WBJ: Can you provide an overview of Raben Logistics Polska and share your journey within the company?

Wojciech Szafran: Raben Logistics Polska is the largest company within the Raben Group and a leader in the logistics industry in 

Poland. With 3,800 employees, various warehouses covering an area of 560 thousand m², and approximately 5,000 modern means of transport at our disposal, the company offers services in domestic and international distribution as well as comprehensive logistics services, including value-added services and e-commerce logistics.

My journey at Raben began 20 years ago when I was looking for student internships. Raben accepted me as an apprentice, and I must have done well because I was offered a full-time job shortly after the internship. So, I started in the sales department as a specialist and later as a coordinator. Then, I moved to the international distribution department, where I worked with my teammates on developing international groupage connections, first as a manager and later, after a few years, as regional director. 

It was nice to see Raben Logistics Polska, and the entire Raben Group, growing and entering new markets. It was even nicer being a part of this growth and helping achieve milestones. For me, one such milestone was, in 2016, getting promoted to Regional Director of one of the largest operational regions in our company. This new position brought new responsibilities and challenges that prepared me for the next big steps–becoming General Director and then Vice-President of the Board in 2023. Now, I do my best to meet expectations and continue developing the company. 

Given your history with Raben Logistics Polska, how has your experience shaped your approach to leading the company, and what achievements are you most proud of?

As I mentioned before, my journey at Raben was from internship to head of the company. I had the opportunity to get to know various departments from the inside. Because of my experience, I know firsthand about many of the everyday problems logistics companies face. I was also very lucky to meet people on my professional path who were willing to share their knowledge and experience with me. Perhaps this is also specific to Raben. We have “People with Drive” everywhere, no matter if they’re a warehouse worker, a driver, an accountant, a manager or a director. It’s true that I wouldn’t be here without these passionate people whose support, wisdom, and inspiration were and still are invaluable. Together with them, I want to continue developing our company by introducing innovative solutions, improving processes and building a competitive advantage for our customers.

I’m proud of the fact that this year we managed to finalize several important investments. For instance, extensions of our cross-dock terminals in Cholerzyn and Kalisz, a brand new cross-dock terminal in Bialystok and two new contract logistics centers. One investment is a warehouse we opened in Poznan in July with an area of approximately 44,000 m². The second, even larger investment, was in Wiskitki, with 110,000 m² of warehouse space that we’ll manage. Both are modern and environmentally friendly facilities with sustainable solutions, meeting the requirements for an excellent BREEAM certification level, as well as FM Global's stringent sustainable construction requirements.

I’m also proud of our ability to fulfill Raben Group’s ESG strategy. We work in a business sector responsible for almost 20% of global CO2 emissions, so we’ve set ourselves goals that revolve around two commitments. Firstly, in 2021, Raben Group signed a five-year loan agreement linked to sustainable development (Sustainability Linked Loan—SLL) for EUR 225 million, coordinated by seven banks. The SLL loan margin depends on Raben meeting conditions determined by five key performance indicators (KPIs) in the areas of ESG for the road transport and logistics sector. 

Three of these indicators are strictly environmental. The first is a 30% reduction in emissions at our warehouse and office infrastructure over the next four years, i.e., mainly Scope 2 of the carbon footprint. Our company has already achieved a 67% reduction. 

The second goal is to reduce CO2 emissions resulting from transportation by 10% by 2025. However, by 2023 we had already seen a 7% reduction. 

The third goal concerns the replacement of the fleet; we have committed to meeting Euro V and VI standards by 2025. About 96% of our fleet (our own and the carriers we cooperate with) exchange our fleet last year, which was a significant investment. Now we are replacing Euro V with Euro VI. 

The fourth commitment concerns diversity and the presence of women in management positions, which has also been achieved. 

The fifth goal, verifying our approach to sustainable development in all other aspects, is to undergo the EcoVadis assessment.

What external and macroeconomic factors have the most significant impact on the logistics industry, and how is Raben adapting to these influences?

After slowing down in 2023, economic growth is expected to gradually rebound this year, supported by strong consumption and investment. This should positively impact our industry. On the other hand, while  inflation is forecast to decline, price pressures will remain elevated because of growing domestic demand, rising labor costs and the unfreezing of energy prices. Rising costs pose a challenge to every company and industry.

It is worth remembering that our industry operates on low margins and requires high investment outlays. High labor costs and new burdens affecting transport and logistics companies mean that companies such as Raben are strongly focused on cost optimization. We are constantly looking for solutions to provide services even better and more efficiently. One of our company's values is entrepreneurship. Additionally, we place great emphasis on process improvement. For years, we have successfully changed our culture to be more engaging and lean: “Better every day.” This encourages each employee to try to improve their workplace by using resources wisely. Ideas for improving the quality of services and optimizing processes, and therefore costs, for both us and the customer, often come from the “first line” of warehousing and transportation. 

We also work with our customers individually whenever possible, e.g., organizing joint lean management workshops and seeking optimization together. We believe that through such cooperation, we can achieve better results and greater satisfaction for both our clients and employees.

Raben Group is taking a number of actions aimed at saving energy and reducing costs to deal with rising operating costs. For instance, at the design stage for warehouses, we think about energy efficiency. The solutions currently used by Raben include, among others, the use of energy from renewable sources, the use of energy-saving LED lighting, more efficient heating, ventilation and air conditioning (HVAC) systems, and the implementation of intelligent sensors and automated lighting, heating and cooling systems, which allows for better control and optimization of energy consumption. There are many more solutions I’ve not outlined here. 

