10 BULKDISTRIBUTOR Road Tankers
10 BULKDISTRIBUTOR Road Tankers
July / August 2018
Going the extra mile
Steve Granite - the secret of Abbey ’ s success is the company ’ s ‘ can do ’ spirit
Bulk Distributor finds out more about Liverpool-based Abbey Logistics Group , the specialist bulk liquids and powders road tanker company , in an exclusive interview with CEO Steve Granite
Granite joined the fast growing logistics firm in 1995 and became CEO in 2009 . Since his appointment Abbey ’ s sales have grown from £ 18 million in 2009 to £ 65 million and he plans to exceed the £ 100 million sales mark by 2021 . In 2016 Granite led a management buyout backed by private company , NorthEdge Capital . As a result the company has a new group board , enhanced marketing and has trebled the size of its safety and compliance team . Its clients include big names such as Cargill , Tata Chemicals and British Sugar , and Abbey operates throughout the UK and Northern Europe .
Adding value
So what is the secret of Abbey ’ s success ? Granite puts it down to the company ’ s ‘ can do ’ spirit . “ We look after our customers and tailor specific solutions to their individual needs ,” he says . “ We like to think that we go above and beyond for our customers and that our services are most definitely not off-the-shelf . We take time to understand our customers ’ needs , always asking how we can help . By really focusing on what they do and identifying potential challenges and market opportunities , we are able to offer solutions that are the best fit for their business model . We have a hands-on relationship with customers and as a business we like to take problems away , say yes and go the extra mile .” Abbey ’ s new liquid drumming facility in Bromborough is a perfect example of this . One of its customers was struggling to drum extra capacity in the UK , so Abbey opened its own facility . It was set up from scratch , was fit for purpose in just a few weeks and presented the perfect solution to a difficult problem . The company has also invested just under £ 1 million in multimodal equipment for a major European sugar manufacturer and now has 40 bulk containers dedicated to sugar distribution in the UK . “ We really want to grow the relationship and this new equipment offers huge advantages for our customer ,” explains Steve . “ As a UK operator with a major share in the country ’ s bulk food market , we are ideally placed to facilitate deliveries from abroad . Our drivers already know the marketplace , delivery routes , warehouses and the customers themselves . We often deliver four or five ingredients to the same manufacturers . Customers often change their minds but we can be both reactive and flexible , without worrying about drivers ’ hours due to the 24 / 7 shift cover we have in place .”
Thinking big
Europe is a key growth area for the business , Granite tells Bulk Distributor . “ We have exhausted the UK bulk liquids food marketplace and are already a dominant player in this area ,” he continues . “ Many of our customers also operate abroad so Europe is a natural progression for us . Our plan is to move into Northern Europe and establish a base there so that we can tap in to a whole new market .” Diversification is also a major consideration for the company and by moving into other areas such as polymers , minerals and animal feed , Abbey hopes to tap in to new markets and replicate its success in other areas . “ We may be the UK ’ s leading bulk food powder and liquids transport firm but we are only scratching the surface in other markets . Although we already have a foothold in the building industry , delivering lime products and cement , we would like to develop the non-food side of the business further and increase the number of non-food products we transport , including other building materials , polymers and non-food grade liquids and powders ,” he says . Acquisitions have been part of Abbey ’ s business plan for the ambitious company for many years . “ We are a highly ambitious company , and strategic acquisitions in key markets have enabled us to develop the number of services we provide for our customers and diversify into new markets ,” Granite explains . Evidence of this lies in Abbey ’ s 2017 acquisition of Armet Logistics , which considerably strengthened the company ’ s position in the bulk liquid food transport market . He adds : “ At the moment we are focusing on leveraging the synergy from the Armet acquisition , which has huge trapped value , rather than seeking other opportunities . Like Abbey , Armet specialised in liquid food ingredients such as rapeseed oil , chocolate and palm oil and this acquisition has placed us in an extremely strong market position . However , as a private equity backed
company , we are always looking for bolt-ons and other companies that would be a strategic fit . I would like to think that in 18 months or so , we could invest further in this area .” Although as a company , Abbey is thriving and works hard to keep both staff and customers happy , Granite acknowledges that the ongoing driver shortage crisis is still the biggest issue affecting the logistics industry at the moment . “ The image of the industry is something that needs to change , particularly the way in which drivers are viewed ,” he says . “ We need to focus on the UK delivery infrastructure , work on changing attitudes towards drivers and building new facilities that are fit for purpose . We also need to be asking how we can help and ensuring that customers engage with drivers in a more positive way .”
