customer savings Linfox NZ Commercial Manager Mark Davenport said, “Pooling resources from across our transport network and utilising our fleet of high performance vehicles offers increased productivity and fuel savings, as well as environmental and safety benefits.”“Charta Packaging continues to grow its services and we look forward to increasing our support of Charta and adding further value to the relationship.”

From left: Mark Davenport (Linfox), Wayne Emerson (Charta Packaging) and Dylan Turner (Linfox) at Charta’s new facility in Auckland.

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Bound for South AustraliaLinfox is supplying Kmart’s South Australian stores.

Linfox’s Linehaul team recently began supplying Kmart’s 15 South Australian metropolitan and regional stores.

Michael Haugh, Linehaul’s National Road Manager said that Linfox Linehaul tailored a logistics solution to suit Kmart’s distribution needs.

“The South Australian stores require a fast and reliable solution to ensure shelves are filled on time to meet Kmart’s sales needs. Planning takes into account our customer’s range of store promotions during the year and, of course, the approaching summer holiday peak which boosts volumes by up to 50 per cent,” said Michael.“We’ve been planning for the peak season build up since July and understand just how vital this is for Kmart.”The service uses around 10 B-double sets per day during regular trading times. This provides a strong fit in Linehaul’s road network which has a range of South Australia – Victoria trips and builds an effective solution for customers.

The new Linehaul operation, which operates from Kmart’s Melbourne DC has added to the fleet of Linfox vehicles at the site as Linfox also handles local Kmart deliveries. Linfox and Kmart share a long partnership which began in the early 1990s.“Our relationship with Kmart has strengthened. The customer values our strong safety culture, stringent compliance regime, service delivery and sophisticated solutions planning capability,” said Michael.Kmart first opened in Australia 45 years ago in Victoria. Today, Kmart delivers ‘irresistibly low prices’ through more than 190 stores across Australia and New Zealand.

Linfox Driver, Justin Grantham from Linehaul, South Australia.

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Connecting ThailandA new resource planning tool is delivering increased efficiencies and greater stock visibility for Minor Food Groups (MFG) in Thailand.

Linfox provides warehousing and transport services from MFG’s national distribution centre in Bang Na, Bangkok to more than 900 MFG restaurants across Thailand.Linfox Back Office Systems Manager, Greg Hartland said the Linfox IT team worked with MFG to develop a customised Materials Resource Planning Tool that integrates with SAP’s Extended Warehouse Management system.“The new tool offers significant customer benefits including increased process automation and greater stock visibility and controls,” said Greg.

Minor Food Group’s national distribution centre in Bang Na, outside Bangkok.

“Real-time stock visibility and an automatic requisitioning system

helps us maintain lean stock levels and minimise waste.”

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Smart solutions The Bang Na DC stocks a variety of ambient, chilled and frozen products to cater to MFG’s diverse portfolio of restaurants. “The tool utilises statistical forecasting and consumption history data to inform our peak season planning and improve our ability to respond to fluctuations in supply and demand,” said Greg. “Real-time stock visibility and an automatic requisitioning system helps us maintain lean stock levels and minimise waste. “The tool also allows for product variances and unusual requirements, such as minimum order quantities, export orders and short shelf-life materials.”

Customer satisfactionMFG Supply Chain Planning Director, Polpipath Assavanig said the team had delivered a successful project. “The tool delivers accurate inventory replenishment for our business and ensures inventory policy is followed,” said Polpipath.“This project is the beginning of a full upgrade of MFG’s IT capabilities and I look forward to the next phase of our collaboration.”Greg said: “We’ve received excellent feedback from our employees and the customer and we hope to introduce the tool to other customers in the new year.” MFG began in 1980 with one pizza restaurant in Thailand. Today, the company operates and franchises more than 10 restaurant brands, including The Coffee Club and Burger King, boasting a network of over 1,000 outlets in 13 countries across Asia.

Connecting ThailandA new resource planning tool is delivering increased efficiencies and greater stock visibility for Minor Food Groups (MFG) in Thailand.

From left: Linfox, Inventory Manager Noppahawan Sroiprasit and Procurement team member Rasikaohorn Jarasarn.

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Peak planningMeeting the demands of Australia and New Zealand’s summer trading peak requires early planning.

