What does it take to build the future of the food supply chain? Our CEO and founder Bram Hage and Chief Project Officer Hans Otto were recently interviewed in the aptly named Future Industry supplement carried in the Dutch finance title Financieele Dagblad. Hage touched on the elements fuelling NewCold’s growth – embracing innovation that drives sustainability and leads the industry. See a translated version of that article below.
Sustainability
Companies must become more sustainable, and some are doing so even faster than the government requires. Such a company is NewCold, a world leader in food logistics. The company is a leader in making its entire business operations CO2 neutral, through automation, innovation, self-generating energy, and a constant focus on reducing waste.
Dare to innovate
Bram Hage, CEO of NewCold, says: “Innovation is in NewCold’s genes. That started when I founded the company PLE, the predecessor of NewCold, in 1999.” Hage started his own business because his then employer would not invest in innovation to meet the requirements of a customer. Hage took up the gauntlet, because he believed in automated warehousing and was supported by his first customer: Lamb Weston, one of the world’s largest producers of frozen potato products. In 2012, Hage left the PLE company and started again with NewCold. And with success, because that company is growing like crazy.
Continuous growth
NewCold ranks among the top four food logistics companies worldwide, in terms of volume, and is a leader in terms of innovation in the industry. How did that happen? Hage says: “We mainly work with global major manufacturers of frozen fries, bread, vegetable products and ice cream. These are customers with long-term contracts. They want to prevent waste, such as energy waste and product failure. We offer them automated warehousing that is as efficient as possible, with 24/7 service and the most advanced technologies. We tailor our service to the individual customer and when that customer enters a new market, we build a new warehouse in the most logical location. Nowadays we build these warehouses CO2 neutral and in a way that they generate their own energy. In the same way, we transform our existing warehouses one by one, so they will be self-sufficient in the foreseeable future.”
NewCold is exploring expansion into exciting new markets, such as India. Hage sees this country with 1.4 billion people increasingly open to chilled and frozen food.
Focus on efficiency
Automation is the key factor in NewCold’s services. It allows products to be stored in a much more efficient way than in a conventional warehouse and it reduces the need for labor. Hage: “We have forty-meter-high towers of small pallet positions which require robots to deliver the products to collect. There are hardly any people walking around on the site itself: there are many operators. These operators are in constant search for improvement. This is the reason why they have weekly consultations with our engineers to discuss further improvements in automation.”
Vertical integration
Due to its innovation orientation, NewCold is able to offer end-to-end logistics solutions, Hans Otto, chief project officer and responsible for the construction of new warehouses, says: “We offer as many end-to-end solutions as possible to our customers. We collect the products, store them, and deliver them to the distribution centres. Adding value and increasing efficiency are always the main factors in our choices. If we identify an improvement we can make, we will develop it ourselves and ensure we get the patent on it. We invest a lot in new solutions and preferably do this with self-developed software.”
Dutch market
NewCold follows customers all over the world and now has fifteen facilities on three continents. “The funny thing is,” says Bram Hage, “that so far, we have no warehouses in the Netherlands, only our head office is in Breda. This is about to change though: in 2025 we will open a warehouse in Dinteloord for Lamb Weston, the customer with whom the adventure started for me a long time ago.”
Rob Scholte, Chief Supply ChainOfficer of Lamb Weston EMEA said: “The arrival of NewCold in the Netherlands offers great opportunities for further collaboration, especially since we are are opening a new fries factory in Kruiningen in 2024. In terms of location and sustainability, NewCold fits our vision of the future.”
Facts
About NewCold
NewCold is a global leader in advanced food logistics, with 15 state-of-the-art automated and energy-efficient warehouses on three continents with a current capacity of 1.24 million pallet positions. NewCold provides end-to-end supply chain solutions to leading foodcompanies, supported by innovative technology and a team of 2,000 people. Our focus on automation and proprietary technology sets us apart. www.newcold.com
Original article in Dutch:
NewCold offers exciting and fulfilling career opportunities around the world.