Shaping the future
One of the ways in which Abbey is helping to address this issue and several others , is through Think Logistics . The initiative was established by Steve Granite five years ago in a bid to attract more young people into the logistics industry and is now supported by a UK charity , Career Ready , along with the FTA , CILT , Novus Trust and a number of high profile firms including DHL , Eddie Stobart , Royal Mail and Wincanton . “ Our focus is to get employers in front of students and raise awareness of this exciting and diverse industry ,” says Steve . “ We realised from the outset that logistics was lagging behind other industries in terms of getting young people on board .” By using Career Ready ’ s existing infrastructure , Think Logistics is able to speak directly to young people between the ages of 15-22 . As part of Career Ready , schools can opt in and choose a specific industry theme for their school . He continues : “ Before Think Logistics there were no logisticsthemed Career Ready schools or colleges but now there are 22 . Additionally each school has an advisory board and while the school itself may not be a logistics centre , it may still have an industry representative on its advisory board .” Through the scheme , students gain access to CV and interview
workshops , masterclasses , mentors and paid summer internships . There are also logistics and supply chain degrees on offer at both Aston and Huddersfield Universities through the Novus Trust . For students with good grades , there are guaranteed jobs at the end of the degree . Currently there are 40 companies actively involved in the Think Logistics ‘ Career Ready ’ programme and 2,000 students . Granite says the results speak for themselves : “ Every time that we get in front of students there are only two or three that truly understand what logistics entails and maybe one or two that had previously considered a career in the sector . However by the end of the session , 95 percent say that they would seriously think about a career in logistics , which is fantastic . By demonstrating that logistics impacts so many areas of their lives we aim to show students that there ’ s so much more to the industry . Logistics is an exciting and sophisticated area of business ; it ’ s not just trucks and sheds , it ’ s marketing , HR , IT and cutting-edge technology such as artificial intelligence , drones and robotics . We ’ ve had some excellent feedback from teachers , which is crucial as they play such a pivotal role in influencing their students .” Former Senior Traffic Commissioner , Beverley Bell is also on the Think Logistics board and is a source of inspiration for the students . “ Beverley really gets at it on the front foot ,” Granite says . “ She has enormous energy and wants to put something back . Having a female at the helm sends out a really strong message and demonstrates to the students that diversity is important .” Ultimately , it ’ s about forging links between students and employers and creating a talent pipeline . For the logistics companies that are involved , the benefits are numerous , as Granite highlights : “ It ’ s a competitive market out there and as well as offering free recruitment the programme allows employers to get in front of students and develop staff . It ’ s also a great opportunity to give something back to the local community . Often we run the programme in under-privileged areas where students have little or no access to major companies , business contacts or sound career advice .” The scheme is also working with DWP and Jobcentre Plus to educate advisors on opportunities within the industry such as mechanics , drivers and warehousing staff and to address the ongoing driver shortage . “ There ’ s also been a big push on getting ex-forces personnel into the industry ,” he adds . Looking ahead throughout 2018 and beyond Think Logistics has refreshed its workshops , aims to ramp up the numbers of students participating in the scheme and collaborate better as an industry , presenting a united front .
For more information on how to get involved www . think-logistics . co . uk www . abbeylogisticsgroup . com