Summer means holidays, celebrations and increased demand for many of our customers’ goods. Ensuring stores are adequately stocked and replenished to meet this surge in demand requires careful planning and collaboration with our customers.

RetailersLinfox President Retail Terry Quinnell said the planning process begins in July to ensure we have all the resources needed to meet market needs. “We begin analysing previous years’ data for our customers in the supermarket, liquor, department store and hardware sectors in July-August. We also work with customers to include their plans and promotional programs in our modeling,” said Terry.“We continue to develop smarter forecasting tools to better manage increased workloads over peak season each year to drive greater efficiencies and successful results for our customers. “It’s critical to organise the right manpower and equipment well in advance,” he said.

The line up at the CUB distribution centre in Truganina, Victoria .

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ProducersThe same critical preparation is required for the producers of products experiencing a seasonal surge.Linfox Group Manager CUB and Packaging, Frank De Cata said the planning for Carlton & United Breweries drinks range takes into account the football grand finals, Melbourne’s Spring Racing Carnival as well as summer celebrations.“We analyse previous years’ volumes and receive CUB’s forecasts and peak period timetable which highlights special requirements, such as Saturday deliveries. Volumes can increase by up to 25 per cent in December,” said Frank. Linfox operates out of six CUB sites across New South Wales, Victoria and Tasmania.

Safety firstOperations increase significantly during the peak and road conditions also change during the holiday season. Maintaining safety performance is critical during this increased activity and Linfox’s safety team plans its Peak Season Safety campaign to reinforce the business’s vision ZERO focus.Group Safety Manager, Andrew Niven said the 12-week Peak Season Safety program focuses on the increased risks during the peak period.“This is a critical part of our safety strategy that has proved particularly successful,” said Andrew.

Linfox driver, Jason Thodey.

Administration supervisor, Judy Harding.

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Colours of India Linfox has expanded its relationship with Asian Paints, commencing warehouse operations for the company’s three regional distribution centres (RDC) in India.

The team also commenced primary transport between Asian Paints’ new Ghaziabad RDC in northern India and its local warehouses across the country. Asian Paints is Asia’s third largest paint manufacturer, offering a range of colour and paint solutions for the domestic, industrial and automotive industries. Based in India, the company has operations in 17 countries and services consumers in 65 countries.

Growing partnership The new contract builds on Linfox’s existing work with Asian Paints, providing local warehouse operations in Kasna, Ankleshwar and Hyderabad. Asian Paints Chief of Logistics, Joseph Eapen said the two companies share common values. “Asian Paints and Linfox share a joint focus on safety and compliance and this is reflected in our work,” said Joseph. “We have also engaged Linfox to provide primary transport on some routes and look forward to an expanded partnership.”

Automated solutions Linfox Commercial Manager, Patrick Eric said Asian Paints’ warehouse operations benefit from leading automated storage and retrieval system (ASRS) technology. ASRS is an online automated system that manages the storage and retrieval of loads within a warehouse.“The ASRS integrates with Asian Paints’ SAP warehouse management system to provide precise, accurate and timely management of its product range,” said Patrick. “The system automatically designs the best method of storing and retrieving stock to reduce manual handling, shorten the pick path and accurately track inventory. “Its ability to maintain lean inventory levels allows us to minimise waste and optimise warehouse space.”

Safety firstLinfox National Safety Manager, John Mathews said the introduction of Linfox’s safety initiatives and regular safety audits were reaping rewards at the sites. “Weekly toolbox talks reinforce our Linfox safety processes and encourage employees to suggest new safety measures,” said John. “Our Licence to Work program offers employees customised Materials Handling Equipment. “The program has significantly reduced incidents onsite and provided employees with essential safety skills.”

Linfox employees at our Asian Paints DC in Ankleshwar, India.

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Safety excellenceLinfox drivers Mohd Rusli Kalim and Rahmat Sallih have been recognised by Linde Malaysia for their commitment to safety excellence and customer service.

