Elemica to Launch Global Multi-Modal Logistics Platform for the Chemical Industry
Acquires Optimum Logistics
Elemica, the global neutral network for inter-company commerce and supply chain optimization for buyers and sellers of chemicals and related products, announced today that it has signed a definitive agreement to acquire Optimum logistics Ltd., the leading global marine logistics solution in the chemical industry. Under the terms of the agreement, Elemica will acquire the full technology platform and the ongoing business operations of Optimum Logistics. Elemica will integrate Optimum's technology into the current Elemica platform to launch a global ground, rail, container, and marine logistics solution for Elemica Network companies and will expand its Network to include logistics service providers, terminal and warehouse operators, and freight forwarders.
In addition to the benefits realized by Elemica members, Optimum Logistics' clients will equally benefit from the acquisition. Current Optimum Logistics' client, Lyondell Chemical Company Vice President for Supply Chain, Jeffrey L. Hemmer stated, "One of Lyondell's supply chain objectives is 'touchless fulfillment'. Our desire is to establish a virtual enterprise where we collaborate with our business partners to optimize the overall supply chain." Hemmer continued to say, "We worked extensively with Optimum Logistics to develop a marine logistics information solution and believe it has tremendous potential to become the leading multi-modal technology solution for the chemical industry."
The cornerstone of the Elemica Logistics solution will be the acquired TransLink(TM) application integrated with the Elemica Connected Solution(SM). Together, they provide:
-- Land and marine based transportation arrangement, -- Logistics Service Provider and shipper web-based visibility and data entry, -- Supply chain event management, alerting, and reporting, -- Full integration with on-line document preparation and management, and -- Full integration with Shipper and Logistics Service Providers' ERP systems.
This solution is available through the Elemica Network as an Elemica hosted application.
The marine solution is available today and Elemica expects the ground based logistics offering to be available shortly in Europe and North America as Elemica is expecting to go live with their first shipper customer in April 2003.
Elemica Network member, Rick Gerardo, Vice President of Global Supply Chain at The Dow Chemical Company commented on the acquisition stating, "We view the acquisition of Optimum Logistics by Elemica as a positive move for the chemical industry. Dow currently uses this solution as part of a joint venture and is enthused that Elemica will integrate this logistics platform into the Elemica offering."
Elemica's Senior VP of Global Supply Chain and Logistics, Chuck Gruber shared his enthusiasm regarding the acquisition. "In order to fully realize the benefits of any logistics solution it must be integrated into the shippers' ERP system, connected to every logistics service provider, and linked to the supply chain and order processing business processes." Elemica's proven ability to integrate the different systems of its 50-plus members combined with the Optimum Logistics best in class solution is a winning combination. "As we worked with Optimum's offering in the maritime environment, it became obvious that the same functionalities could be applied to other modes. Our Shipper members' told us they wanted a globally consistent "look and feel" and a standard set of capabilities across all modes and geographies. We then realized we could best deliver those capabilities by aligning even more closely with Optimum Logistics."
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