How would you describe the current state of the logistics market in Poland, and what are the main competitive challenges you face?

The logistics industry is characterized by enormous dynamics of change and significant unpredictability. In recent years, we have faced numerous challenges, from decreasing driver availability to global supply chain disruptions. Our industry must consider further cost increases in 2024, especially in terms of wages. At the beginning of this year, the minimum wage increased, but the wage increase had already been forced by the Mobility Package. And that's not the end of expenses. Further increases are also noticeable in road tolls, for example, in Germany, which increased by 83% due to the inclusion of the CO2 emission fee. We’ll therefore continue to operate in a competitive environment. However, it’s worth looking at these challenges as opportunities to develop and improve our services.

Some things are beyond our sphere of influence, but at the same time, we have full control over how we react to them. Our decisions, innovations, flexibility, and adaptability are crucial to our success and that of our customers. Whether we are facing economic hardship, market changes, or other challenges, our actions and approach make a huge difference. Effective planning, appropriate adjustment of business strategy, investments in employee development, and responses to changing customer needs allow us to shape our future even in a dynamic and unpredictable environment. Despite many challenges, Raben sees more opportunities than threats currently. For us, the key is to ensure high quality and stability. We strive to be a logistics partner for our clients with a flexible approach that responds quickly to changes and on which they can always rely.

Naturally, in the context of constant change, the importance of automation, digitalization, and continuous process improvement is undeniable. This is especially important in logistics where each consignment relies on an intricate web of people, tariffs, constantly shifting costs, and dynamic market conditions. With so many variables, it’s no wonder that Raben explores automation and RPA, thanks to which, in a year, automation has completed the work equivalent of 302 full-time employees within a month. In the same period, automation saved the entire Raben Group 78,815 days of time and over EUR 6 million a year. It’s clear that these initiatives have helped us achieve greater operational efficiency and optimal costs.

Moreover, the role of sustainable development cannot be underestimated. We’re all aware of the impact that our industry has on the environment, hence the need to take action to protect it. For Raben, ecology is also very important. By saving natural resources, measuring, reporting, and reducing greenhouse gas emissions, we work for the common good, the future. Out of concern for the natural environment, we’re gradually eliminating paper from our processes through projects such as Order-2-Cash or Paperless. We’ve also invested in modern means of transport (as I mentioned before), and have we engaged our suppliers and carriers in this modernization.

What are some key factors that have contributed to Raben Logistics Polska's growth and success over the years?

Raben is a stable organization, independent of changes in the capital markets. The family nature of our company allows for quick decision-making as well as the ability to build long-term development plans that are not dependent on the composition of the Management Board. We also strive to attract the most talented employees, retain them, and provide them with various opportunities for personal growth.

The organization is constantly developing, improving its procedures and investing in modern technologies. The company is aware that investments in the transport network and warehouse infrastructure are inextricably linked with activities aimed at optimizing processes and IT systems, which translates into high-quality customer service.

For many years, we have offered our customers logistics with a human face, and we try to be consistent in this. Our experienced and committed team is focused on exchanging experiences and achieving goals together. One of our goals is to support customers and take care of the entire logistics process. Therefore, regardless of the innovations implemented, we continue to use the solution that has worked well at Raben since the company was founded. We have close, daily contact between customers and our service representatives. People with passion, who, by taking care of customers' needs, proactively solving their problems or simply answering the phone, have become the hallmark of Raben. And this is what sets us apart. Partnership and trust are part of this style of cooperation, which in many cases has been going on for years. In business, we are guided by, among others, a fair play approach, because we believe that relationships based on integrity build a better tomorrow.

We also care about our subcontractors and drivers. Since 2019, we have been a member of the CSR Europe Responsible Trucking initiative. This initiative brings together the main representatives of the TFL industry in Europe with the goal of improving working conditions for truck drivers. The outcome of our work is the “Social Standards in Transport,” which outlines healthier working conditions for drivers. In 2021, this standard was officially communicated and we declared that by the end of 2024 we will have established a safer working environment. In addition, we run an internal “Drive the Driver” program, which includes many initiatives for both promoting driving as a profession and improving the daily life of drivers working for Raben. 

What are your strategic goals and aspirations for Raben Logistics Polska in the near future?

Comprehensive services are important to us. From the storage of goods through VAS production (co-packing, co-manufacturing) to timely delivery. All this is to make it easier for our customers to manage their goods and ensure proper and quick distribution. One of our priorities is to provide service at the highest possible level.

To achieve that, we plan further investments in new warehouses as well as cross-dock facilities, fleet exchange and further automation and digitalization of our processes. However, reacting to the economic situation and customer needs, and considering Raben Group acquisitions and our investments, we will continue to focus heavily on developing international connections and systematically launching new lines. Currently, Raben offers over 600 international groupage connections in Europe, including over 120 between Poland and Germany, where we also have our own groupage network. We’re also developing connections with the Czech Republic and other CEE countries, as well as with other European countries.

Through investments in new lines, Raben reaches more places in Europe, not only to large but also smaller economic centers. Our customers appreciate this because such comprehensiveness and scale of operations mean not only better distribution options but also time savings and the ability to focus on the development of their own business while Raben, their logistics partner, takes care of the rest.

I need to emphasize again that what distinguishes us, and allows us to be even more competitive, is our team, our People with Drive. It’s an apt description that defines their attitude. This drive is energy and a passion to act. It is the sum of the unique qualities each of us has and the teamwork that makes us stronger. And it is thanks to them that we are where we are—ready for future challenges. Together we create the future of logistics.