The Excellence in Safety Adherence award is presented to outstanding drivers who demonstrate excellence in customer service, risk management and vehicle maintenance. Linde Malaysia manufactures and distributes a range of medical, industrial and specialty gases. Linfox provides transport of Linde Malaysia bottled gas products from the company’s filling plants to sales centres and customers throughout Peninsular Malaysia.Linfox Malaysia Country Manager, Saj Iqbal said he is delighted to be recognised by a well-known leader in safety training and people development. “Linde Malaysia’s unwavering commitment to safety and customer

service sets a strong example for the industry and it’s terrific to see our people being recognised in such a public way,” said Saj. Training worksEmployee training is a key element of Linfox’s safety program. “All drivers working with Linde undertake comprehensive safety training covering emergency procedures, hazard recognition, cylinder handling, speed management and fatigue prevention,” said Saj.“New drivers also complete two weeks on-the-job training under the supervision of a senior driver.”Linde Malaysia is part of the Linde Group of companies which operate in more than 100 countries worldwide.

“Linde Malaysia’s unwavering

commitment to safety and customer service sets a strong example

for the industry and it’s terrific to see our people being

recognised in such a public way.”

Linfox drivers Mohd Rusli Kalim and Rahmat Sallih.

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Lean inspiration Westpac’s Excellence and Operations team recently toured key Linfox sites to view LeanFox in action.

The LeanFox continuous improvement program trains employees to recognise waste within processes and increase operational efficiency. The group toured Linfox’s Greystanes and Bungarribee sites where the program has led to a significant improvement in processes and the introduction of several value-add initiatives. Linfox National Manager, Bob Brundle said that Westpac has been a Linfox print logistics customer since 2001.“Sharing insights from the LeanFox improvement program demonstrates our close strategic partnership with Westpac and provided valuable insights for Westpac team members,” said Bob. “Demonstrating the Lean strategy and sharing common experiences contributes to the strength of our relationship and assists us in our

ongoing support of the Westpac Group as it continues to expand.”Linfox operates three warehouses for Westpac in Sydney, Melbourne and Adelaide and provides national distribution of promotional and operational documents to the Westpac, St. George Bank, Bank of Melbourne and BankSA networks and merchant operations. Linfox also provides national distribution for internet security tokens used for web-based business banking customers.Westpac Senior Manager for Service Excellence and Operations, Chris Ellis said the visit was extremely useful. “It was refreshing to see Linfox leaders living and breathing the LeanFox principles every day and empowering their teams to find solutions and be proactive – it was very inspiring,” said Chris.

Westpac and Linfox team members at the Linfox Arnott’s Bungarribee site in New South Wales.

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Healthy Fox inspires change Linfox’s Healthy Fox program is inspiring vital lifestyle changes across Australia.

“We know that early intervention with lifestyle changes can significantly reduce a person’s risk of developing diabetes and cardiovascular disease.”

More than 740 Linfox employees at 30 sites across Australia have undergone comprehensive health checks since the program’s launch in July. Healthy Fox offers free confidential health checks and encourages employees to make wiser choices about nutrition, fitness, mental health and general wellbeing.Healthy Fox program Manager, Marian Merrigan said many employees had made lifestyle changes and sought vital treatment after learning about diabetes and cardiovascular disease. “We know that early intervention with lifestyle changes can significantly reduce a person’s risk of developing diabetes and cardiovascular disease,” said Marian.“The Healthy Fox Program empowers employees to improve their health and wellbeing through education and professional support.”

Storeperson, Garry Green at the Healthy Fox launch at Hazelmere, Perth..

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Food solutionsLinfox has renewed its Somerton warehouse operations agreement for Simplot.

Linfox operates DCs for leading food manufacturer Simplot Australia. The facilities based at Somerton in Melbourne, Erskine Park in Sydney and Kewdale in Perth distribute Simplot’s well-known range of ambient goods including Leggos sauces, Edgell-branded vegetables and the John West range of tuna and salmon products.

Operations Manager at Somerton David Lancashire said the site is an important link in Simplot’s distribution network. “The 18,000 pallet facility is the main warehouse in the network which we have operated since 2006. The Sydney and Perth facilities came on stream in 2012 and have helped streamline distribution,” said David. “We run a very lean operation to ensure that products are efficiently handled through the DC to Simplot’s key customers who include the major supermarket chains plus export markets in Asia and New Zealand. Our focus on efficiency and great safety record underpins the partnership with Simplot.”A feature of the new agreement at Somerton has been the construction of a new awning over the dispatch area to protect activity and stock from the elements. Our Simplot operations in Sydney and Perth use Linfox’s multi-

user warehouse facilities and the neighbouring Somerton multi-user DC in Melbourne can be used for overflow stock. Simplot National Logistics Manager, Stephen Cathie said the team is pleased to extend its partnership with Linfox. “The Somerton team has provided a reliable service for many years and choosing to extend this partnership was an easy decision,” said Stephen.

