Formation of Team 3 Logistics Announced

Kenco Logistic Services LLC (KLS), through its wholly-owned subsidiary Kal-Serv, has announced that together with Schnellecke of America, LLC, it has formed Team 3 Logistics LLC (www.team3logistics.com). This new joint venture will offer logistic solutions to support automotive production in the Southeastern United States.

As an established global provider of supply chain solutions for automotive manufacturers in Europe, China, Russia, Brazil, Mexico and South Africa, Schnellecke sought a partner with strong capabilities serving the U.S. market, and the Southeast in particular. “Once we got to know Kenco, they were the logical choice for the creation of Team 3,” said Nikolaus Kϋlps, CEO of Schnellecke Group. “Together we will offer logistics and added-value services to the automotive industry.”

Kenco, headquartered in Chattanooga, has unmatched warehousing and logistics experience in the Southeast. “We enjoy a strong cultural alignment with Schnellecke, and we are fortunate to have been selected as the U.S. partner in Team 3,” said Andy Smith, KLS president and COO. Team 3 will leverage Kenco’s extensive U.S. infrastructure, which includes over 100 buildings totaling 25 million square feet. Forty-five percent of the distribution space managed by Kenco Logistic Services is located in the Southeast United States with 4.7 million square feet and 22 buildings in its home city, Chattanooga, TN.

Team 3 Logistics was formed to support the growing number of automotive manufacturing plants located in the Southeast.

About Schnellecke Group

The Schnellecke Group provides transportation solutions, value-added logistics, engineering, supply chain management, production and assembly of automotive parts and components. Clients include most major automotive manufacturers. The Schnellecke Group, based in Wolfsburg Germany, is a privately-held company which was founded in 1939 and started globalizing its operations in the mid-nineties. Today, Schnellecke is a leading company in automotive logistics worldwide. For more information, visit www.schnellecke.de.

About Kenco Logistic Services

Kenco Logistic Services is one of the nation's leading third-party logistics providers (3PL), managing over 100 facilities and 25 million square feet of warehouse space in 31 states and Canada. Kenco currently provides logistics services for many industry-leading, Fortune 100 companies such as Whirlpool, GlaxoSmithKline, Cummins, and General Mills. Kenco specializes in facilities and services for the pharmaceutical, automotive, food, textile, and appliance industries. Kenco Logistic Services is a member of the Kenco Family of Companies. Other members include Kenco Material Handling Solutions, Kenco Transportation Services, and JDK Real Estate. Together these companies offer total supply chain solutions.

Kenco Logistic Services Release its 2009 Year End Report

{to view Kenco's press release, please click here}

Kenco Logistics Services, one of the most respected names in the third-party logistics 3PL industry, has released its 2009 Year End Report.

According to Jim Kennedy III, Kenco chairman and one of the company’s owners, “It’s no secret that most companies are relieved 2009 is over. At Kenco, we posted several significant milestones that provide a cautiously optimistic outlook for the coming year. In terms of the overall health of our business, we are pleased to report $40 million in new revenue, plus the addition of several new major customers.”

Mr. Kennedy continued, “New customers won last year include Ralston, OTTO International, and Wolford, plus we added business with established customers Whirlpool, Mead Johnson Nutrition, Komatsu, Keurig, and Carrier.”

Market conditions also prompted Kenco to streamline its management structure. “Some of these changes were painful,” Kennedy said, “but we are in a strong position going forward.”

Andy Smith, Kenco Logistic Services president and chief operations officer, said, “Embracing Lean techniques throughout the enterprise was a critical element to our 2009 success. We started with a Lean Six Sigma Master Black Belt (LSSMBB) on staff who trained a cadre of 20 Lean Six Sigma Green Belts using basic Lean concepts of Takt Time analysis, schedule attainment analysis, A3 problem solving method and Kaizen events as major tools for continuous improvements.”

“Did it work?” Mr. Smith asks. “You bet! Improved employee participation resulted in a 30% productivity increase while decreasing operating costs by 25% at sites that implemented Lean. In 2009, Kenco generated 2% in bottom-line revenue savings by leveraging our Operational Excellence programs,” he explained.

Pointing out one of the year’s highlights, Mr. Kennedy said, “Kenco was pleased to host an inspiring presentation by Dr. Stephen Covey, one of the most respected and sought-after leadership authorities of our time and author of The 7 Habits of Highly Effective People. Speaking to the Chattanooga business community, his positive approach helped us all through the on-going economic turbulence.”
During 2009 Kenco received numerous awards and recognition for various accomplishments by the company that often go unheralded. These include:

• Whirlpool Corporation’s Warehouse Supplier of the Year
• Invista Chattanooga facility managed by KLS celebrated 32 years with no loss-of-time accidents
• Inbound Logistics magazine Top 100 3PL
• Supply Chain Brain 100 Best Supply Chain Partners
• Business Tennessee’s Hot 100
• American Trucking Association’s Safety Management Council Award for 44% Collision Reduction
• National Safety Council Merit Award for OSHA Lost Time Injury Rate of 0.32 compared to the Warehouse and Storage Industry average of 2.0

About The Kenco Family of Companies
Kenco manages 25 million square feet of warehouse space in locations throughout North America. The company’s core competencies include logistic services, transportation, real estate management and material handling equipment. The Kenco Family of Companies includes Kenco Logistic Services, Kenco Transportation, Kenco Toyota-Lift, Kenco Management Services, and JDK Real Estate.