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LOGISTICS

Logistics at its best North - – World-class Logistics Expertise 2 LOGISTICS AT ITS BEST Logistics at its best

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... that the River Rhine, which flows through North Rhine- ... that all the parcels of the integrator UPS which leave or Westphalia, is one of the busiest waterways in the world? arrive in go through Airport?

... that more than a quarter of all logistics centers in ... that the heart of German trade logistics lies in the are to be found in North Rhine-Westphalia? eastern ?

... that most of the road haulage companies in Germany … that the first virtual marketplace for logistics software are based in North Rhine-Westphalia? on demand, the Logistics Mall, comes from North Rhine- Westphalia? ... that the Fraunhofer Institute for Material Flow and Logistics in is the largest research institute ... that global players like 3M, Amazon, Esprit, Procter & for logistical questions in the world? Gamble, QVC, TK Maxx and Zalando operate large logis- tics and distribution centers in North Rhine-Westphalia?

North Rhine-Westphalia – Logistics at its best LOGISTICS AT ITS BEST 3

Content

North Rhine-Westphalia – world-class logistics expertise 4

At the center of the market: North Rhine-Westphalia 6

Going places fast – nationally and internationally 8

Excellent connections – also by water 9

More than just transport 10

Regional logistics expertise 12

Logistic infrastructure in North Rhine-Westphalia 14

Sites for the logistics industry 16

Logistics solutions for every industry 18

Qualified staff as a location factor 20

Fit for the future with innovation transfer 21

Logistics at its best: cutting-edge research of international standing 22

Logistics at its best: Green logistics 23

Logistics at its best: Software to go 24

Pooling strengths and increasing competitiveness 25

Represented worldwide 26 4 LOGISTICS AT ITS BEST

North Rhine-Westphalia – world-class logistics expertise

The world is moving closer together. Today, trade and the division of labor are world-spanning, causing the flow of commodities to grow steadily. Good prospects for Germany’s leading logistics region, North Rhine-Westphalia: Its central location and outstanding infrastructure, concentrated know-how and a renowned research landscape attract companies and investors seeking to establish or expand a location in Europe.

ANNUALLY, THE LOGISTIC COM- “The world‘s best-performing logistics infrastructure” – this is the title bestowed on PANIES BASED IN NORTH RHINE- ­Germany by the World Bank at the beginning of 2012. In a survey entitled “Connection WESTPHALIA GENERATE SALES to Compete 2012”, internationally operating cargo and express transport companies OF 70 BILLION . voted the logistics infrastructure of the Federal Republic of Germany into first place ahead of Singapore, the and the USA, out of a total of 155 countries.

In doing so, they paid particular tribute to North Rhine-Westphalia, Germany‘s leading logistics location. More than 27,800 logistics companies with 284,000 employees 8already profit from the strengths of the most populous federal state, generating annual sales of around 70 billion euros. Including the logistical tasks performed in trade and industry, the sector employs more than 615,000 people here.

Close-knit infrastructure in the heart of Europe

Direct links to the Belgian and Dutch seaports and a close-knit transport network make North Rhine-Westphalia the most important logistics hub in Europe. No other region can boast so many commercial zones in the vicinity of highly efficient freeway, road and rail networks. The cargo airports are expanding and the well-developed waterways provide direct transport routes to both the seaports and many destinations in central, eastern and .

These location factors make it clear why so many logistics companies have set up business here. Their names read like a “Who‘s Who” of the industry: Dachser, Deutsche Post DHL, FedEx, Fiege, Kühne + Nagel, , Schenker, Seacon Logistics, TNT, UPS and Yusen Logistics are just a few prominent examples. Numerous global players operate their distribution centers in the Rhine-Ruhr region, including 3M, Amazon, Esprit, HSE, IKEA, QVC, TK Maxx, Zalando and many more. The excellent logistical infrastructure is also a key reason why the state has developed into the most important location for foreign investors in Germany. LOGISTICS AT ITS BEST 5

Focus for renowned foreign companies

More foreign direct investments in Germany come to North Rhine-Westphalia than anywhere else. At the end of 2011, the federal state posted by far the largest share of all 16 states – 27.1 percent of all direct investments in Germany, namely 200,6 billion euros out of a total of 741,4 billion euros. It is followed by Bavaria with 16.8 percent, with 16.1 percent and Baden-Württemberg with 13.3 percent. Around 14,000 foreign companies from the most important investor countries control their German or European­ activities from North Rhine-Westphalia. These include 3M, BP, Ericsson, , LG Electronics, QVC, Sany, Toyota and Vodafone. 6 LOGISTICS AT ITS BEST

At the center of the market: North Rhine-Westphalia

Besides its dense infrastructure, what companies value most of all about North Rhine- Westphalia as a business location is its central position – in other words, short distances to a large number of consumers. About one third of all consumers in the live within a radius of 500 kilometers around the state capital Düsseldorf.

