Asda extends reverse logistics contract with XPO

Asda Walmart has extended its long-term agreement with XPO Logistics for reverse logistics operations covering nine Asda service centres where millions of units of returnable transit equipment are washed each year and repairs are carried out when necessary.

Jon Parry, Asda logistics vice president, said: “The renewal of our contract with XPO Logistics reflects our determination to be environmentally sustainable across our entire business. The strong working relationship between Asda and XPO Logistics has enabled us to deploy significant waste innovations and achieve cost efficiencies. We are delighted to extend this award-winning collaboration.”

XPO has worked with Asda to introduce a wide range of innovations including ‘zero waste to landfill’. Many of the solutions have been custom-developed through this relationship, enabling the reduction of costs along the supply chain by bringing more logistics functions in-house. Proprietary XPO Logistics technology developed with Asda tracks the assets and manages hundreds of supplier accounts.

Additional innovations include an improved design for crate wash machines that reduces downtime and increases wash speed by 20 per cent; an automated baler design that increases efficiency and reduces power consumption by 30 per cent; and the automation of food waste processing to improve productivity and further support Asda’s ZTWL policy.