NNR is a member of the Nishitetsu Group, which boasts a rich history and has been widely acclaimed as a provider of high-quality products since its foundation at the beginning of the previous century in 1908, in Fukuoka, Japan.
MORE THAN 110 YEARS OF EXPANSION WITH BALANCE
NNR Global Logistics’ long-term global strategy has always been to grow and develop its current market presence whilst expanding into new emerging markets. Although perhaps not an ‘emerging market’, the Middle East has become easier to trade with in recent times, resulting in tremendous growth over the last 15-20 years.
The Middle East has a very definite style of business – as does Japan – and both are modernising at a rapid pace. Both regions are challenged by a huge generational shift in expectation, driven by access to a wider world attributed in no small way to social media.
There are many synergies between the Japanese and Middle East cultures: both have a very strong heritage and respect for tradition. This has resulted in very close relationships that have strengthened significantly over the last 10 years.
The Japanese ethos has always been to be pragmatic, meaning careful study is carried out before making long-term decisions or investment. The practice of Kaizen is often deployed to ensure that change is comfortable and consistent. These characteristics are available in abundance at NNR, especially when extending its global footprint. Aversion to risk is embedded throughout the NNR culture, (particularly in the Middle East), which has seen significant change and conflict, since travelling through its many stages of growth and development. The economies in the Middle East have gone through decades of continual growth, from times when oil prices were at their peak, to hitting recession with their collapse in 2009. While the boom and bust has seen many companies come and go, NNR’s strategy has always been to grow steadily and invest in long-term sustainability in a region; the UAE being no exception.
The UAE and Saudi Arabian government’s strategy to make themselves open to international investment, as well as diversifying their economies away from oil and gas towards renewable green energy, has paid dividends and driven more growth. Their closer alignment to global trade regulations and human rights has resulted in additional benefits, driving more external investment in many industry sectors such as aerospace, automotive, technology, renewable energy and construction. These industry sectors are at the heart of NNR’s growth strategy globally, underpinned by decades of expertise in delivering bespoke innovative supply chain solutions.
Dubai has been awarded with hosting the 2020 World Exhibition, opening in October 2020, which emphasises its success on the world stage and will bring significant opportunities and long-term investment beyond the UAE. It reinforces Dubai’s importance as the gateway to the Middle East as well as the region’s significance to the global economy. As a direct result, the region has become very important to the global supply chain of many Fortunes 500 companies with many relocating their regional headquarters to Dubai.
NNR as a whole have grown more organically rather than through large acquisitions which has, by contrast, been the preferred route for many of our competitors in order to gain market share. We have traditionally opted to work very closely with strategic long-term partners for many years, however the natural progression was to open our own NNR office in Dubai. In February 2019, NNR Middle East opened to service our global customer requirements locally as well as increase our market share globally. Dubai is a key strategic location with all the international connections by air, ocean and road to the GGC and internationally. The major carriers are utilizing Dubai as a logistical hub for both cargo and passengers. The growth in size and profile of airlines Emirates and Etihad are testament to that.
This latest investment by NNR will ensure we build a long-term platform to work more closely with our partners in the region and also develop a much stronger relationship with our customers. Having a presence in Dubai will ensure we are able to deliver global solutions with local knowledge and expertise; this is key in order to continue to add value to their supply chains as they continue to expand and grow. It is also the key to unlocking further potential throughout the Middle East and Africa.
Simon Harris, Global Sales Manager, NNR