Logistics have over time become an integral part of running businesses throughout the global markets. The emphasis on logistics has grown and taken up space at the forefront of business decisions due to the realizations by managers and experts that logistics contribute a lot of revenues to a business. Ultimately, logistics can result in cost-effectiveness through cost savings translating to more profits. This similarly implies that losses and cost all depending on the logistics management. A growing area of interest in the business world is reverse logistics. Reverse logistics deals with reuse of materials and products, return of products or materials to the manufacturer for reuse, recycle, re-do or disposal purposes. Generally, reverse logistics deal with the flow of products or materials from the final consumer or user backward to the manufacturers. Reverse logistics have become a priority for companies for sustainability, corporate image and cost efficiency among others. Also, the impact of reverse logistics in enhancing customer loyalty and brand protection has led to investment in reverse logistics as companies seek to differentiate their services and gain the most from logistics (Rogers, 2013). As a result of the growing attention and visible benefits of reverse logistics, companies have come up to cater for reverse logistics for different companies. A number of reverse logistics companies have come up and thrived in the market base handling logistics globally. A look at a reverse logistics company XPO logistics sheds light on the reverse logistics market and illustrates the regard companies have for logistics. More particularly reverse logistics.
XPO Logistics is a global transportation and logistics company with physical assets in 32 countries and over 1500 locations. The sole role of the company is to help other companies manage their supply through a diverse number of services. XPO Logistics is a highly invested technology whose fundamental purpose is to drive innovation in the best interest of customers. XPO Logistics is differentiated in the market by its exceedingly scalable and incorporated foundation that uses cloud technologies enabling fast advancement. The trustworthiness and commitment of XPO logistics to providing customers with innovative and high-end logistics solution has allowed the company to handle over 160000 shipments and stock worth billions of dollars on a daily basis. XPO Logistics provides supply chain solutions across different industries including food and beverage, technology, healthcare, freight brokerage, public warehousing and oil, and gas among others. XPO Company is based in Greenwich, Connecticut since its establishment in 1996. XPO logistics ranks high at the global standard among their supply chain solutions companies. Since XPO is an international company, it is able to deliver its services through a staff base of about 87000 workers serving over fifty thousand customers across Europe, USA, Spain, and Asia among others (XPO logistics.com, n.d).
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XPO logistics success and thrive is foreseen by professional and experienced management personnel who ensure the company remains at the top in its service. Bradley Jacobs who is the CEO and chairman of XPO Logistics is a professional CEO having co-founded and led companies such as United Rentals and United Waste systems. Josephine Berisha the vice president global compensation and benefits ensure globally competitive compensation packages for the employees. The president of XPO logistics global organization is Troy Cooper who has helped the growth of XPO since its establishment in an operations position capacity. Troy has a distinguished record in his career in a different position in other companies. For instance, Cooper helped in the incorporation of over 200 in the US, Canada, and Mexico for United Rental inc. Regional headquarter are also managed by capable persons with capacity to drive the vision of the company such as Ashfaque Chowdhury the president Supply chain in Americas and across the Pacific among others (XPO Logistics.com, n.d).
XPO Logistics has a printable financial standing, and its financial reports represent growth. Looking at the last five years, XPO logistics financial records portray revenue increases which illustrate increasing business and the companies thrive in the market. In 2013 the operating revenue was $702.3 million, in 2014 operating revenue rose to $2356.6 million, $7623.2 million in 2015, $14,619.4 in 2016 and $15380 million in 2017. The operating income as also significantly increased in the last five years. In the period between 2013 and 2015, the operating income was at a loss with $52.3, $40.9 and $28.6 million respectively in losses for the three years. The operating income as however maintained an increasing trend throughout the five years registering profits of $488.1 and $623.2 million in 2016 and 2017 respectively. The net income has also increased significantly through the years confirming the growth of the company. The firm recorded a net loss income of 48.5 million in 2013, and in 2014 the loss increased to $63.6 million, and in 2015 the company continued to record higher losses registering net income as $191.6 million loss. However, in 2016 the company took a turn for the better recording a net income of $84.5 million in profit and a profit of $360.2 million of profit in 2017. Basic earnings per share to stakeholders has also increased from a loss of $2.26 per share in 2013 through the years to a profit of $2.72 per share return in 2017. The company asset has also increased through the years with records of $771.1 million in 2013, $2749.4 million in 2014, $12643 million in 2015, $11698.4 in 2016 and $12601.6 million as at end 2017 financial year. The total equity has also increased from $455.9 million in 2013 to $4010 million in 2017 (XPO Logistics Annual Report, 2017).
XPO released its second quarter ending 30th June 2018 unaudited consolidated earnings. The reports portray increased earnings of 16%. The financial statements show better performance for 2018 compared to the same quarter of 2017. For instance, the net attributable income to shareholders was $137.5 million compared to 2017 $47.6 million. Revenue for the quarter was at $4.36 billion compared to 2017 $3,760 Million. The reports show that XPO logistics continues to grow and remain sustainable in its market space ranking ate the top of global magazines such as Forbes and The Fortune (Bloomberg, 2018).
In conclusion, XPO is a top global supply chain solutions companies providing innovative supply chain solutions to many companies globally. The company is founded on innovation and providing its customers with competitive packages and ensuring fulfillment of customer supply chain needs. XPO is a well-established and trusted supply chains solutions supplier evident from its continuous growth and increased in revenues and cash flows. The top end performance can be attributed to its investment in advanced and high-end technologies as well as experienced management with a track record of results delivery. As an employer, XPO logistics offer globally competitive compensations packages and professional growth opportunities that place it highly as a favorable employer. Ultimately, the thriving of XPO logistics and its continuous growth showcase the vitality of logistics both forward and reverse in the modern marketplace.
References
Bloomberg. (2018). Company Overview of XPO Logistics, Inc . Retrieved on 3 September 2018 from https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=3181355
Rogers, D. (2013). Why reverse logistics needs to become a core competency inside your supply chain. Supply chain 24/7, Peerless Media, LLC . Retrieved on 3 September 2018 from https://www.supplychain247.com/article/why_reverse_logistics_needs_to_become_a_core_competency
XPO Logistics Annual Report. (2017). Notice of 2018 annual meeting proxy statement .
XPO Logistics.com. (n.d). Our Company . Retrieved on 3 September 2018 from https://www.xpo.com/about-us/our-company
