- Initial cooperation for Trucknet Enterprise with CAL Cargo Airlines Ltd, from the Challenge Group that specializes in air transport services and logistics throughout the world
- In the initial phase, Trucknet will grant CAL Cargo Airlines a license to use its platform within Europe, after which the agreement be extended to the United States
Eilat, Israel /PRNewswire/ - Trucknet Enterprise (TASE: TRAN) is pleased to announce that it has signed a primary document of principles for initial cooperation with the Israeli airline company CAL Cargo Airlines Ltd., a subsidiary of the Challenge Group, for improving efficiency, reducing shipping costs, improving service as well as providing optimization for Last Mile Delivery and First Mile Delivery.
As said by Mr. Hanan Fridman, CEO and founder of the company: "I am pleased to announce that Trucknet is expanding its services to airlines operating in the area of logistics, and will provide a solution for optimizing Last Mile Delivery and First Mile Delivery for the air carriers and transport companies."
Due to the global crisis in the transport sector, companies are looking for sustainable technological solutions to improve efficiency, reduce shipping costs and to improve services. The platform developed by Trucknet is the only one in the world today that provides a solution for all these issues. It allows for collection of information in real-time regarding available capacity for cargo in trucks; and reduces the number of empty rides, making it easier for transport companies to ship worldwide, thereby saving costs, reducing greenhouse gas (GHG) emissions and contributing to lowering the number of road accidents involving heavy vehicles.
We anticipate that many companies will understand the significance of Trucknet's cooperation with CAL Cargo Airlines from the Challenge Group and will look for similar solutions.
CAL Cargo Airlines is part of the Challenge Group, active internationally with a number of jointly controlled companies, including: CAL Cargo Airlines, the Israeli Cargo Company, LACHS the Belgian cargo terminal, Challenge Airlines (BE) S.A. in Belgium and Challenge Aircargo that serves as the commercial arm of the group with sales offices throughout Europe, designed to increase and strengthen the group's presence in the international arena.
The Challenge Group promotes the use of green technologies that improve logistics processes and reduce pollutants and carbon emissions, while enabling environmental solutions in addition to saving resources.
The entire group is clustered around one operational HUB located in the heart of Europe – in Liege Belgium, from where the Group's planes fly to destinations in North America, Europe, Israel and China.
The agreement states that in the first stage Trucknet will provide the Challenge Group with license to use the platform in Europe and later in the United States.
The first month will be considered a pilot project with no payment; at the end of the pilot period Trucknet will receive regular payment from the client of about 5 euros for each trip as well as an additional 5% of the shipping costs for each successful "matching" within the system for an empty truck.
This payment will be received from the sub-contractor for the use of the accompanying automation system of the platform. The agreement stipulates that the two companies will work together to promote cooperation, and will sign the detailed and binding agreement within 30 days.
The information concerning the cooperation agreement with the Challenge Group is based on the data held by the company. Therefore, the company is unable at this stage to evaluate the prospects of the sides adhering to a binding agreement, and the expected scope of use of the Trucknet platform by the Challenge Group.
Trucknet developed a cloud-based All-in-One platform based on artificial intelligence (AI), business intelligence (BI), and machine learning (ML) for efficient and digitalized management of supply chain and transport processes. It offers cross-company automatic matching based on location, including an easy and quick payment solution for the B2B market.
Trucknet's sustainable platform enables transportation and logistics companies to significantly minimize empty rides, by automatically prioritizing available vehicles with other transport and logistics companies, thereby offering matching for empty trucks and available cargo.
Trucknet's big Data solution enables full automation and optimization for road transport for companies managing commercial vehicle fleets and for customers of logistics services. The system assists companies to significantly lower costs and improve efficiency and profitability through reduction of the number of empty trucks on the roads. This results in the reduction of pollutants and carbon emissions that harm the environment, as well as less traffic accidents involving trucks.
Data from the Israel Central Bureau of Statistics for 2020 indicate that 30% of road accidents involve heavy-duty vehicles and 23% of pedestrians killed in urban areas are from trucks and buses.
The company aims to establish a unique professional system in the area of shared transport. Trucknet's software platform interfaces with all leading work scheduling systems, TMS and leading telematics systems. Transport companies can improve and optimize vehicle fleet management and sharing of resources, by mutual use of digital documents (without the need to print). Trucknet has developed user-friendly interfaces for the driver and for the end customer offering complete connectivity, monitoring and transparency as well as providing solutions for payment through the Trucknet operates in the international transportation and logistics market, which is valued at about $ 19.36 trillion. As of 2020, the company has approximately half a million trucks connected from some 4,000 companies.
Some data from the world on empty trucks: in Europe 27% of trucks on the road run empty, in the United States 36% and in Asia 46%.
Trucknet conducted a joint pilot project with the Renault Group during October 2020, in which a connection was made to Renault's BID system that tenders each work order. Through the system, contractors were identified on the basis of their location in relation to Renault's requests. The pilot proved that connection to Trucknet's platform led to improvement in the efficiency and profitability of logistics services by 17%. In addition, it brought savings of up to 115,000 euros in two weeks for 268 trips out of a total of 371 (68% success rate).
The results of the pilot demonstrated the platform's ability to improve efficiency and save transportation costs for logistics companies. This is due to the fact that the Trucknet platform adjusts shipping orders for (transport) contractors, based on their geographical proximity to the location of the cargo, thus, allowing them to submit lower price proposals and save costs.
The company, established in 2016 by CEO Mr. Hanan Friedman, employs about 40 people spread across offices around the world. Trucknet has signed agreements and pilot projects with leading companies in Israel and the world, including DSV, La Poste, DPD, ChronoPost, Allcargo, Israel Post and more.
For additional information, visit: https://trucknet.io/en/