150 MILLION PEOPLE LIVE IN A North Rhine-Westphalia lies in the heart of Europe, bordering directly on to and RADIUS OF ABOUT 500 KILO­ the Netherlands. With 17.5 million inhabitants it is the most populous of the 16 German METERS AROUND THE STATE federal states. With 514 inhabitants per square kilometer the state is more densely CAPITAL DÜSSELDORF populated than Japan and the Netherlands.

Nearly 150 million people live within a radius of about 500 kilometers around the state capital Düsseldorf. This is equivalent to one third of all consumers and 45 percent of the purchasing power in the EU. The inhabitants of North Rhine-Westphalia alone spend 321.6 billion euros on private consumption each year – an attractive market, the development of which requires efficient logistical services.

Top location for manufacturers and suppliers

The size of the market attracts companies to the Rhine and Ruhr. 19 of the 50 top-­ selling German companies have their headquarters in North Rhine-Westphalia, e.g. , Bertelsmann, Deutsche Post DHL, Deutsche Telekom, E.ON, Metro, RWE and ThyssenKrupp. Large, world-class industrial corporations are based here, as are dozens of smaller “hidden champions” which are leaders in their respective fields of business. LOGISTICS AT ITS BEST 7

Europe’s largest sales and sourcing market

A look at the state‘s trade volume also shows how important logistical know-how in North Rhine-Westphalia is. 16,6 percent of German export goods are “Made in North Rhine-Westphalia”, and they have a value of 181,9 billion euros. 22.3 percent of all German imports go to North Rhine-Westphalia (203,9 billion euros). Every year, 270 million tons of goods have to be transported to their destinations here. The proximity to the market and the existing logistical competence have led to numerous trading companies locating here. 16 of the 40 largest German trading companies are based in North Rhine-Westphalia, including such well-known names as , C&A, Deichmann, Metro, Rewe and Tengelmann.

TOTAL SHARE IN GERMANY POPULATION 17.5 MILLION 21.9 % POPULATION DENSITY 514 INHABITANTS/KM² WORKING PEOPLE 8.9 MILLION 21.4 % GROSS DOMESTIC PRODUCT 582.1 BILLION EUR 22.0 % GROSS DOMESTIC PRODUCT PER CAPITA 32,631 EUR PRIVATE CONSUMPTION* 321.6 BILLION EUR 2 3 .0 %

*POSITION AS AT: 2009; ALL OTHERS AS AT: 2012 8 LOGISTICS AT ITS BEST

Going places fast – nationally and internationally

As a logistics location, North Rhine-Westphalia scores points with its exceptional infrastructure. The densest road network, the densest rail network and two major international airports ensure excellent connections both in Germany and abroad.

MORE THAN 119 MILLION TONS North Rhine-Westphalia lies at the intersection of important national and European OF RAIL FREIGHT WERE HANDLED road traffic axes. Freeways lead everywhere – to the northern German Hanseatic IN NORTH RHINE-WESTPHALIA and seaports and , toward , to the Rhine-Main metropolitan IN 2012. region and the population centers in southern Germany. Access to neighboring - pean countries – including the seaports and – is also excellent from here. A network of around 2,200 kilometers of freeways, many of which have three lanes in each direction, connects every important place in the state quickly and directly to the European long-distance road system via its own on- and off-ramps. Around 4,800 kilometers of highways, 12,800 kilometers of rural roads and 9,800 kilometers of district roads ensure the close-meshed development of the market.

European hub

Two major international airports – Düsseldorf Airport and – as well as further airports with European connections in Dortmund, Münster/ Osnabrück, / and /Niederrhein connect the state to all the main German domestic destinations as well as major cities all over the world. The geographic proximity of Maastricht Airport in the Netherlands is also interesting for the Aachen Technology Region. With 9.3 million passengers Cologne Bonn Airport ranks number seven throughout Germany; it is also Germany’s number three air cargo center. In 2012, more than 751,200 tons of air cargo were handled here in round-the-clock operations. Global players such as FedEx and UPS operate major distribution centers here. Every UPS parcel that leaves or arrives in Europe passes through Cologne Bonn Airport. FedEx operates its hub for central and in Cologne. Düsseldorf Airport is the third-largest passenger airport in Germany, with around 20.8 million passengers. Airport can be reached within an hour by high-speed train.

Germany’s densest rail network

A roughly 6,000 kilometer-long rail network – the densest in Germany – runs through North Rhine-Westphalia. Germany‘s most important terminal for intermodal transport is to be found at the Cologne-Eifeltor transshipment depot. Numerous other intermodal terminals throughout the state represent important interfaces in the rail network. Major hubs in the European rail network are located in Cologne and in Duisburg/ as well as in the eastern Ruhr region and in . The Ruhr Metropolis is linked directly to Europe‘s largest seaport, Rotterdam, via Betuwe-Route, the new Dutch freight rail line. Besides , which operates its German customer center in Duisburg, a number of other rail companies focusing on cargo transport are also based in North Rhine-Westphalia. These include, for example, TX Logistik, HGK and duisport rail. LOGISTICS AT ITS BEST 9

Excellent connections – also by water

An extensive network of waterways, numerous ports for cargo handling, and expert know-how for every kind of specialized transport: That is inland shipping in North Rhine- Westphalia. Here too, the state offers an outstanding infrastructure.

