LPP Logistics begins operations. New investments and employment growth ahead

The Polish clothing manufacturer is introducing a new logistics operator to the market - the company LPP Logistics.

- The last few years have seen significant progress for LPP in terms of logistics. The full comprehensiveness of the services provided, starting from sea, rail and road freight, warehouse logistics, and even our own customs agency and regular distribution of goods across nearly 40 markets, has led us to the decision to establish a separate logistics operator – the company LPP Logistics. It will be responsible for handling volumes currently reaching tens of thousands of TEU, i.e., 20-foot containers, annually in imports and the distribution of approximately 400 million pieces of goods, including one-quarter in e-commerce shipments alone - comments Jacek Kujawa, President of LPP Logistics.

Due to the sustained high sales momentum and the geographically dispersed business of the Polish clothing manufacturer, decentralization and the development of the distribution network were necessary. Therefore, the last few years have been a time of intensive work for LPP to strengthen its operational capacity. The rapid development of the portfolio of warehouse facilities has meant that managing this area now requires a strategic approach and tailor-made solutions.

- By offering best practices in the field of warehouse logistics built on advanced IT systems, such as WMS, or warehouse automation including innovative sorting systems, an automatic miniload warehouse for 1.2 million cartons, or RFID technology and a diverse catalog of transport services, the new company has the ability to optimally distribute goods on a large scale and become one of the larger logistics operators on the Polish market, not only for the needs of LPP – assures Sebastian Sołtys, Vice President of LPP Logistics.

LPP Logistics will manage a network currently covering seven locations in Poland and abroad with a total area of nearly 400,000 sqm, including distribution centers in Pruszcz Gdański and Brześć Kujawski as well as five e-commerce warehouses in Poland and abroad, to which another one will soon be added, the currently under construction Fulfillment Center in Jasionka near Rzeszów with an area of 69,000 sqm.

Following investments in solutions supporting comprehensive logistics services and the handling of advanced warehouse processes, LPP Logistics also plans to expand its team of logistics industry specialists.

- In connection with the planned development, we will be looking for sea and road freight forwarders, customs agents, automation engineers, e-commerce logisticians, analysts, maintenance electricians and electromechanicians, as well as staff for new facilities under construction. A month ago, we also started the recruitment process for the FC warehouse being built in the Podkarpacie region, which will ultimately employ approx. 1,000 people – explains Sebastian Sołtys.

LPP Logistics has plans for further dynamic development of its logistics network in the coming years. It anticipates, among other things, launching 2 additional warehouses every year. Due to the growing share of e-commerce operations, the company is also looking at solutions in the field of warehouse robotics, including those based on AMR (autonomous mobile robots) devices, which, as the market predicts, will have strategic importance in increasing the efficiency of Fulfillment Center warehouses in the coming years.

- We hope that the wide range of our activities, including the provision of comprehensive sea, rail and road freight services and our well-established market position, will soon lead to our team growing with more specialists who will develop LPP Logistics together with us. I am convinced that our potential and international experience in managing warehouse facilities will soon place us at the forefront of logistics operators on the market – adds Sebastian Sołtys.

The largest client of LPP Logistics remains the brands from the LPP group, but in the coming years, the operator does not rule out the possibility of looking for areas where it could use its logistics and warehouse potential for external entities.