Hitachi Energy Uses Xeneta Data to Balance Market Position and Schedule Reliability
Prior to the use of market intelligence, Hitachi Energy saw the need for accurate market insights to back its decision-making process. Due to the sheer complexity and volatility of the market, the team at Hitachi Energy was lacking visibility into how both short and long-term rates were developing. Gaining an overview of how the market is trending, along with an understanding of how their rates compare to the market has been pivotal.
Partnering With Xeneta
Since partnering with Xeneta in 2021, Hitachi Energy has experienced a competitive advantage in the market- both in terms of rates and strategy. They view their suppliers as partners, someone they can compromise with to overcome market disruptions, shipping 15,000 TEU annually.
“We are willing to pay a bit more to receive reliable service, which has put us in a better position towards our customers,” said Steffen Blumhofer, Head of Transport and Logistics Sourcing for Hitachi Energy.
Initially, price was the main factor in selecting their suppliers, especially pre-Covid when most suppliers delivered more reliable service levels. However, the market has evolved, driving Hitachi Energy to place higher importance on service levels, quality, and schedule reliability. While price remains a significant aspect of consideration, today the team at Hitachi is willing to compromise or pay a premium to secure reliable service.
Utilizing Xeneta's market insights has allowed Hitatchi Energy to optimize their supplier selection, which in turn has strengthened their supplier relationships.
Hitachi leverages Xeneta data to benchmark global RFQ rates, which gives the team a comprehensive understanding of their market position. This data is instrumental in demonstrating internal value and guiding strategic decisions.
Xeneta serves as a central database for Hitachi's sales and marketing teams, enabling cost projections for various activities. By providing a quarterly outlook for up to three years, based on Xeneta's trend analysis, Hitachi gains insights into market trends and their impact on decision-making processes across different trade lanes.
Hitachi assess the validity of contracts with Xeneta's market data. This insight allows them to shift from traditional 12-month contracts to more agile 6-month and 9-month contracts, enhancing adaptability in response to market dynamics.
Xeneta serves as a performance indicator, helping them gauge whether they are below or above market rates. The visibility gained from Xeneta often places them below market rates, reinforcing the value and success of their team internally.
Beyond the Platform
In addition to the market insights provided by Xeneta, Hitachi values the customer-exclusive events they receive access to, such as Xeneta's roundtable discussions and monthly market webinars. These forums provide a community-like space for open and candid discussions, allowing Hitachi to connect with their industry peers and gain valuable perspectives outside of the platform.
About HITACHI ENERGY
Since joining Xeneta in 2021, Hitachi Energy has remained an industry leader in providing energy solutions to customers. Xeneta data has enabled Hitachi to deliver customer satisfaction, cost efficiency and business alignment.
Hitachi Energy Ltd is a global technology company headquartered providing sustainable energy solutions to buildings, utilities, industries, and infrastructure sectors. The company’s portfolio includes high-voltage equipment, transformers, grid integration and grid automation technologies, and services for renewable energy sectors — shipping 15,000 TEU annually.