IN 2012, 122 MILLION TONS OF North Rhine-Westphalia lies at the intersection of important CARGO WERE HANDLED BY SHIP European waterways and although the state has no coastline, IN NORTH RHINE-WESTPHALIA. links to the major European seaports are guaranteed. 226 kilometers of the Rhine, Europe‘s most important waterway, flow through North Rhine-Westphalia. Canals and navigable rivers add up to a total of 720 kilometers of waterway infra- structure. 122 million tons of cargo are handled by ship every year in 23 public and 97 private . At 51 million tons, the largest share passes through the world‘s largest inland port in Duisburg. Including rail and truck freight, 110 million tons are handled there in total. Beyond the Rhine ports, Dortmund – Europe‘s largest canal port – is a further logis- tics center for shipping.

duisport

combines all modes of transport on an area covering 1,350 hectares. The port consists of 180 hectares of water spread over 21 docks with a waterfront that runs for approx. 40 kilometers, of which 16 kilometers have rail links. Including the ­privately owned company ports, around 110 million tons of cargo were handled at the port and logis- tics location Duisburg in 2012. Some 300 companies offer their services at duisport. The port provides work for around 40,000 people – and the number is rising. Eight intermodal terminals and 1.75 million square meters of ­covered storage area are available.

logport

lies in Duisburg port and at around 300 hectares has developed into one of Europe‘s largest logistics centers within a very short time. Many internationally leading companies such as Kühne + Nagel, Schenker, Yusen Logistics and ­others have set up business here since 1998. The site has an optimal transport infrastructure with its own basin, two container terminals and a switching yard, as well as an extensive road and rail network.

RheinCargo

August 2012 saw the launch of RheinCargo, a joint venture of two strong partners: Häfen und Güterverkehr Köln AG (HGK) and -Düsseldorfer Häfen GmbH & Co. KG (NDH). A total annual cargo volume of more than 40 million tons by rail and in the harbors makes RheinCargo a logistics provider of European stature. RheinCargo operates the second-largest inland port company and one of the largest rail freight companies in Germany. The harbor locations Neuss, Düsseldorf and Cologne are among the most important transshipment ports in Europe. RheinCargo under- takes the operating business of the partners in the harbors and in rail freight transport. 10 LOGISTICS AT ITS BEST

More than just transport

A central location and a good transport infrastructure are essential. But companies looking for a logistics location in need more. In North Rhine-Westphalia they will find every component of the logistics process.

Intelligent automation for the warehouse

Automated high-bay warehouses, order-picking and packaging machines, palletizing robots or distribution and conveyor systems – without the advances made in these technologies the rapid development of the constantly growing flow of goods would not be possible. Numerous innovations in mechanical and plant engineering as well as in the field of transport and storage systems come from North Rhine-Westphalia. SSI Schäfer in Neunkirchen, for example, is a leading international component manufac- turer and full-range supplier for storage and logistics systems. Another world market leader is the Beckum-based company Beumer which manufactures conveyor, packag- ing and distribution equipment.

Renowned research facilities in the field of intralogistics are the Fraunhofer Institute for Material Flow and Logistics (IML) in Dortmund, which also advises companies on these issues, the Technical University Dortmund and RWTH Aachen University.

IT provides the edge

In logistics, the right IT system provides decisive competitive advantages. North Rhine- Westphalia offers leading-edge technology to precisely realize and control complex flows of goods. The spectrum ranges from warehouse administration and transport management systems to software with which the entire supply chain is controlled. Many of the products are developed by small and medium-sized enterprises in collaboration with the Fraunhofer Institute for Material Flow and Logistics in Dortmund. The success of companies such as Weber Data Service, Setlog or Vanderlande Logistics Software shows that North Rhine-Westphalia is a center for innovative logistics software.

Optimization with expert advice

In addition to well-known large and internationally operating consulting firms, a wide range of specialized experts has formed in North Rhine-Westphalia. SCI Verkehr, agiplan, P+L Hoffbauer and PLANCO advise their customers on the development of logistics systems, the planning of warehouses, the improvement of logistics processes and the optimization of transport systems. LOGISTICS AT ITS BEST 11

Logistics real estate made to measure

MORE THAN 615,000 PEOPLE ARE The market for logistics real estate has changed: What used to be a classic investment OCCUPIED WITH LOGISTICS by the companies themselves is now done by specialized project developers and real SERVICES OR LOGISTICS TASKS estate investors who rent out flexibly usable real estate to logistics companies or their IN TRADE AND INDUSTRY IN clients. Several global players, including ProLogis, Goodman and , are based NORTH RHINE-WESTPHALIA. in North Rhine-Westphalia. High-profile medium-sized companies such as greenfield, which specializes in sustainable logistics real estate, are also active here.

