Advisories

Maersk announces acquisition of Performance Team Warehousing & Distribution is now officially completed and closed

01 April 2020

We are pleased to announce the Maersk acquisition of Performance Team is now officially closed as we usher in a new chapter of Warehousing & Distribution service with regional scale to make your business run smoother with faster response times to supply chain changes.

Today’s market conditions and consumer buying patterns change on a daily basis, creating difficulty for supply chain managers to forecast demands. Now, more than ever, a strong Warehousing & Distribution strategy is essential to supply chain performance as the most robust option and pivot point to respond.

We’re excited to now offer you a stronger, more comprehensive portfolio of W&D products and scope to support your business:

  • Omnichannel: We now offer you the growth opportunity to use Performance Team’s omnichannel fulfillment services to create a hold and flow model - or customize a solution for your specific distribution needs.
  • Trucking: Our combined inland transport capabilities total nearly 600 trucks. (Performance Team 340 trucks/HUDD Transportation 250 trucks) More tractor power and smoother deliveries with less handoffs means better use of your management time.
  • Scale and locations: We now offer you 46 warehouses in North America with ideal locations – many are near ports - and warehouse capacities that fit the market needs.
  • Catalyst for your growth: We researched the Warehousing & Distribution sector and Performance Team was the clear winner based on customer feedback, leadership excellence and fit with Maersk Warehousing & Distribution’s scope of service and locations. Our goal is to grow this sector responsibly.
  • Business as usual approach: As we announce the closing today of Maersk’s acquisition of Performance Team – we want to emphasize it is business as usual for customers of Performance Team and Maersk. Your service and point of contact will remain the same – and you will enjoy the same customer experience and delivery of our solutions to you. In addition, all agreed to service levels, terms & conditions, and contracts will remain valid. Our focus is ensuring smooth operations for our customers.
  • North America’s premier W&D network:
    • Performance Team regional footprint in the US:
      • US West Coast : Los Angeles (Inland Empire); Los Angeles/Long Beach (Southern California)
      • US East Coast: New York/New Jersey; Miami
      • US Inland Centers: Dallas/Fort Worth; Louisville, Kentucky; Shreveport, Louisiana; Edgerton, Kansas
    • Maersk Warehousing & Distribution regional footprint in North America:
      • West Coast: Los Angeles/Long Beach (Southern California); Oakland, California (4PL); Seattle, Washington; Vancouver, Canada
      • US East Coast: Virginia; Georgia; New York / New Jersey
      • US Inland Centers: Elwood, Illinois; Bedford Park, Illinois; Pasadena, Texas

Answers to questions you may have

Why Performance Team?

  • Strategic fit to our existing Maersk Warehousing & Distribution product by strengthening our capabilities - enabling us to offer customers more services, more warehouse space, more trucking capabilities and an improved, modern information system to manage supply chains.
  • Performance Team is known for its warehousing fulfillment services, e-commerce, inland transportation and distribution services.
  • Their key strengths are their fulfilment services and distribution capabilities to customer warehouses and stores.
  • Well-managed, profitable, family-owned, US-based and focused on import volumes – with locations in Los Angeles/Long Beach, New York/New Jersey, Miami and inland centers.
  • Their warehouse business is asset-light (with leased facilities) and they operate both dedicated and multi-client facilities.
  • Their transportation service fleet consists of owned, leased and rented units.
  • Performance Team’s people are known in the market for their strong engineering and operating process focus.

What about their technology systems for customers?

  • Customer satisfaction in this sector is highly dependent on the quality and sophistication of Warehouse Management Systems (WMS).
  • Performance Team uses modern warehouse management systems (Manhattan/Softeon) and a 24/7 web portal with customizable reporting tools and real-time status of inventory and movements – which customers prefer.
  • For Transportation Management Systems, they use TMW/Softpoint.

What other features does Performance Team bring to customers?

  • They excel in engineering, implementation and continuous improvement – which are critical to the constantly changing requirements of supply chain performance.
  • They have a “SWAT” team of 23 specialist managers who handle the start-up distribution / transportation operations and continuous improvement initiatives with customers.
  • This team is a key enabler to driving high performance and operational consistency across sites and acts as an important bridge between IT, operations and finance (for billing accuracy).
  • They take pride in designing, procuring, and coordinating installation of much of the material handling systems used throughout facilities.

What about their transport business?

  • Performance Team operates a transportation business, consisting of local truck drayage and longer haul, over-the-road business using a dedicated fleet for “store door,” loose freight and full loads, using a fleet of 71 owned trucks and trailers - and 275 leased trucks and trailers.
  • This complements Maersk’s transport fleet of 250 trucks (called HUDD Distribution). This added truck capacity will address the demands of Maersk’s customers who are looking for more truck capacity in their supply chains.
  • Performance Team also has a Transport Management System (TMS) that tracks the location, hours of service, and timeliness of each company employed driver.

What are their core services?

  • E-commerce and retail Fulfillment
  • Pick and Pack on item and case level
  • Replenishment
  • Garment on Hanger (GOH)
  • DC Bypass
  • Reverse Logistics management

What other services does Performance Team offer?

  • Dedicated Facility Management/Contract Logistics
  • Custom Supply Chain Management
  • Vendor Pick-Up and sorting
  • Drayage
  • Pool Point Distribution
  • Local transportation
  • Dedicated Fleet
  • Regional Line Haul
  • Retail Store Delivery

What other Value-Added services are offered by Performance Team?

  • Quality Control and Inspection
  • Ticketing/Labeling
  • Folding and Packaging
  • Kitting & Assembly
  • Repair, Pressing, and Steaming
  • Compliance & Testing
  • Point of Purchase (POP) Assembly
  • Carton Bar Code Labeling – UCC 128

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