Frozen food retailer Iceland has awarded a five-year warehousing and distribution contract to XPO Logistics that will include both dedicated and shared user facilities.
Iceland currently has 850 stores and a network of out-of-town Food Warehouse outlets, and plans to open up to 40 new stores.
“XPO Logistics shares our values when it comes to putting people at the forefront of everything we do,” said Iceland supply chain director Nigel Morley. “This synergy, combined with XPO¹s ability to deliver a flexible and scalable supply chain solution, will help us meet our growth objectives, both now and in the future.”
XPO will manage Iceland’s distribution centres in Warrington, Enfield, Livingston and Swindon taking on all 1,900 staff at the sites in a phased Transfer of Undertaking Protection of Employment (TUPE) process.
It will be responsible for warehousing activities ranging from product receipt to nationwide store distribution, as well as a number of primary collections. XPO will also manage Iceland’s temperature-controlled fleet of 320 tractor units and 450 trailers. It aims to create operational efficiencies for Iceland by implementing an integrated inbound supply chain platform that leverages the retailer’s supplier relationships.
