Neptune Orient Lines (NOL), a global container shipping, terminals and logistics group, announced that it will establish an administration and service centre in Chongqing Municipality, western China, as part of its ongoing efforts to increase efficiencies and further develop its operational excellence.
The new Chongqing centre will provide key support processes for customs compliance, bill of lading production and invoicing for APL, the Group’s container shipping business. It will support APL backroom operations across Greater China, Japan, Korea and the Americas.
During 2010 activities currently delivered from the company’s Regional Administration Centre in Shanghai will be progressively migrated to Chongqing. APL is confident that the changes will be implemented efficiently and without disruption to operations.
Kenneth Glenn, APL President, North Asia said “Chongqing was selected after a thorough analysis of numerous potential locations. Western China is a dynamic region which is benefiting from accelerating economic development and is now attracting major foreign investment. Chongqing is an emerging centre for enterprise. Its supportive government policies and strong commercial infrastructure have created a very attractive business environment. The convenience and cost benefits of this location, combined with the internal process improvements that we plan to make, will provide APL with long-term competitive advantage.”
The benefits of locating in Chongqing include competitive office leasing costs, business-friendly local government and taxation policies, a highly accessible location with well-established transportation links to major commercial centres both regionally and globally and a wide, well-educated talent pool for recruitment. The facility that has been leased also offers flexibility for expansion in line with evolving business needs.
The migration of support services from Shanghai to Chongqing will result in the relocation of approximately 200 jobs. Management will work closely with impacted staff to provide them with detailed information about how the decision will affect their circumstances and the compensation and support services that will be provided.
The new facility is targeted to be fully operational by the end of 2010.