TVS SCS Rico
 | |
| Formerly |
|
|---|---|
| Company type | Subsidiary |
| Industry | Logistics |
| Founded | 4 November 1993 |
| Founders |
|
| Headquarters | , United Kingdom |
| Parent | TVS Supply Chain Solutions (from 2012) |
| Website | ricogroup |
TVS SCS Rico, formerly Rico Logistics, is a British IT logistics and support services provider. Since 2012, it has been a subsidiary of Indian third party logistics provider TVS Supply Chain Solutions (TVS SCS), a TVS Group company.
History
[edit]The business started on 4 November 1993 under the name Ricochet Couriers, providing same-day courier services in and around Slough.[1] The business was founded by Sanj "Sam" Sharma and brothers Jagjit "Jag" and Manohar Grewal[2] with £500 working capital and a single customer, WH Smith.[3] It quickly expanded to four offices within the West London area and then commenced servicing contracts in the IT sector.[4]
Initially, emergency calls were generally serviced from one major warehouse making it difficult to reach all of the UK within four hours. Starting in 1994, Rico began expanding with additional warehouses across the UK to support two to four hour service to all major cities.[5] The majority of deliveries were parts for engineers servicing the retail, banking, and server sectors and Rico stored spare components in its warehouses on behalf of its clients to increase delivery speed. As it established this business model it began referring to its warehouses as fixed stock locations (FSL's).[6]
As part of a strategic move to expand its services, Ricochet acquired Burnham Logistics in 2002.[7] Burnham gave Ricochet the ability to offer on-site tech exchange services where Ricochet technicians would handle transport, exchange, and return. The Burnham acquisition gave Ricochet 200 peripheral technicians to carry out these services. As a complement to this offering, Ricochet added pick up and drop off (PUDO) locations to its network which meant its clients' engineers could have parts shipped to a nearby location where they could pick and return parts.[4]
In 2004, Ricochet changed its name to Rico Logistics as the company expanded its services and began servicing clients outside the UK.[7]
Rico acquired Dublin-based field service logistics and IT repair provider Tri-tec Logistics in 2008. Tri-tec had been Rico's Irish supplier prior to the acquisition and continued to operate as Tri-tec until 2010 when it was merged into Rico.[4]
Acquisition by TVS
[edit]On 28 September 2012 Indian third party logistics provider TVS Logistics Services Ltd. (TVS LSL), a TVS Group company, acquired a majority stake in Rico for ₹100 crore (£11.81 million) partly financed by KKR. Sharma, Rico's managing director, retained his stake and role in the company with TVS LSL acquiring the ownership stakes of his two partners giving them a total of 85% of the company.[8] Rico's 450 existing employees were expected to be retained. Post-acquisition, Rico was grouped with TVS LSL's existing UK operations, TVS Supply Chain Solutions (TVS SCS),[9] headquartered in Chorley, Lancashire[3] bringing TVS SCS's workforce to 2,000 employees.[10]
TVS SCS had been formed by merging TVS LSL's prior UK acquisitions: commercial automotive parts wholesaler and distributor CJ Components, acquired in 2004, and light commercial vehicle parts manufacturer Multipart Holdings, acquired in 2009.[11] TVS LSL's acquisition of Rico was intended to complement its existing businesses including its Indian operations, TVS SCS in the UK, and Mesco in the US, acquired in 2011.[12]
Post-Acquisition
[edit]On 1 November 2013, Rico acquired the domestic UK operations DHL Same Day, DHL Express' same day courier service.[13] DHL Express UK continued to operate day and time definite as well as international services in the UK.[14] DHL Same Day offered same-day courier and FSL services mostly to IT customers which complemented Rico's existing business.[15] The transition of DHL Same Day's operations into Rico's was completed on 28 February 2014.[4]
Rico acquired a majority stake in British air cargo and same-day delivery company Circle Express on 18 January 2016. Circle was one of the largest independent couriers offering UK airfreight forwarding services operating 300 vehicles from 8 depots near UK airports and one cross dock facility. At the time, Rico was operating 1,400 vehicles from 48 depots.[16] The addition of Circle was especially significant for Rico's hazardous material handling capabilities since Circle was the only UK operator licensed for transportation of all classes of hazardous material and operated its own hazardous materials handling training facility.[17]
In its first major expansion outside of Europe, Rico began offering services in India and Australia in 2016. The same year, it began offering break fix and desk side technical support services.[4]
In 2017, Rico rebranded itself to TVS SCS Rico.[6] Later that year, it acquired a majority stake in British hardware support provider SPC International from Beringea. SPC had operations in the UK, Europe, the US, and India.[18]
Operations
[edit]Rico splits its operations into three divisions:[19]
- Same Day Courier: Operating in the UK as a same day courier and in the rest of Europe with contract services.
