CEVA Logistics expands business with L'Oréal in Indonesia

28 Oct '14

2 min read

CEVA Logistics, a leading global supply chain management company, has announced a contract renewal and expanded business with L’Oréal—one of the world’s leading beauty brands—in Indonesia.

Both companies entered into partnership for the first time more than three years ago when CEVA took on the warehouse management of L’Oréal’s distribution centers in Bekasi, providing warehousing and distribution services as well as value added services.

As per the terms of the renewed contract, CEVA will handle the warehouse management, VAS, traffic management and reverse logistics for L’Oréal’s range of beauty products from make-up to hair care and skin care.

Over the past three years, CEVA consolidated distribution centers under one roof, resulting in increasing resource efficiency and optimizing space utilization to cater to L’Oréal’s growth plans. During the period, CEVA’s focus on operational capabilities and continuous improvement were instrumental in keeping up with the demands of L’Oréal’s business growth.

For the L’Oréal group, distribution is a strategic differentiator. It is the only cosmetics company that is present in all distribution channels: from hair salons and beauty institutes to traditional shops, and from mass retail to selective channels, making the L’Oréal brands accessible to consumers across the country.

Commenting on the partnership, Troy Shortell, CEVA’s EVP for East Asia, says: “I am delighted that CEVA is given the opportunity to mutually grow and support L’Oréal in their supply chain needs with efficient, cost effective solutions as they expand in the market. Our goal is to continuously improve our performance and deliver logistics excellence to the L’Oréal business as their long term strategic partner.”

With a total work force of 77,500 employees worldwide, L’Oréal is present in 130 countries through a diverse portfolio of 28 global brands which are all complementary. Moreover, the company has 23 cosmetic and dermatological research centers and 16 evaluation centers across the world operated by its 4,009 research staff from 60 different nationalities, who filed 624 patents last year.

In Indonesia, L’Oréal has been present since 1979 and it now operates through two entities: PT L’Oréal Indonesia, which handles marketing and distribution activities, and PT Yasulor Indonesia, which focuses on manufacturing operations.

CEVA is one of the world’s leading non-asset based supply chain management companies, which designs and implements industry leading solutions for large and medium-size national and multinational companies. The company employs approximately 44,000 people in over 170 countries, delivering effective and robust supply chain solutions across a variety of sectors. (RKS)

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