Connected by tracks – Cooperation builds competitiveness

When Eljas Koistinen, SVP Logistics at VR, talks about the partnership, a practical approach is evident.

“Our cooperation with KWH Logistics is both extensive and close-knit. We serve the same customers, and together we develop solutions that make the whole transport chain more efficient, and above all, safer. This is our number one common theme,” Koistinen says.

There are many common interfaces: ports, terminals, machine services and freight forwarding.

“We complement each other in different areas. Cooperation with some KWH Logistics companies, such as Rauanheimo and Adolf Lahti, is particularly close. However, at the heart of it all is always the same goal: to find the best solutions for customers.”

Rail transport keeps Finland on the move

Railways are the lifeblood of Finland’s exports and imports.

“In Finland, rail transport accounts for more than 23 percent of logistics, compared to an EU average of around 12 percent. Railways are particularly important for the transport of industrial raw materials and export products. Ports are an important link and meeting point in this chain,” says Koistinen.

The advantages of rail transport include high transport volumes, energy efficiency and low emissions.

“Currently, 86 percent of VR’s freight traffic runs on fossil-free electricity without emissions. Safety and security are also excellent in Finland. The combination of environmental considerations, security of supply and efficiency will only increase the importance of rail transport in the future.”

According to Koistinen, no single mode of transport alone can solve the challenges of logistics.

“From the customer’s point of view, the most important thing is the big picture: a functioning chain in which different modes of transport complement each other. Partnership and cooperation play a key role in this respect.”

Technology and the green transition lead the way

Rail transport is evolving and changing all the time. Digitalisation, automation and the green transition are driving developments.

“Environmental responsibility is an important driver that challenges us to innovate. At the same time, the use of data is increasing, allowing us to plan and manage traffic more efficiently,” Koistinen says.

VR is currently developing new systems and AI-based solutions to manage complex transport chains and anticipate disruptions.

“We are piloting an AI-based system in our transport management system to support real-time situational awareness. With integrated infrastructure, data and business models, real added value is created for the customer.”

Joint development is crucial in this, too.

“Together with KWH Logistics, we have done a lot of work on how to strengthen the competitiveness of rail transport. Looking at the whole chain together, we find solutions that serve all of Finnish industry.”

“Together with KWH Logistics, we have done a lot of work on how to strengthen the competitiveness of rail transport. Looking at the whole chain together, we find solutions that serve all of Finnish industry.”

Common direction, sustainable logistics

Koistinen sees many opportunities to deepen cooperation further in the future.

“We are in an excellent position. Together, we can develop new innovative solutions that are not yet widely available on the market. For example, intermodal transport, where different modes of transport are seamlessly combined, offers a lot of potential.”

Safety and security of supply will remain at the heart of our efforts.

“Close cooperation improves responsiveness and increases resilience. The world is changing fast, and that requires us to be flexible and able to work together. In this way, we are building future-proof logistics, which will also create sustainable competitiveness for Finnish industry.”

According to Koistinen, the future of rail transport looks bright, and cooperation is its driving force.

“The more we work together, the better we serve the customer. We need partners, and KWH Logistics is an excellent partner for us.”