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Linfox alumniFormer Linfox senior leaders gathered for the fifth annual Linfox Alumni event at Melbourne’s Luna Park in November.

Guten Tag Grace Secondary school student, Grace Didlick has been awarded this year’s Linfox AFS scholarship to live and study overseas.

The event was hosted by Linfox Chairman, Peter Fox; Linfox Founder, Lindsay Fox and Acting CEO Australia and New Zealand, Annette Carey.“This alumni event has become a great tradition that brings familiar faces together in a relaxed and friendly setting,” said Peter. “It’s a terrific opportunity to catch up with respected industry leaders, celebrate our achievements and recognise the contribution of those who have helped to shape Linfox.”

Grace’s Great Aunt, Beth Sullivan is the Armaguard Branch Manager at Tamworth and has worked with the Linfox Group for over 14 years. “I am very proud that Grace has been selected as the AFS Scholarship recipient – she is really looking forward to meeting her host family, learning a new language and living in Germany,” said Beth.Grace said, “I chose to study in Germany as I have a passion for art and museums and plan to complete an art related course at university.”

Linfox Organisational and People Development Manager, Tracie Maulden said Grace is an inspiring young person. “We’re pleased to offer Grace this opportunity to build her confidence, her cultural awareness and extend her capabilities,” said Tracie.

Linfox Airports Executive Chairman David Fox and former leader, James Dixon.

Acting CEO ANZ Annette Carey, Linfox Founder, Lindsay Fox and former leader, Leonard Vary.

Armaguard CEO Michael Tenace with AFS recipient Grace Didlick.

“I chose to study in Germany as I have a passion for art and museums and plan to complete an art related course at university.”

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Supervisor training hits record number The largest ever group of Linfox employees graduated from the Leadership Skills for Supervisors Program through Linfox College in 2014.

Almost 140 employees from Australia, Thailand and New Zealand completed the six-month course, bringing the total number of graduates to 250 since the program’s inception in 2008.

The program offers supervisors and aspiring supervisors fundamental leadership skills, including training in communication, meeting management, risk-taking and financial statement analysis.Students complete six training modules with the support of a course coordinator. “I congratulate the participants who persevered and successfully completed all six modules,” said Organisational and People Development Manager, Tracie Maulden.

“The Program encourages our employees to learn new and useful skills that can be applied to every-day workplace situations,” she said. Linfox Supervisor Nakornprom Homchun, from the Yum distribution centre, in Ayutthaya was one of 70 Thai students to complete the course.“The communication skills training has been particularly useful for managing sensitive situations and to better communicate with my team,” said Nakornprom. “I’d certainly recommend the course to others.”

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“My father and grandfather worked in transport so it felt natural that I’d follow their lead,” said Braydan. “Linfox was the obvious choice for me so when I heard about the Cadet Program, I applied straight away.”

Since completing the program last year, Braydan has accepted a full-time Allocator and Planner role at Linfox’s Woolworths distribution centre in Melbourne’s north. “I design, plan and allocate vehicle loads based on each store’s requirements and location,” said Braydan.“I help to coordinate the route of up to 60 vehicles. I’ve also recently taken on a Relief Supervisor role, responsible for overseeing a team of 35 employees. “Through the program I’ve met senior Linfox leaders across different areas. I’d definitely recommend the program to others.”

The Linfox Cadet Program is a two-year program offering young people on-the-job training and leadership development. “It’s an excellent opportunity for young school-leavers to build a career in warehousing and logistics,” said Organisational and People Development Manager, Tracie Maulden.“Cadets are trained across different operational areas to qualify for a Certificate III in Logistics or Warehousing. “Like Braydan, many cadets have built a strong operational foundation and successfully moved into frontline management positions.

Driven for successCadet Program graduate, Braydan Fletcher has always aspired to a career in transport.

Linfox Cadet, Nathan Sleep and Linfox Allocator and Planner, Braydan Fletcher.

“Through the program I’ve met senior Linfox leaders across different areas. I’d definitely recommend the program to others.”

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www.linfox.com

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