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Company Reports - Aviocean (Pty) Ltd  

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Aviocean (Pty) Ltd

Providing a personalized service

Written by Rebecca Waters & Produced by Adiele Nazer

Established in Durban in 1989, Aviocean (Pty) Ltd is a privately owned international freight forwarder and customs clearing agent. The company operates out of Johannesburg; its sister company in Cape Town - called Aviumkhumbi Cape (Pty) Ltd - was founded in 2007.
Providing a personalized service
Established in Durban in 1989, Aviocean (Pty) Ltd is a privately owned international freight forwarder and customs clearing agent. The company operates out of Johannesburg; its sister company in Cape Town - called Aviumkhumbi Cape (Pty) Ltd - was founded in 2007.

“In the two decades since our inception, Aviocean has continued to grow extensively and is now seen as a medium to large freight forwarding and customs clearing agent within the South African industry context,” says Managing Director Lance Van Zyl.

This growth has been driven by the specialized services that the company offers - freight forwarding, customs clearing, logistics, exports, airfreight, seafreight.

With regards to customs and clearing, Aviocean offers a wide range of custom specialist solutions, which include tariff reading assistance and assistance in applying for importer codes, as well as the availability of fast updates on query/stopped shipments.

“We also offer the full supply chain solution. In other words, we will also do distribution if the company requires it,” Van Zyl, who joined Aviocean in 2001 and is the 100 percent shareholder in the company, adds.

“As part of this, we would bring the cargo into South Africa and from these specific hubs we would then forward the consignment to where it needs to be.”

One of Aviocean’s key strengths is its ability to offer competitive rates, which is due to the volumes of shipments that the firm is currently moving.

“This has given us the correct focus to be able to target the bigger multinational client,” explains Van Zyl.

INTERNATIONAL CONTRACTS
With the renewed movement in the international marketplace, Aviocean has a number of contracts it will be working on this year.

Indeed, after success in the clothing, shoe, medical, mining and machinery industries, specifically, Van Zyl explains that the automotive market will be a major focus area for Aviocean in 2010 – and the firm is currently working with “a number of big automotive manufacturers” on a number of projects.

It is also in constant discussion about prospect contracts. “In addition to this, Aviocean is also working with mining conglomerate Anglo American, one of our biggest customers,” says Van Zyl. “This is an important part of our growth strategy, specifically our diversification.

“We are doing a lot for them and there is a lot more to cover. We are driving to have growth; we want this year to be a successful year so we are pushing hard.”

ACCOUNTS DIVISION
One of Aviocean’s main strengths is the highly personalized service the company offers.

In order to enhance this, Aviocean has created an accounts division to accommodate its key clients. Formed in 2005, the division offers a full compliment of services, which include arranging collection from suppliers and identifying and selecting the appropriate route carriers, negotiating the best possible freight rates and providing transit supervision through personalized status reports.

Other services include handling the import and export of goods for trade shows and exhibitions and warehousing.

Currently, Aviocean has a team of five ladies in charge of the key accounts, with over 46 years of knowledge and experience between them. These individuals handle specific clients from placement of order with the supplier to final delivery. As Van Zyl explains, “these employees can handle as much as eight to 10 accounts at a time, depending on the size of the account.”

However with the bigger accounts, there would be one dedicated person who would possibly handle a second.

“Today, the key accounts division is the fastest biggest growing area of business; however the challenging economic climate in 2009 proved a difficult year for the division,” Van Zyl says.

“Obviously when the recession hit the bigger customers got hit first but they are slowly building up and in fact we are out on the road building up the book.

“Fortunately we have been lucky that we have had a spread of clients that has kept us around.”

ROI
One of the major changes to the logistics industry in recent years has been in technology. Aviocean has recently put in new servers, and currently, the company is looking at investing in a specific IT supply chain system.

“This will enable us to become more streamlined and more cost effective,” Van Zyl explains. “Everybody worked twice as hard last year to get only half the profit.”

In addition to this, Aviocean is also investing in the BEE (Black Economic Empowerment), which is going to be a major investment going forward.

As part of the investment in BEE, the company will be introducing learnership opportunities, which will help to develop the key skills of its employees. This will be an additional training program for the company; currently Aviocean has an in-house training program, which all of its employee undertake.

“In a highly specialized industry, this is vital,” Van Zyl explains, adding that the expertise of the company’s employees is one of Aviocean’s key strengths. “We have got highly qualified staff that pay a lot of attention to detail; a lot of them have progressed through the company as juniors and we have moulded them into the professionals that they are today.”

DRIVING GROWTH
With its highly skilled employee base and a highly professional service offering, Aviocean looks well-placed for success in 2010.

As well as the continued work with Anglo American, and the opportunities in the automotive sector, Van Zyl signals three additional growth areas for the company.

“In the next two years I would like to see further development in overseas offices, I would also like to become part of a stronger infrastructure, and finally, being able to increase the turnover of sales.

“We are driving to have growth this year,” he affirms. “2009 is gone, 2010 is here and we just have to keep in pushing.”
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