The right automotive technology for every requirement

The availability of modern automotive technology and the attendant services is an important component of efficient logistics chains. Both the energy industry and the automotive industry are traditionally regarded as strengths of the state. Accordingly, the research infrastructure in both areas is highly developed. In logistics, companies such as Ford are trying out electric drive systems in inner- goods transport. The van production of Daimler is also concentrated here: Every year, around 220,000 vehicles come off the assembly line at the Düsseldorf plant. The market leader for semitrailers, Schmitz Cargobull, is based in Horstmar. For , companies based in North Rhine-Westphalia such as Bochumer Verein, Faiveley and Schalker Eisenhütte provide components and systems, including complete vehicles. 12 LOGISTICS AT ITS BEST

Regional logistics expertise

Logistics know-how is to be found throughout North Rhine-Westphalia. Besides the core on the Rhine and in the eastern Ruhr region, companies will discover special industry expertise at many logistics locations.

The Cologne/Bonn region is one of the core logistics regions in the state and a center for trade and chemical logistics. It is home to the transshipment station Cologne COLOGNE / BONN REGION Eifeltor, Germany‘s most important terminal for intermodal transport, and Cologne Bonn Airport, Germany‘s third most important cargo airport.

Together with the districts and on the , Duisburg forms a further core logistics region. The world‘s largest inland port in Duisburg and further ports in Emmerich and Wesel are bases for many contract logistics companies. It is DUISBURG / WESEL / KLEVE the home of global players such as DB Schenker Logistics, DHL, Kühne + Nagel, the Japanese company Yusen Logistics, the Rhenus Group as well as automotive logistics specialists such as Cobelfret and E.H. Harms.

The heart of German trade logistics beats in the eastern Ruhr region. Besides logistics service providers such as Fiege, Panopa and Rhenus, mainly trade giants such as EDEKA, EASTERN RUHR REGION Kaufland, Metro and REWE operate large distribution centers in the cities Dortmund, and . IKEA has also located its largest warehouse worldwide in Dortmund.

Europe‘s largest canal port in Dortmund facilitates trimodal cargo handling here for bulk and piece goods, as well as for container transport. Of particular interest to every DORTMUND logistics investor is the fact that one of the world‘s most important research institutes for logistics, the Fraunhofer Institute for Material Flow and Logistics (IML), is based in Dortmund.

The central Ruhr region with the cities Herne, , and , and the Ennepe-Ruhr district is a preferred location of last mile logistics. From CENTRAL RUHR REGION the center of the Ruhr Metropolis it is mainly store logistics companies and courier, express and parcel (CEP) services which supply companies, stores and consumers in the densely populated region.

The central (Neuss, , Mönchengladbach) has established

CENTRAL LOWER RHINE itself as a location for leading logistics service providers, especially in the textile REGION industry, which traditionally has a strong presence in the region. For example, the Esprit Group operates its Distribution Center Europe here.

The logistics industry in the Münsterland region is distinguished above all by its exper- MÜNSTERLAND tise in the food industry, mechanical engineering and vehicle manufacturing. The region is the gate to the Ruhr Metropolis and the bridge to the Netherlands.

Due to its location between the Cologne/Bonn region and the Ruhr Metropolis, the Bergisches Land district is very important in terms of transport logistics. Not least for this reason, a strong logistics industry has emerged here.

LOGISTICS AT ITS BEST 13

Aachen and surroundings are not only interesting due to their immediate proximity to AACHEN REGION Belgium and the Netherlands, but also home to RWTH Aachen University, a research and development heavyweight.

The and regions are among the most important locations for SAUERLAND/SIEGERLAND mechani­cal engineering in Germany and thus an important source of logistical added value.

East Westphalia- is one of the most prospering regions in the state of North EAST WESTPHALIA-LIPPE Rhine-Westphalia. The furniture industry, the food industry and an overall strong SMB sector make this region a special location for logistics companies. 14 LOGISTICS AT ITS BEST

Logistic infrastructure in North Rhine-Westphalia LOGISTICS AT ITS BEST 15

Germansite: Finding commercial sites online

With the help of the free interactive database www.germansite.com every company can find its ideal commercial site in North Rhine-Westphalia. The search mask allows to precisely specify important parameters or to find a suitable commercial site on the interactive map. Size, area designation, location, transport connections, economic surroundings and the regional distribution of industries are adjustable. Investors can select their ideal location from a current range of more than 1,000 commercial sites. 16 LOGISTICS AT ITS BEST

Sites for the logistics industry

A developed site, free of contamination or utilization restrictions, in a central location and with excellent transport connections, has become a rare thing. North Rhine-Westphalia, however, offers both German and international investors a wide range of excellent possibilities.

AROUND 1 MILLION SQUARE Especially in western Europe, which is strategically important for logistics service METERS OF NEW LOGISTICS SITES providers, many regions are reaching their limits: In metropolitan regions, high-value WERE CREATED IN NORTH RHINE- uses are displacing trade and industry due to rising prices. Compared to other western WESTPHALIA IN 2009. federal states and the neighboring Netherlands, North Rhine-Westphalia provides sufficiently large sites in central locations at good prices. And the word has got around.

