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Essay about C.H Robinson Worldwide Logistics Research

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1. INDUSTRY C.H. Robinson Worldwide is a third party logistics “provider of multimodal transportation services and logistics solutions.” (Chrobinson.com) C.H. Robinson Worldwide belongs to the industrial sector, airfreight and logistics sub-industry. Jim Corridore in the Standards and Poors Sub-Industry review states that there is “a positive fundamental outlook for the air freight and logistics industry for the next 12 months.” (Standardabpoors.com) Katie Lally suggests that 2014 “should still be a profitable year for transportation” despite the economy did not recover fully after the Recession. (kcsmartport.com) I would say that the forecasts for 2014 for the transportation and logistics sub-industry in the U.S. and globally differ. The…show more content…
2. BUSINESS UNIT Founded in 1905, C.H. Robinson Worldwide is “the third party logistics (3PL) providers, with 2012 gross revenues of $11.4 billion.” (Chrobinson.com) As the company describes itself, it is “a non-asset based transportation provider” (Chrobinson.com) The Minneapolis based company employs about 8,300 people worldwide including North America, Europe, Asia, South America, and Australia. Company works in four directions: freight transportation and logistics, outsource solutions, produce sourcing, and information services. (Chrobinson.com) Transportation services represent the largest source of income for CHRW. According to the annual financial report 2012, “transportation services accounted for approximately 89 percent of net revenues” generating $1.5 billion. (C.H. Robinson Worldwide, Inc. Annual Report on form 10-k 6) In addition, eight percent of the net revenues in 2012 were accounted for sourcing fresh produce.( C.H. Robinson Worldwide, Inc. Annual Report on form 10-k 6) Since the company was founded, CHRW provides service “in handling produce and other perishable commodities.” (C.H. Robinson Worldwide, Inc. Annual Report on form 10-k 6) Also, despite the company sold almost hundred percent of the operations of T-Check, CHRW expects to generate Payment Services revenue from the cash advance option. (C.H. Robinson Worldwide, Inc. Annual Report on form 10-k 6) Payment Services Revenue generates approximately three percent of net revenue in 2012.
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