- Technology Logistics Services: Provides IT support and management services in the UK and Europe.
- Spare Parts Logistics: Provides supply chain support and spare parts transportation and storage for IT vendors and support providers in Europe and India.
References
[edit]- ^ "Rico Logistics Ltd". DueDil. Archived from the original on 2 April 2015. Retrieved 29 August 2014.
- ^ "2010 The Sunday Times HSBC International Track 100: Rank 24 Rico Logistics". Sunday Times Fast Track. Archived from the original on 2 April 2015. Retrieved 29 August 2014.
- ^ a b "TVS Logistics acquires Rico Logistics in UK". Sagar Sandesh. 22 February 2013. Archived from the original on 3 March 2016. Retrieved 9 March 2015.
- ^ a b c d e "History of Rico Logistics". Rico Group. Archived from the original on 24 November 2020. Retrieved 18 February 2022.
- ^ "My best business decision: Sam Sharma". Growth Business. 6 June 2008. Archived from the original on 26 December 2015. Retrieved 9 March 2015.
- ^ a b Allen, Julian; Piecyk, Maja; Piotrowska, Marzena (November 2018). An Analysis of the Same-Day Delivery Market and Operations in the UK (PDF) (Report). University of Westminster. Archived (PDF) from the original on 18 February 2022. Retrieved 18 February 2022.
- ^ a b "Parts delivery: From courier to logistics contender". Fulfillment & E-logistics (Summer 2008 ed.). 2008. Archived from the original on 20 November 2008. Retrieved 29 August 2014.
- ^ Sushma, U N (21 February 2013). "TVS Logistics acquires UK-based Rico Logistics". Times of India. Archived from the original on 6 January 2016. Retrieved 18 February 2022.
- ^ "TVS Logistics announces acquisition of UK based Rico Logistics". TVS Logistics Services (Press release). 21 February 2013. Archived from the original on 26 June 2015. Retrieved 29 August 2014.
- ^ "TVS Logistics buys U.K. firm". The Hindu. 22 February 2013. Archived from the original on 28 March 2013. Retrieved 9 March 2015.
- ^ Narasimhan, T. E. (6 March 2013). "TVS Logistics breaks its traditional shackles". Business Standard. Archived from the original on 5 March 2016. Retrieved 18 February 2022.
- ^ Simhan, T. E. Raja (3 July 2013). "We will never acquire a loss-making company, says TVS Logistics MD". Hindu Business Line. Archived from the original on 7 July 2013. Retrieved 9 March 2015.
- ^ "Rico completes seamless transition of DHL Same Day". Post & Parcel. 11 November 2013. Archived from the original on 22 July 2014. Retrieved 29 August 2014.
- ^ "DHL sells same-day business". Royal Mail. 10 October 2013. Archived from the original on 4 March 2016. Retrieved 9 March 2015.
- ^ Wight, Ashleigh (7 November 2013). "Rico Logistics "excited" after completing DHL Express same-day acquisition". Motor Transport. Archived from the original on 18 May 2021. Retrieved 18 February 2022.
- ^ Cassidy, William B. (25 January 2016). "Rico buys Circle Express, strengthens UK same-day network". JOC. Archived from the original on 18 February 2022. Retrieved 18 February 2022.
- ^ "Rico Logistics purchases Circle Express". Air Cargo World. 27 January 2016. Archived from the original on 18 February 2022. Retrieved 18 February 2022.
- ^ Thakkar, Ketan (2 March 2017). "TVS Logistics picks up 60% stake UK-based SPC International". Economic Times. Archived from the original on 18 February 2022. Retrieved 18 February 2022.
- ^ "About Rico Logistics". Rico Group. Archived from the original on 25 November 2020. Retrieved 18 February 2022.