High demand meets large supply

Around one quarter of all German logistics centers are to be found in North Rhine-­ Westphalia. One million square meters of new logistics space were created in the year 2009 alone. Around two thirds of all logistical investment projects were newly con- structed buildings, and one third of the projects were extended or restored existing properties.

In 2010, for example, the trading giant Amazon commissioned its 60,000 square meter logistics center in in the Unna district. Another, roughly 110,000 square meter center for Amazon was completed in in the Lower Rhine region in autumn 2011. In addition, the textile trading company TK Maxx has built its 27,500 square meter logistics and processing center in Bergheim near Cologne. In the same year, the fashion company Esprit and the logistics service provider Fiege gave the go-ahead for their 32,500 square meter European distribution center in Mönchengladbach. One impor- tant criterion for the location decisions of these global players was the fact that they were able to obtain options on sufficiently large sites for extension projects. LOGISTICS AT ITS BEST 17

Large sites are also available

Larger areas of 50 hectares and more which allow latitude for the investment con- cerned are few and far between in Germany and the Netherlands. But they are to be found in North Rhine-Westphalia. A good example is the recently inaugurated Prime­ Site Rhine Region in the district of near the Rhine metropolis Cologne: 205 ­hectares of industrial and commercial space are available exclusively for large-scale investments requiring at least 80 hectares. This makes it one of the largest available industrial and commercial sites in Europe. The state has reserved further sites for large-scale location projects: the newPark in / to the north of Dortmund and another large site in near Aachen. Small and medium-sized sites are also to be found in the Rhine and Ruhr regions, for example in the numerous logis- tics parks. In addition, the whole spectrum of logistics real estate is available for rent – ranging from specialized storage spaces, e.g. for hazardous goods, through functional existing real estate to high-quality logistics real estate with ceilings at least ten meters high, resource-efficient temperature control and spacious delivery areas. 18 LOGISTICS AT ITS BEST

Logistics solutions for every industry

North Rhine-Westphalia is characterized by modern industry and efficient services. Due to their interplay, business-to-business, knowledge-based services emerge which also extend added value in logistics. Companies interested in locating here now find the right expert know-how for every logistical task.

From mail order to steel transport: trade logistics

The dense population of North Rhine-Westphalia is attractive to trade as it can reach a lot of consumers over short distances here. There are numerous trading companies based in the eastern Ruhr region, including Amazon, IKEA and Metro. Each company finds the right partners here for its specific needs – whether it be the operation of a warehouse for medicinal products or the management of thousands of individual orders in the mail order business. It is precisely this diversity of expertise that demonstrates the logistics competence present in North Rhine-Westphalia.

Flowing supply chains for chemicals

Companies in the chemical industry find competent logistics service providers in North Rhine-Westphalia. Companies such as Chemion, Kruse and Talke store and transport chemical products: They are experienced at handling hazardous goods and also control flows of goods by rail and water, which are important means of transport for chemicals. The most important locations are to be found along the Rhine in , , and Cologne. There are also further locations in the Ruhr Metropolis such as Chemiepark Marl and Ruhrchemie in Oberhausen.

From yarn to the catwalk: textile and fashion logistics

Fashion manufacturers and dealers need specialists to transport hanging goods, the preparation of parts and the supplying their branch network as well as for sourcing logistics. The supply chain is enormously complex: Up to 200 partners are involved in the manufacture of a jacket, with many brands producing their fashion in the . IT specialists such as Setlog in and Logata in Bocholt provide innovative soft- ware for the management of information and flows of goods. Many fashion producers outsource their entire logistics, with contract logistics companies such as Fiege or Logwin then take over the organization of the entire textile chain.

The fashion maker Gerry Weber from in Westphalia is doing pioneering work. Since the middle of 2010 the company has already been sewing RFID tags into its annually produced 26 million pieces during production. These chips not only serve to provide article surveillance, but above all they create a transparent chain from production to stock management at the point of sale. LOGISTICS AT ITS BEST 19

Rapid transport of bulky goods: furniture logistics

East Westphalia is a center of the German furniture industry. It is, for example, home to the world‘s largest kitchen manufacturer Nobilia. In North Rhine-Westphalia, manufac- tures and dealers find logistics service providers such as Anton Röhr Logistic Group with special equipment for cabinet and upholstered furniture. These providers take care of production supply, the operation of order-picking, distribution and returned article warehouses as well as order handling, including the delivery and assembly of furniture at the end customer‘s premises, and finally also the waste disposal of old goods.

Just-in-time: automotive logistics

The fact that automotive manufacturers and suppliers need logistics geared precisely to their production has become proverbial with ‚just-in-time‘ delivery direct to the produc- tion lines. Ford manufactures in Cologne, and Opel and Daimler have plants in Bochum in Düsseldorf respectively. Many suppliers are based in Sauerland, Siegerland and East Westphalia. The automotive industry started outsourcing entire areas of vehicle produc- tion to transport companies earlier and more intensively than other industries. Logistics service providers such as Rhenus Logistics pre-assemble sub-components, install extras such as sunroofs or navigation devices or even do paintwork.

