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Fargo Courier Kenya wins Logistics Achiever Awards 2016

by: Category: Energy, Featured, In Focus, Industry, Technology A+ / A-

By Biko Gerro

Fargo Courier ltd, the delivery and Logistics arm of Wells Fargo Kenya, is this year’s award winner of the Logistics Achiever Awards (LAA).

The award gives Fargo Courier recognition for excellence in logistics and supply chain management and innovation that have created market advantage for a strong, sustainable foundation into the future.

“We are glad to have won the Gold Award for our excellence in logistics and supply chain management which has helped us serve our customers better by optimizing our distribution network,” said Gray Cullen Group   Operations Director, Fargo Group.

The company was also voted the overall Award winner for its excellence in innovation and service delivery.

“Our aim is to set the pace in the courier industry by creating innovation that answers the needs of the future and at the same time creating a stronger foundation for customers,” he added.

In the last five years Fargo Courier has invested heavily in its IT sector by utilizing solar enabled devices to   help deliver better services.

“We have grown from just 23 outlets to 100 outlets in Kenya in which only 12 had access to fiber connectivity.

Poor roads and frequent power outages meant finding a solution that ran off a 3G network and efficient enough to utilize solar as a source of power to enable provision of better service delivery to these areas. The mobile devices we have are solar enabled meaning that those in remote areas can now be equally served better, “says Gray.

According to Gray, the company can now boast of 95 percent overnight delivery a thing most courier companies are still unable to provide.

“Our system is well maintained in that we are able to give real-time tracking and transparency to all our clients. Our price model which is based on over 400 unique rate matrix entries meant that an incredible complex billing system with an automated module had to be put in place, comments Gray.

The Fargo system has helped in eliminating the paperwork in their courier services.

“Our system has reduced the paperwork chain in a consignment lifecycle from a six manually written documents to just one document which is the original waybill,” adds Gray,

They have also created   a well efficient   real time tracking system that works beyond Nairobi at no extra cost for their clients.

“This tracking capability is a valuable addition and enhancement to some of our e-commerce strategic efforts which includes running our own online multi-retailers portal, and providing delivery services to the rapidly increasing online retailers.

For online shoppers, easy access to the information on their order whereabouts is as important as a reliable timely delivery service.

To be able to order and know when and where your order will be delivered to you, whether you are in Nairobi or outside, is extremely important in building and enhancing the trust and confidence required in online- based  retail transactions.,” comments Teresa Njoroge, Business Development Manager – Fargo.

“We have created a SMS confirmation on delivery to select accounts giving real time data plus a live web based tracking system to all our clients, states Gray.

The new system has helped the firm realize a 12 percent growth as of July this year.

“The growth we realize is based on new E-Waybill   technology and also our automated large storage facilities,” says Gray.

Fargo is seeking to improve its system by integrating it to a mobile Application which will be linked to all their mobile devices.

“We plan to integrate our storage and warehousing division with 3PL Warehouse Management system together with our FreightWare TMS and Mobile ePOD to enable end to end tracking functions to all our clients,” comments Gray

The Courier industry in Kenya is estimated to be worth Ksh 14 billion ($165 million) in the next two years according to Communication Authority Report of 2014.

At the moment the country has more than 200 courier firms with Postal Corporations of Kenya (EMS), G4S and Fargo Courier as the major players in the sector.

Though Kenya has many players in the courier sector very few of them are licensed because of poor regulations policy.

“Operators may be more willing to become licensed if the government simplifies the license regime, reduce reporting obligations, and lowers the license fees,” adds Gray.

Gray believes that the government needs to partner with courier firms to create addresses through mapping and numbering to enhance efficiency, accessibility and drive provision of better service in the courier sector.

“The delivery of parcels model in Kenya is not comprehensive; we need a framework that will improve the sector like phasing out all items weighing up to 350 grams to allow other couriers to enhance the business environment, “notes Gray.

Fargo Courier is planning to expand its footprints in East Africa region by setting up offices in Rwanda, Uganda, Tanzania and Eastern Democratic Republic of Congo come early 2018.


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