The largest investment in logistics automation in the history of Poczta Polska. Over PLN 200 million for three state-of-the-art parcel sorters.

The largest investment in logistics automation in the history of Poczta Polska. Over PLN 200 million for three state-of-the-art parcel sorters.

sortersOn August 30th of this year, Poczta Polska signed an agreement to purchase three sorters for automatic sorting of CEP (courier, express, and parcel) shipments, for a total amount of approximately PLN 158 million. This is the largest single investment in logistics process automation since the beginning of Poczta Polska's history. Together with accompanying investments, the company will allocate over PLN 200 million for this project. Over the next three years, the company will spend PLN 1.2 billion on logistics development and computerization, of which approximately PLN 400 million this year alone.    

In line with its strategy, Poczta Polska plans to increase its share in the CEP market (courier, express, and parcel shipments), aligning with the growing e-commerce trend. One of the company's key areas of development is investment in automated machinery. The Polish market remains highly promising. The number of online transactions is growing, as is the number of online stores. Analysis conducted by PwC indicates that the Polish e-commerce market will reach a gross value of PLN 162 billion within the next five years, maintaining a double-digit annual growth rate.*

"The development of Poczta Polska will benefit not only the company but, above all, Polish citizens and businesses. To compete effectively in the competitive courier market, Poczta Polska must invest in technological solutions that will secure the company's leadership position in this market in the near future, allowing it to actively support the development of Polish e-commerce," says Andrzej Śliwka, Undersecretary of State at the Ministry of State Assets. "The investment in the most modern machinery in the country clearly demonstrates that Poczta Polska is consistently implementing the development strategy adopted and announced in February of this year," emphasizes Andrzej Śliwka.

On August 30, 2021, the company signed an agreement with BEUMER Group Poland sp. z o. o. for the purchase and installation of three fully automated, state-of-the-art sorters, which will subsequently power sorting plants in Wrocław (as early as 2022), as well as in Lisi Ogon near Bydgoszcz and Lublin (in 2023). This company submitted the most advantageous offer in the public procurement procedure conducted by Poczta Polska.

"Poczta Polska is making the largest investment in its history in the automation of logistics processes. This and subsequent investment expenditures, implemented over the next three years, are essential for the company's stable development. The level of investment in relation to revenue will exceed the current average for other postal operators, reaching approximately 5.8% in 2021-2023. This will also exceed the expenditures incurred by Poczta Polska to date. In 2019, it was only 1.2%, while in 2020 it was already 3.4%, demonstrating the strategic acceleration of Poczta Polska," says Tomasz Zdzikot, CEO of Poczta Polska. "The core of our operations is ensuring the highest quality of logistics services, which will directly translate into increased customer satisfaction and the acquisition of new customers. The investment in sorting machines is one of the major investments we are launching this year," emphasizes Tomasz Zdzikot.

The sorters purchased by Poczta Polska (Polish Post) will be the most modern, fully automated mail processing machines in Poland. It's worth noting that only a few European post offices offer this type of solution. The technology used allows for automatic reading not only of standardized address labels but also of international shipments, which often have non-standard address data. These are tailor-made devices, adapted to the company's operational needs and the size of individual sorting facilities. The innovative solutions implemented in them will allow for universal use and the handling of various shipment sizes. The IT component is an integral part of this investment, including systems for automating the code reading process and integration with other Poczta Polska IT systems, including the shipment tracking system.

"By automating logistics processes, Poczta Polska will provide customers with the expected quality standards. This year, we will change our transport network to ensure courier shipments are delivered the day after they are posted (D+1). We will also offer new, attractive Pocztex courier services and expand Poland's largest network of collection points with several thousand parcel machines. In this way, we are responding to growing customer expectations and the rapid growth of the e-commerce sector. We want Poczta Polska to be a leader in the CEP market," says Andrzej Bodziony, Vice President of Poczta Polska.

The first machine will be commissioned in 2022 at the Wrocław sorting facility, which handles incoming and outgoing shipments within Lower Silesia. The sorter will sort parcels down to drop-off points and delivery areas using 190 chutes. In 2023, additional new sorters will begin operation at the Lisi Ogon sorting facility near Bydgoszcz (responsible for the Kuyavian-Pomeranian Voivodeship) and the Lublin sorting facility (processing shipments from the eastern part of the country, as well as parcels transported by rail from China to Poland). The Lisi Ogon sorter will sort parcels into 159 chutes. The machine planned for the Lublin logistics center will have 178 chutes. It's worth noting that these sorters will also support other areas (regions) where shipments are sorted manually. The new machines will process not only KEP shipments from within its own concentration area but will also support other logistics units of Poczta Polska. The new equipment will be integrated with the parcel tracking system. With this support, the company will expand the scope of courier shipment services and improve their quality.

The national operator faces several challenges in the near future. Currently, over 70% of the company's revenue comes from services considered stagnant, while nearly 30% are services classified as promising segments. Poczta Polska wants to reverse these proportions over the next five years, planning to increase the share of promising segments to approximately 50%, hence the need for new investments.

Over the next three years, the company will spend PLN 1.2 billion, including approximately PLN 400 million this year alone. Investments will be financed from internal funds, loans, and leasing. The lion's share of the funds will be allocated to logistics and digitalization.