Manheim was established more than 60 years ago as a wholesale vehicle auction operation. Today, with 32,000 employees in 131 locations worldwide and 2008 revenue of $3.6 billion, Manheim is the global leader in vehicle remarketing services. The company brings together qualified sellers and volume buyers of used vehicles that include automotive dealerships, banks, car rental agencies, car manufacturers and government agencies.

A subsidiary of Atlanta-based Cox Enterprises Inc., Manheim has 77 operating locations in the United States. Historically, each of these locations operated independently and was responsible for its own transportation. Manheim has now selected UPS’s Automotive Industry Solutions Group to oversee its entire supply chain for moving more than two million vehicles a year to the wholesale market.

“We provide both physical and online auto auctions to the wholesale automotive  industry, as well as a variety of ancillary services including reconditioning,” said Manheim senior director Brett Franklin. “Cost effective and timely transportation has always been a challenge for our customers. Recognising this, we pursued a relationship with UPS, which is certainly recognised as the leading logistics provider, and which can use its expertise to provide these benefits to our customers.”

The new contract is for ten years, a very substantial period in today’s automotive world. “Both companies were willing to show their commitment to making this alliance work,” said Franklin. “It is a long term solution and it will take up to two years to roll out completely. The benefits of the relationship will continue to grow the longer the relationship lasts.”

“We are entering into this, both from our side and from Manheim’s, with a partnership mentality, and we are very comfortable and excited about that,” commented Paul Hargedon, general manager, UPS Automotive Industry Solutions Group.