Project logistics for mechanical engineering

Mechanical engineering companies find industry-specific logistics know-how in North Rhine-Westphalia. It is, after all, one of the most important industrial sectors in the state. Companies such as Schenker or Westfracht, for example, provide specialized transport for the delivery of entire plants or organize assembly areas and capacities.

Fresh on the table: food and beverage logistics

A great many companies in the food industry are based on the Lower Rhine, in Münsterland and East Westphalia. This is not least because North Rhine-Westphalia is the most popu- lous federal state in Germany, with the smooth supply of the trade with fresh food playing a special role. Manufacturers such as TönniesFleisch, Westfleisch and Dr. Oetker make particular demands on logistics processes. For example, consumers nowadays want to be able to trace goods. Specialists such as KV Nagel and Dachser do this for them by providing corresponding information management. They also possess the know-how required for the storage and transportation of temperature-sensitive goods in order to guarantee a secure cold chain for dairy and meat products from processing to the sales shelf. 20 LOGISTICS AT ITS BEST

Qualified staff as a location factor

Well-trained staff are becoming increasingly important as a location factor. North Rhine- Westphalia is well-known for its good education infrastructure, and the companies in the state profit from it.

MORE THAN 2,303 STUDENTS The role of logistics is changing – away from transport companies toward all-round ARE ENROLLED IN THE DEGREE service providers. However, the newly emerging opportunities for added value require COURSES GEARED SPECIALLY correspondingly qualified staff. Staff that companies will find in North Rhine-­ TO LOGISTICS IN NORTH­ RHINE- Westphalia. The university landscape offers eleven different courses of study geared WESTPHALIA. specifically to logistics.

The Economics faculty embraces the teaching and research area Operations RWTH AACHEN UNIVERSITY Research and Logistics Management as well as the Deutsche Post Chair for the Optimization of Distribution Networks.

The 2010/2011 winter semester saw the beginning of the new study course Project UNIVERSITY OF APPLIED Management Infrastructure/Logistics, which includes content from the areas supply and ­SCIENCES waste disposal technology, energy management, transport infrastructure and logistics.

In addition to a Bachelor‘s degree in Logistics, the Technical University Dortmund TECHNICAL UNIVERSITY DORTMUND offers various departments related to logistics. The TU Dortmund works closely with the Fraunhofer Institute for Material Flow and Logistics.

Besides the Master‘s degree course in Logistics, various departments conduct UNIVERSITY DUISBURG- research and teaching related to logistics.

UNIVERSITY OF APPLIED In the Bachelor of Science study course two out of three specialization areas concern ­SCIENCES GELSENKIRCHEN themselves with logistics: corporate logistics and transport logistics.

UNIVERSITY OF APPLIED The Engineering and Economics Department provides events in production manage- ­SCIENCES SOUTH WESTPHALIA ment and logistics. HAGEN

SRH UNIVERSITY FOR LOGISTICS The Bachelor‘s degree course in Logistics is offered as an on-campus course and in AND ECONOMICS HAMM a new combination of on-campus and distance studies.

Graduates in business administration or engineering can prepare for the interdiscipli- UNIVERSITY OF APPLIED SCIENCES­ MÜNSTER nary tasks of a logistics specialist with the Master‘s degree course in Logistics.

NEUSS UNIVERSITY FOR Neuss University specializes in logistics and international management. One of the pillars INTERNATIONAL BUSINESS of this institution is the degree course in Logistics and Supply Chain Management.

The six-semester degree course in Logistics Management with the sub-areas EUROPEAN UNIVERSITY OF APPLIED SCIENCES RHEIN- sourcing, distribution, storage, transport and traffic logistics is concluded with a Bachelor‘s degree.

FOM – UNIVERSITY FOR Since the 2011 summer semester the FOM in Duisburg as well as in Dortmund and ­ECONOMICS AND MANAGEMENT, Wesel has been offering a Master‘s degree in Logistics which is scheduled specially DUISBURG to suit working people. LOGISTICS AT ITS BEST 21

Fit for the future with innovation transfer

The importance of logistics is growing, but the challenges are enormous. In North Rhine- Westphalia, research and industry are working together closely to develop the logistics of the future. This know-how is beneficial to the competitiveness of the logistics companies based here.

The world-spanning flows of goods are growing constantly and becoming more com- plex, as raw materials prices and transport-related environmental pollution increase at the same time. Pressure of competition is very high. In addition, many logistics special- ists expect that customers will increasingly want to know the carbon footprint in the

future, i.e. the declaration of CO2 emissions. Processes and the use of resources alike will have to be further optimized.

