Russia Cyprus Israel Estonia Kazakhstan Latvia Lithuania Ukraine Georgia Belarus Armenia Azerbaijan LOGISTICS AND INTERNATIONAL TRADING SOLUTIONS

Transcription

1 Russia Cyprus Israel Estonia Kazakhstan Latvia Lithuania Ukraine Georgia Belarus Armenia Azerbaijan LOGISTICS AND INTERNATIONAL TRADING SOLUTIONS

2 Chairman s Message Dear readers, Welcome to the Filuet Group. We trust that you will find the contents of our corporate brochure informative and hope to be given the opportunity in the near future to help you realise your strategic and operational plans. Whether it be expanding into a new international market, local logistical support or management of a business process, we are certain that we can provide the level of service that you come to expect from your own organisation and better. The Filuet Group has a rich history and a very exciting future ahead of it and I'm proud to be at the helm of a group of companies once led by my father. To deliver the best, you have to be the best! The Filuet team is the best at what it does in providing innovative, first-class solutions combined with superior, second to none support. Since the Group's founding in early 1992, both our customer base and the range of services provided have grown steadily. Everyone has worked hard to get to where we are today, and is working even harder to realize our common vision for the future. We have everything we need: the people, the experience, the ideas, the financial health and the business partners to reach the next level of our planned growth. More importantly, we also have a single-minded will to succeed. We know how important the services we provide are to helping you remain competitive in our increasingly more global economy. We are proud to serve you and I want to encourage you to feel free to contact Filuet at any time to discuss how we can better serve you today and in the future. Belief comes first Alex Rashkovan Chairman, The Filuet Group 1

3 Introduction - Back to the present The Filuet Group was first established in 1992 as a third party logistics service provider and international trade facilitator. The Groups main business in those days was the importation, warehousing and local distribution of various products from Africa and Europe into the Russian Federation, which at the time, was emerging from communist rule. As the business grew, we were approached by our first Direct Selling Company to manage their supply chain in Russia. We had no hesitation in agreeing terms and beginning our business relationship. Although the Direct Selling world could appreciate the potentials of a market like Russia, due to the political situation, many feared to enter, and rightly so. Over time our business grew steadily with our clientele mainly comprising large wholesale traders and direct sellers. In 2005, we joined the DSA as a supplier member. With the advent of outsourcing, the industry became flooded with new entrants all professing to be specialists in the field. As a result, operating margins dropped as a direct consequence of the increased competition in the marketplace. In late 2005, the Group identified a unique strategic opportunity to offer its services exclusively to the Direct Selling industry. Given the Groups long standing history, knowledge and understanding of its Direct Selling clients, coupled with our logistical & international trading experience, it seemed like the perfect fit. Today, the Filuet Group is a contract logistics and international trade specialist, operational in over 10 countries and employing over 250 employees. We proudly serve some of the most well-known and successful Direct Selling Corporations in the world and recently became a supplier member of the newly formed DSA in Russia. 2 3

4 Direct selling is a dynamic, vibrant, rapidly expanding channel of distribution for the marketing and sale of consumer products and services. Just about any product or service can be acquired through direct selling somewhere in the world. These are marketed through independent sales representatives also commonly known as consultants, distributors and other titles. The Direct selling industry provides important benefits to: a) Individuals who desire an opportunity to earn an income and build a business of their own. b) Consumers who enjoy an alternative to shopping centres, department stores and malls. c) The consumer market by offering innovative and distinctive products not readily available in traditional retail stores. Consumers benefit from direct selling because of the convenience and service it provides, including personal demonstration and explanation of products, home delivery, and generous satisfaction guarantees. Direct selling enhances the retail distribution infrastructure of the economy and serves consumers with a convenient source of quality products. According to the World Federation of Direct Selling Associations (WFDSA), the value of estimated retails sales from the worldwide direct selling industry were in excess of $117 billion with more than 74 million registered distributors. These figures are only set to increase further as the industry expands and strengthens. The Direct Selling industry Outsourcing can be defined as the strategic use of outside resources to perform activities traditionally handled by internal staff and resources. It is also sometimes known as facilities management and it is a strategy by which an organisation contracts out major functions to specialised and efficient service providers, who become valued business partners. The origins of outsourcing as we know it today, began to surface in the 1970 s and 1980 s where organisations that were attempting to compete globally were handicapped by a lack of agility that derived from bloated management structures. To increase their flexibility and creativity, many large companies developed a new strategy of focusing on their core business, which required identifying critical processes and identifying and deciding which could be outsourced. There are a wide variety of reasons why an organisation would decide to outsource. Below are some of the most common: Reduce and control operating costs Improve host company focus Gain access to world capabilities Free internal resources for other purposes Outsourcing 4 5

