Toll Global Forwarding on a roll
If you asked anyone outside of Australia or New Zealand a few years ago, chances are they would not have heard of Toll. But the company that had a rather low-key start back in 1888 supplying the mining community in the northwest of Australia, has in only a few short years become – via over half a dozen key acquisitions – a global player in the logistics and freight forwarding industry.
August 1, 2011
By Donald Urquhart
With rapid growth taking the company from a an A$27 million (US$28.7 million) company in 1990 to a $10 billion company by 2006, its potential for growth in the Australian market was nearing its limit. Things changed dramatically for the home-grown company when the Australian competition authorities ruled its business was anti-competitive. The result saw the organisation splitting into two, with ports, stevedoring and its rail freight business being hived off. This development was in reality probably the best thing that could have happened for Toll as it set it on a new path that focused on its international business.
“This then left Toll in a position with a lot of cash on the balance sheet, a healthy profitable organisation but reasonably restricted in terms of further aggressive growth in the Australia/New Zealand market,” says Paul Coutts, group products marketing and sales director, Toll Global Forwarding.
This forced a rethink of the group’s strategy which under the leadership of CEO Paul Little who seeing the continual development of the supply chain coming from origin in China coming into Australia and Asia in general decided he would make the leap into Asia. The decision was made to create the infrastructure in Asia which would then ensure Toll would be further up the supply chain and more easily able to control the origin, as well as the destination for its customers.