Only collaboration between industry and research constantly gives rise to innovations which help to master all these developments. Particularly for companies which have to do without their own research departments, information about the research and development landscape is therefore one of the central questions for the future location of a business. In addition to universities, numerous non-university research facilities are available in North Rhine-Westphalia for such a knowledge transfer. They conduct research in the fields of transport systems and logistics, conveying and storage systems, self-controlled logistics systems and the planning, controlling and organiza- tion of factories. These are some of the most important institutes:

The Fraunhofer Institute in Dortmund advises companies of all types and sizes in matters relating to material flow and logistics. With the affiliated openIC-center the FRAUNHOFER INSTITUTE FOR institute also has Europe‘s only testing and development center for RFID technology in MATERIAL FLOW AND LOGISTICS (IML), DORTMUND logistics. The Fraunhofer IML is one of the world‘s largest research facilities in the field of logistics and enjoys an excellent reputation both in Germany and abroad. The institute also runs the EffizienzCluster LogistikRuhr.

FRAUNHOFER INSTITUTE FOR The ISST supports logistics companies in the efficient design of logistics IT landscapes. SOFTWARE AND SYSTEMS TECH- The scientists focus in particular on the potentials of cloud computing and its develop- NOLOGY (ISST), DORTMUND ment for the logistics sector.

FRAUNHOFER INSTITUTE FOR One of the core competencies of the IMS is wireless transponder systems. The institute MICROELECTRONIC CIRCUITS AND also concerns itself with RFID field trials and customer- and application-specific SYSTEMS (IMS), DUISBURG consulting on the use of RFID in practice.

One of focal areas of research here is the quantitative planning of logistics systems and supply chains, as well as the modeling of traffic systems. Furthermore, the researchers CENTRE FOR LOGISTICS & ­TRAFFIC, UNIVERSITY OF develop application-related solutions for logistical process chains in production and in ­DUISBURG-ESSEN the simulation of passenger and goods transportation, as well as intelligent traffic management systems. Research also focuses on the economic-geographic relation- ships between logistics, traffic and location planning, as well as inland navigation. 22 LOGISTICS AT ITS BEST

Logistics at its best: cutting-edge research of international standing

The future has already begun on the Rhine and Ruhr: With the EffizienzCluster LogistikRuhr the renowned Fraunhofer Institute for Material Flow and Logistics (IML) in Dortmund has kicked off the largest logistics research project in Europe.

COMPANIES AND THE PUBLIC A genuine milestone and a benchmark for tomorrow: 120 companies and eleven SECTOR ARE INVESTING OVER research institutes are participating in this 100 million euro project. The goal is to 100 MILLION EUROS IN THE manage the logistics of the future with only 75 percent of today‘s resources. Over 100 RESEARCH PROJECTS OF EFFI- products, patents and innovations with a market potential of two billion euros are to ZIENZCLUSTER LOGISTIKRUHR. be created by 2015 as part of the project. Logistics companies that take part in this have a lot to gain.

The 131 partners of the cluster work on 30 individual research projects divided into seven central themes. The areas of research range from the warehouse of the future and cellular intralogistics to the development of smart packaging and the development of innovative logistics navigation solutions. 18 projects alone are concerned with green

logistics topics. In addition, for the first time a standardized CO2 footprint is to be developed with which the ecological effects of logistical processes and systems can be assessed in a source-based and uniform manner. Besides the Fraunhofer Institute for Material Flow and Logostics (IML) in Dortmund, the Fraunhofer Institute for Software and Systems Technology ISST, the TU Dortmund and the Center for Logistics and Traffic at the University of Duisburg-Essen as well as some 60 small and medium-sized enter- prises are represented in the cluster. Strong allies include companies such as Deutsche Post AG, Deutsche Bahn AG, ThyssenKrupp AG and Accenture Deutschland GmbH. LOGISTICS AT ITS BEST 23

Logistics at its best: Green logistics

North Rhine-Westphalia’s companies see green logistics as an opportunity. Intensive research and existing practical know-how are securing future competitive advantages for the logistics location.

18 RESEARCH PROJECTS ARE The parameters of logistics are changing: The scarcity of resources and CONCERNED WITH THE TOPIC OF call for sustainable logistics. In North Rhine-Westphalia, numerous companies have GREEN LOGISTICS IN THE CON- already put eco-friendly measures in place – on different levels. The measures range TEXT OF EFFIZIENZCLUSTER from the use of resource-conserving and low-emission drive technologies through the LOGISTIK RUHR. sustainable construction and operation of logistics real estate and plants to the more efficient organization of the flow of goods.

Reducing and shifting transport

The optimization of the entire process in particular, i.e. better route planning and trans- port capacity utilization, also saves costs. In the first step, IT systems provide a differenti- ated view of the entire supply chain and identify, for example, possible ways of improving the transport capacity utilization or shifting it from trucks or planes to trains or ships.

Deutsche Post DHL, for example, wants to improve its CO2 balance by 30 percent up to 2020 with its GoGreen program. The logistics service provider Dachser is also optimiz- ing its environmental balance, for example by using energy-efficient data centers and network clients to replace the energy-intensive operation of thousands of PCs. In 2010, Dachser received the GreenIT Best Practice Award for its concept. Numerous other examples show that North Rhine-Westphalia is a step ahead of other locations on the way to achieving green logistics.

