BAE Systems outlines details of key 3PL deal
The contract renewal and expansion is with GXO Logistics and will extend for six years.
IT BUILDS on a relationship that is now extending into its third decade.
GXO will support BAE Systems in the development of world-class Type 26 frigates. Its dedicated team will provide warehousing solutions and materials handling at BAE Systems’ Scotstoun and Govan shipyards on the River Clyde in Glasgow, Scotland. Additionally, inbound to manufacturing and outbound volumes will be managed across an estate of warehousing facilities in the Central Belt of Scotland.
Additional support for inbound and outbound transport operations will be coordinated via GXO’s 4PL Control Tower for defence supply chains, and integrated technology solutions will provide enhanced visibility and coordination of inventory movements.
Jen Blee, manufacturing and facility director at BAE Systems, Naval Ships said: “This agreement with GXO will help us continue to improve the efficiency of our supply chain and shipbuilding operations as we deliver Type 26 frigates for the Royal Navy. Working closely with GXO gives us the flexibility and resilience needed to support this important programme.”
Strategic verticals
The agreement with BAE Systems follows GXO’s acquisition of Wincanton, which strengthened GXO’s capabilities and expanded its presence in strategic verticals, including aerospace and defence.
GXO has provided innovative logistics solutions for top global aerospace and defence organisations for more than two decades. Today, those operations span more than 30 global sites and have positioned GXO as a leading A&D provider in North America, the UK and the Republic of Ireland.
“For more than two decades, we have partnered with BAE Systems to deliver innovative, tech-enabled logistics solutions to support their role in strengthening the UK’s defence capabilities,” said Gavin Williams, managing director, GXO UK & Ireland. “Extending our partnership reflects BAE Systems’ confidence in our ability to provide best-in-class solutions and marks an important milestone as the first realisation of GXO’s expanded defence capabilities following our acquisition of Wincanton.”
