Proximus extends logistics contract with H.Essers 29 September 2017

Proximus and H.Essers have signed an extension to their existing warehouse agreement in Courcelles, near Charleroi, Belgium. The 10-year agreement will run until 2026 and will enable both parties to focus on further developing a state-of-the art Proximus distribution centre in terms of delivery, efficiency, IT capabilities, flexibility and stock accuracy.

Proximus Group is a telecommunications and ICT company operating in the Belgian and international markets, servicing residential, enterprise and public customers. Back in 2011, the Company took the decision to centralise its logistic operations in one location in order to increase efficiency, simplify the processes and promote more sustainable activities.

Since then, Proximus and the Limburg family company H.Essers, jointly operate the Proximus distribution centre in Courcelles. This move enabled Proximus to simplify its logistics by regrouping five activities spread over 20 locations and 32 logistics partners into one location and one logistics partner. As a consequence, products are now delivered quicker and larger orders are more easily anticipated during peak & off-peak periods.

By centralising logistic operations, Proximus also managed to reduce CO2 emissions by 170 ton and have cut transportation distances by 200,000 km. It has also been able to rethink the processes around the repair and swaps of modems and decoders, for example. This has enabled the Company to reduce the refurbishment period by more than 10 times. Additionally, the extension of this agreement will allow it to meet the overnight delivery needs of customers.

As customers today demand a faster and more complete service, mainly driven by e-commerce, the Proximus distribution centre will support sales and repair activities with even faster deliveries. It will also give the customer the ability to decide where and when he wants to receive his order with a follow-up of the delivery status.

H.Essers has demonstrated that it is a true partner by continuously investing in IT, processes and resources to make the distribution centre more efficient and now future-proof for Proximus. A successful ‘reengineering project’ resulted in an omni-channel automated picking and packing solution based upon ecommerce needs. This project and the cooperation in general between Proximus and H.Essers is defined as a real partnership always aiming for a win-win situation. This new agreement is a powerful illustration of Proximus’ focus to deliver a superior customer experience, without losing sight of its economic and environmental duty as a public company.

The total site currently operated by H.Essers in Courcelles covers an area of 40.000 m2. For the Proximus activities, H.Essers built in 2011 a new logistics hall of 22.500 m2 which received its BREEAM certification ‘GOOD’ in 2012. On a yearly basis, more than 2.0 million kits are assembled and more than 1.0 million order lines are processed and distributed, representing approximately 2.0 million pieces of Fix devices (modems, decoders, phones….), 3.0 million pieces of mobile devices and 900,000 pieces of network equipment. From the integration in Courcelles in May 2014 to date, some 300,000 modems and 700,000 decoders have been refurbished and repaired on site.