KENT, Ohio, March 25, 2002 -- The Northeast
Ohio Logistics Network has been formed by a steering committee of 20
logistics-minded private and public sector representatives at a meeting
organized by the Northeast Ohio Trade and Economic Consortium (NEOTEC).
Gathering in mid-December 2001 at the Ramada Inn Akron/Kent, the group
defined the goals and structure of the new organization, which will serve as
a forum to address regional logistics issues.
“The Northeast Ohio Logistics Network seeks
to unite area logistics professionals in order to impact legislation,
educate local communities about the regional importance of logistics, and
create vital networking opportunities,” said Ron DeBarr, President & CEO
of NEOTEC. NEOTEC, an economic development partnership of Columbiana,
Mahoning, Portage, Stark, Summit and Trumbull counties, will take the lead
in organizing and maintaining the Network and implementing its goals.
Steve Paquette, President of the Stark
Development Board, said that the Logistics Network would tie together the
public and private sectors and provide the needed leverage to solve
logistics problems on behalf of all the residents of Northeast Ohio.
This collaboration is a first in the
regional logistics industry. “Operating as a logistics ‘cluster’ will
enable us to reduce costs, help fund collaborative capital projects and make
it easier to do business in Northeast Ohio,” said Jeff Lubash, president of
Affiliated Services Group, a consulting firm specializing in Lean Enterprise
and Value Chain Management.
Doug Sibila, president of Canton-based
Peoples Services, a third-party logistics service provider, said that
Northeast Ohio’s logistics industry wields a significant sphere of
influence. “It not only has tremendous impact on manufacturers, but on
other industries and the general public as well,” said Sibila. “That’s why
we need a strong voice to provide a logistics input at the legislative
level.”
Logistically speaking, Northeast Ohio is
one of the most viable areas in the country. As pointed out by Perry
Trunick, Editor and Associate Publisher of Transportation and Distribution
magazine, the area features a quality highway system, excellent rail, water
and air access, as well as competitively lower transportation costs. “The
Cleveland area is ranked 13th out of more than 240 nationwide for its
quality infrastructure system,” said Trunick. “Obviously, there are many
important issues relating to the logistics industry for which the
professionals of the Logistics Network can be a unified, effective voice.”
In addition to providing legislative
support, the Network will also have the responsibility of educating existing
Northeast Ohio companies about the value of managing their logistics.
“Logistics costs comprise 10% of the total cost of doing business,” Trunick
said. “It’s important that companies understand the importance of logistics
to their business and to the region’s economic quality of life.”
Ken Jayjack, Vice President of
Distribution, American Greetings Corporation, said that companies tend to
squeeze their manufacturing but overlook or are unaware of opportunities to
cut transportation costs. This is where the Logistics Network will play an
important educational role, by offering training seminars arranged in
conjunction with local universities that utilize the expertise of local
business professionals.
“The Network will give us tremendous
opportunities to train companies, regardless of size, how to get more
mileage out of their logistics capabilities,” Lubash said.
The Logistics Network’s membership will
include a mix of manufacturing firms, shippers, carriers, 3PLs, consultants,
educational entities and public sector groups including the Ohio Department
of Transportation. Companies from each of the transportation modes
including highway, rail, water and air will be represented. The Network
will reach into all 18 counties comprising the Northeast Ohio region.
There will be distinct advantages of
membership in the newly formed network, said DeBarr. “Members will become
part of a unified voice at the local, state and federal levels where
logistics issues will be addressed and needs met. There will be
opportunities for networking with other industry professionals at two major
annual logistics events and through interaction on various committees. In
addition, members will receive individual and company exposure via NEOTEC’s
Web site and quarterly newsletter as well as a membership listing in the
proposed Northeast Ohio Logistics Directory,” DeBarr said.
The Network has been structured to include
Legislative, Education, Programs, and Membership & Communications
committees. Leadership positions for these committees and the selection of
a president were discussed at a follow-up meeting held February 21, 2002.
In May, the organization plans to hold a general membership and inventory
meeting, and on August 12, NEOTEC will host the fifth annual Logistics
Conference and Golf Open at Firestone Country Club in Akron.
For membership information and details
about the Northeast Ohio Logistics Network, contact Ron DeBarr at:
330-672-4080, 1-800-793-0912, or e-mail:
NEOTEC@kent.edu
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The Northeast Ohio
Trade and Economic Consortium (NEOTEC) is a regional economic development
partnership including Ashtabula, Columbiana, Mahoning, Portage, Stark, Summit and
Trumbull counties, built to improve market access through the development of
the Northeast Ohio Logistics Network and to promote international commerce
through the administration of Foreign Trade Zone 181.
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