5 Our Philosophy Our business philosophy can be summed up quite succinctly as follows: lexibility nnovation ocations Do what you do best and outsource the rest - Tom Peters We pay meticulous attention to our clients needs and are able to adapt our resources to meet them. We consistently strive for innovative solutions and new ways of doing things in order to maximise our clients profitability and further increase our quality service levels. We have a physical presence in, and an in depth local knowledge of, all the markets in which we operate. Our Core Values No organisation, regardless of its size can possibly hope to excel in every aspect of its operation; yet in today's competitive marketplace none can afford not to. So why do so many companies either under resource or spend valuable time concentrating on areas of their business that could be handled more effectively and efficiently by an expert third party organisation? At Filuet, our aim is to bring a different perspective, knowledge, experience and technology to your existing functions and work with you to reengineer them into new processes. We attempt to position ourselves as an extension of, and part of our client. With both strategic and tactical capabilities, coupled with real world supply chain experience, we are able to develop the process, people and technology required to add real value to your organisation. nderstanding Having worked alongside Direct Sellers for almost two decades, we have a thorough understanding of the requirements of our clients and the individual distributors that they represent and serve. xperience We have always maintained a policy of recruiting and retaining the most experienced and qualified staff as we appreciate that in order to offer and provide quality services you must have quality human resources. rustworthiness Our reputation is based on our unrelenting commitment to honesty and integrity. We are committed to inspire trust and confidence amongst our staff, clients and partners and always work on a transparent basis. 6 7

6 Our Vision Our vision is to be the leading contract logistics service provider to large multi-national Direct Selling Corporations, distinguished by the quality of its services and in depth knowledge of its clients and their respective industries. Our Mission The Filuet Group s mission is to deliver both tangible and intangible benefits to our customers by providing world-class logistics solutions built on: Dedication to our clients and their businesses Outstanding quality, operational excellence and advanced information management A superior global network that integrates the Filuet Group s diverse assets and expertise A flexible, agile and innovative organization A highly trained and professional workforce 8 9

7 Vologda Tallinn ESTONIA Riga LITHUANIA LATVIA St. Petersburg Lobnya Cherepovets Yaroslavl Vladimir Nizhny Novgorod Kazan Kirov Perm RUSSIA Nizhny Tagil Chelyabinsk Tyumen Head Offices CYPRUS - Limassol Offices ISRAEL - Tel Aviv Kaliningrad Vilnius Minsk BELARUS Smolensk Kiev UKRAINE Odessa Bryansk Butovo Voronezh Rostov-on Don Penza Volgograd Stavropol GEORGIA Tbilisi ARMENIA Ulyanovsk Tolyatti Atyrau AZERBAIJAN Yerevan Baku Actau Makhachkala Ufa Magnitogorsk Astana KAZAKHSTAN Chimkent Karaganda Almaty LATVIA - Riga BELARUS - Minsk GEORGIA - Tbilisi ARMENIA - Yerevan KAZAKHSTAN - Almaty, Astana, Karaganda, Chimkent, Actau, Atyrau RUSSIA - Moscow (Butovo), Nizhny Novgorod, Kazan, Chelyabinsk, Rostov-on Don, Volgograd, Perm, Tolyatti, Tyumen, Magnitogorsk, Cherepovets, Stavropol, Smolensk, Yaroslavl Ufa, Kaliningrad, Vologda, Ulyanovsk, Vladimir, Kirov, Voronezh, Nizhny Tagil, St. Petersburg, Bryansk, Makhachkala, Penza UKRAINE - Kiev, Odessa CYPRUS Limassol ISRAEL Rishon Geographical presence As can be seen from the diagram, our offices and operations are located mainly in Russia & the surrounding CIS countries, the Baltics, Southern Europe and the Middle East. AZERBAIJAN - Baku Ship to only LITHUANIA - Vilnius ESTONIA - Tallinn 10 11

8 Services / Products 1. Contract logistics services The Filuet Group offers a complete suite of logistics and international trading solutions specifically catered for the ever changing needs of our clients. Whether you are looking for simple warehousing and distribution or a complete outsourced solution, we have the knowledge and experience to successfully manage your supply chain. We have 3 broad service categories as follows: Contract logistics services Global trading services Total outsourcing solutions The Filuet Group delivers fully integrated logistics solutions tailored to the specific needs of our clients. Our diverse range of logistics services include the following: 3rd Party Logistics Services (3PL) Transportation by air, sea, road & rail Order fulfilment, including pick and pack Customs clearance Distribution of orders and invoicing Product warehousing in secure, best practice facilities Image of our logistics centre in Lobnya, Moscow Inventory control, including stocktaking and reordering Import/export documentation Packaging, ticketing and labelling for specific markets 4th Party Logistics Services (4PL) Logistics and process consulting Facilities management Inventory management & control IT consulting Human resource management 12 13