Green logistics real estate and plants

Between 2008 and 2010, the drugstore chain DM built a 50 hectare distribution center in near Cologne, from where DM markets all over Germany are supplied with 12,500 different articles. DM received the Hanse Globe, an award for sustainable logistics, for this project. A woodchip heating system, a photovoltaic system on the roof and energy-efficient conveyor motors for the electric overhead

track all combine to save more than 5,000 tons of CO2 per year.

In 2010, the German Sustainable Building Council commended Garbe Logistik- Park Westfalenhütte Dortmund. Besides the energy efficiency of the building envelopes and technical equipment, the use of recyclable and, wherever possible, renewable building materials are beneficial to the sustainability of the plant. The transport routes of the building components are planned in such a way that traf- fic is reduced to a minimum. The roofs are also prepared for the use of photovoltaic systems or solar thermal systems. 24 LOGISTICS AT ITS BEST

Logistics at its best: Software to go

In North Rhine-Westphalia, logistics companies must no longer invest in expensive and inflexible software systems. 2010 saw the birth of the Logistics Mall, which offers software as a service “to go”.

The Internet and e-commerce create over a hundred million additional parcels per year – in Germany alone. Each of these parcels is ordered, picked, packaged, transported, distributed and delivered individually and on demand. At the same time, the number of articles is growing exponentially.

The IT systems at most logistics companies cannot keep up with this rapid develop- ment. Business models and strategies in trade and industry currently have a lifecycle of two to three years. However, the modeling of suitable logistical business processes requires a realization period of up to ten months – too long in relation to their useful life.

Cloud computing for logistics

In collaboration with IT and logistics companies, the Fraunhofer Institutes for Material Flow and Logistics IML and for Software and Systems Technology ISST, both in ­Dortmund, are jointly developing cloud computing solutions for more flexible and more dynamic IT support.

In cloud computing, a company‘s applications and data are no longer located on local computers, but in the „cloud“, which is a metaphor for the Internet. Access to the remote systems takes place via a web browser. Cloud computing also allows IT service providers to develop and provide logistics IT services quickly without having to invest in their own infrastructure. This means that small IT service providers can also place their software offerings on the market.

Logistics Mall

The Logistics Mall is a virtual market place where logistics software can be offered according to the software-as-a-service principle. The applications offered are compati- ble with each other. Upon completing a user contract the customer can access his own private section of the Mall and use the software via an Internet browser. Billing is usage-­dependent and takes place via the Mall operator. The first applications in the Logistics Mall have been available since December 2010, initially only to the companies participating in EffizienzCluster LogistikRuhr. LOGISTICS AT ITS BEST 25

Pooling strengths and increasing competitiveness

North Rhine-Westphalia focuses in particular on collaboration between companies, research institutes and the public sector. LogistikCluster NRW and regional networks provide specific platforms for many industry topics. Newly located logistics companies will find competent partners for numerous topics here.

THE LARGEST EMPLOYERS‘ LogistikCluster NRW, which is financed by the state of North Rhine-Westphalia, the ASSOCIATION IN THE LOGIS- European Union and the participating companies, is developing with great dynamism. TICS INDUSTRY IN NORTH In the cluster association LOG-IT Club e.V. many of the players are already looking RHINE-WESTPHALIA HAS 3,000 jointly for cooperation possibilities and new ideas. Their common goal is to increase ­MEMBERS. the competitiveness of the industry in North Rhine-Westphalia.

A large number of industry circles concern themselves with important future topics such as the use of new IT systems, green logistics or logistics real estate and sites. As a result of close collaboration with the largest employers‘ association in the logistics sector, the Transport Industry and Logistics Association North Rhine-Westphalia with over 3,000 members, the activities of the cluster are spreading rapidly. 26 LOGISTICS AT ITS BEST

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Imprint

Publisher: Responsible according to German Press Law: Photo credits: NRW.INVEST GmbH Manuela Ehresmann, Title, P. 4, 11: FritzSchäfer GmbH SSI SCHÄFER, Economic Development Agency Head of Division Marketing P. 2, 13, 19: duisport, of the German State of P. 5: Flughafen Köln/Bonn GmbH Position as at: April 2013 North Rhine-Westphalia (NRW) P. 6: KölnTourismus GmbH, Völklinger Straße 4 Design: P. 8, 10, 15, 28: NRW.INVEST, 40219 Düsseldorf, Germany DIE PR-BERATER GmbH P. 9: iStockphoto, Phone: +49 211 13000-0 Worringer Str. 22 P. 14: Garbe Logistic, Fax: +49 211 13000-154 50668 Köln P. 18: GERRY WEBER International AG, E-Mail: [email protected], P. 22: Fraunhofer-Institut für Materialfluss www.nrwinvest.com und Logistik IML, P. 25: Deutsche Post AG NRW.INVEST GmbH Economic Development Agency of the German State of North Rhine-Westphalia Völklinger Straße 4, 40219 Düsseldorf, Germany www.nrwinvest.com

In collaboration with: Clustermanagement Logistik.NRW Mallinckrodtstraße 320, 44147 Dortmund, Germany www.logistik.nrw.de