On Wednesday 26 October 2022, Luxembourg’s Minister of the Economy, Franz Fayot, Vodafone Group CEO, Nick Read and Vodafone Procurement Company (VPC) CEO, Ninian Wilson signed a Memorandum of Understanding (MoU) at the Arch-Summit to collaborate in the establishment of a pan- European Logistics Hub in Luxembourg.
Vodafone plans to strengthen its footprint in Luxembourg by consolidating its logistics operations for mobile and fixed network equipment and distributions by creating a pan-European Logistics Hub and smaller spoke warehouses across all markets. By leveraging Luxembourg’s unique geographic location and world-class logistics position, Vodafone aims to consolidate most of its network inventory in a smart and sustainable 29,000 m2 facility that will distribute network equipment across its European operations. The new highly automated facility is planned to open by end of 2024 and aims to showcase some of Vodafone’s technology and innovation.
Vodafone has already established a logistics centre of excellence in Luxembourg which orchestrates its physical supply chain for network equipment globally through its digital control tower and by defining global processes and system standards (including new demand and supply planning capabilities). This ultimately optimises network stock utilisation and boosts local and global asset reuse to drive a Circular Economy.
Ninian Wilson said: “The creation of a pan-European Logistics Hub is at the heart of our supply chain strategy. It will make our physical supply chain more agile and resilient to support our network expansion and deliver great coverage and service to our customers. It will also strengthen Vodafone’s presence in Luxembourg and reinforce Luxembourg’s position as a world-class logistics centre, while creating additional employment opportunities in the logistics sector. We are aiming for a sustainable and eco-friendly design, smart logistic solutions and green technologies to maximize automation and contribute to Vodafone’s net zero emission target".
Vodafone has a long track record in Luxembourg, starting in 1999 with the opening of its holding company and expanding its presence through the establishment of its global procurement company (Vodafone Procurement Company), global roaming hub (Vodafone Roaming Services) and the creation of its innovation accelerator in partnership with Technoport (Tomorrow Street).
Minister Fayot said: “The expansion of Vodafone’s activities in Luxembourg is a sign of confidence in Luxembourg as a leading logistics hub in Europe. I am very pleased that Vodafone will incorporate the latest smart, green and sustainable technologies in the design of its new facilities. Vodafone smart supply chain management shows how digitalisation can contribute to a more sustainable future. The increased presence of a leader in technology communication such as Vodafone strengthens and diversifies the sectors of high value-added logistics and industry 4.0 which is among Luxembourg’s priorities for a sustainable and digital development of our economy.”