9 2. Global trading services 3. Total outsourcing solutions In addition to our 3PL and 4PL services, we offer a full range of specialized global trading services including the following: Order processing Billing & invoicing Payment collection Bank deposits & wire transfers Handling of back orders Product registration Market research Fairs & exhibitions Translation of promotional materials Training of staff Virtual office Unlike many standard 3PL and 4PL logistics service providers, we are able to assist our clients in formulating and executing a complete market penetration strategy in all the regions in which we operate. Our total outsourcing solutions enable our clients to develop a market or region without necessarily having a legal presence there by using our fiscally approved financial models, local infrastructure, experienced and dedicated teams combining our contract logistics and global trading services. The key advantages being: Time to market is a lot shorter Cost effective Less administration Allows client to focus on their core business Tax beneficial Our intention is to grow with our clients and ensure that they succeed in the short, medium and long term. We offer two types of total outsourcing solution based upon either a limited trade distributor or an agency model

10 Corporate references Our client list contains a rich blend of global Direct Selling Corporations in differing stages of their respective organic growth cycles. At Filuet, we do our best to ensure that your growth aspirations are reached by taking a hand in hand approach. "Filuet has been a strategic business partner for us in the development of our Russian and CIS markets. They have provided outstanding warehouse and logistic support to ensure our products reach our Russian consumers quickly and affordably. Our company has been doing business with Filuet over the past two decades. Throughout that time, Filuet has been a trusted and reliable partner. They take a can do attitude into each project, consistently finding solutions which best support our Distributors needs, while meeting all our corporate requirements. I can say that in each case, they have exceeded my expectations in the quality of management and execution of detail for each of the projects we have collaborated. It is rare to find companies that truly fit the description of a business partner. Filuet is one of those companies. We have tremendous respect for their ability to deliver against their word and we have found that Filuet shows the same level of respect to our Distributors and to our company s mission and values. Tom Harms Vice President, Strategic Planning Beyond these capabilities, their consultation and deep understanding of this complicated business region has allowed us to grow quickly without much start up investment and continuously improve and expand our product and service offering to our members. Scott Davidson CFO Our product is sold in 92 countries all over the world and we work with many logistics service providers. Through our vast experience, we have found Filuet to be the one that really stands out from the crowd as a true solutions based company. Their innovative operational approach coupled with their unique range of services makes Filuet the only choice when looking to procure the services of a third party. Charlie Smith COO 16 17

11 Expansion opportunities When thinking about penetrating a new market, it is essential to consult with an expert who has physical presence and extensive experience in the markets of interest. Cooperation with an expert can make the difference between a valuable success and a costly failure. Russia Since the fall of the iron curtain and the establishment of the Commonwealth of Independent States in late 1991, the Russian economy has grown into one of the most dynamic and fastest growing economies of the world. Coupled with a population in excess of 140 million, it is no surprise that the Direct Selling industry is really beginning to flourish. According to the World Federation of Direct Selling Associations (WFDSA), retail direct sales in 2010 were in excess of $3 billion with over 4.9 million registered independent sales representatives. With forecast Gross Domestic Product (GDP) for 2011 estimated at $1,894 billion and GDP growth expected at a rate 4.8%, we believe the Direct Selling market in Russia will continue to grow for the foreseeable future and is a must for any serious international Direct Selling organisation. Saudi Arabia A more speculative, yet ultimately more lucrative opportunity exists in the Middle East, and most notably in Saudi Arabia. Currently, the Direct Selling industry has not managed to significantly penetrate this region however the fruits of a such a move are for all to see. With forecast GDP for 2011 estimated at $579 billion and GDP growth expected at a rate of 7.5%, the potential is there for the eventual domination of a region

12 Our Contact details For any further information, please contact us as follows: Head Office - Limassol, Cyprus Company: Filuet Cyprus Ltd Address: 1 Siafi Street, Porto Bello, Office 105, 3042 Limassol, Cyprus Telephone: Fax: info@filuet.com.cy Website: Russian Office - Moscow, Russia Company: Filuet RS LLC Address: Fourth floor, Kutuzoff Tower Business Center, 8, Ivana Franko st., , Moscow, Russia Telephone: +7 (495) Fax: +7 (495) info@filuet.ru 20