C.H. Robinson Worldwide, Inc. is an American transportation company that includes third-party logistics (3PL). The company offers freight transportation, transportation management, brokerage and warehousing. It offers truckload, less than truckload, air freight, intermodal, and ocean transportation.[3]
C.H. Robinson provides services including freight brokerage, transportation management, supply chain analysis, freight consolidation, core carrier program management, and information reporting, and works with a large network of contract carriers across multiple transportation modes.[5][6]
History
Origins and early history
In the early 1900s, Charles Henry Robinson owned a small wholesale brokerage house that provided produce throughout North Dakota and Minnesota.[7] He partnered with the Nash brothers on April 11, 1905, and became the company’s first president.[8]Nash Finch Company was the leading wholesaler in the region, owning and operating grocery stores.[9][10] Following Charles Henry Robinson’s death in 1909, the Nash Brothers assumed control of the C.H. Robinson Company.[11]
C.H. Robinson became the procurement arm for the Nash Finch Company as it expanded in Iowa, Minnesota, Wisconsin, Illinois, and Texas.[citation needed] In the 1940s, the FTC found Nash Finch Company to have a "price advantage," and under the Robinson-Patman Act of 1936, C.H. Robinson Co. was split into two companies.[citation needed]
The first, C.H. Robinson Co., was formed by the offices that sold produce to Nash Finch’s warehouses, and ownership was retained by C.H. Robinson employees. The second company, C.H. Robinson, Inc., remained owned by Nash Finch.[9][8]
Expansion into logistics and trucking
C.H. Robinson’s entrance into the trucking business came after the Federal Highway Act of 1956 and expanded U.S. interstate commerce.[12] C.H. Robinson and other shippers had previously relied on trains to transport goods.[citation needed] In 1968, the firm entered the regulated truck business as a contract carrier named Meat Packers Express based in Omaha, Nebraska.[9] Robco Transportation Inc. was formed by merging Meat Packers Express with additional carriers three years later and was sold in 1986.[8][7]
In the mid-1960s, C.H. Robinson Co. and C.H. Robinson, Inc., consolidated their operations under the name C.H. Robinson Co. Nash Finch still held a 25% stake in the brokerage company, with C.H. Robinson employees owning the remainder.[citation needed] By 1976, the Nash Finch shares had been bought out and the company was 100% employee owned. C.H. Robinson focused on using emerging technology, and adopted IBM mainframes in 1979.[8]
The Motor Carrier Act of 1980 deregulated transportation industries in America and increased competition for logistics providers and shippers.[12][7] C.H. Robinson created a contract carrier program, expanded its freight contract operations, and established itself as a middleman sourcing operation for shippable goods.[citation needed]
The company’s average annual growth, measured in truckloads, more than doubled and C.H. Robinson posted more than $700 million in sale within five years. Forty per cent was generated by truck brokerage, with the remainder of revenue coming from produce sales.[9][8]
Renaming and IPO
The company renamed itself C.H. Robinson Worldwide, Inc., in 1997 and had an IPO that raised $190 million for the 101 employees who sold their shares.[9] The initial market value totaled $743 million, and the firm began trading on NASDAQ under the symbol CHRW.[13] Gross revenues for 1997 reached $1.79 billion, while net revenues amounted to $206 million, a 15.1% increase over the previous year.[9][8] In January 2023, Bob Biesterfeld stepped down as president and CEO; the company announced Scott Anderson as interim CEO.[14]
On June 6, 2023, C.H. Robinson Worldwide, Inc. announced that its board of directors had appointed Dave Bozeman as chief executive officer and member of the board, effective June 26, 2023.[15]
Outreach
The company’s work with nonprofits and other charity and community causes has been acknowledged, including selection as a finalist for the Minnesota Business Magazine 2015 Long-Term Achievement Award for “demonstrating a long-term commitment to positively impacting the state’s community of nonprofits or other worthy causes.”[16]
Adoption of Artificial Intelligence
In recent years, independent reporting and industry analysis have described the company’s increased use of data analytics and artificial intelligence to support supply chain visibility, pricing, automation, and operational decision-making. Coverage by the Star Tribune has examined how AI is influencing C.H. Robinson’s operations and leadership strategy within the logistics industry[17], while FreightWaves has reported on the company’s use of AI-enabled tools to assist with freight pricing, shipment execution, and workflow automation.[18] The Wall Street Journal has also reported on the company’s use of machine learning and generative AI to automate routine logistics processes during a prolonged freight market downturn.[19]
Additional coverage in Yahoo Finance has cited C.H. Robinson as an example of how artificial intelligence is being adopted across industrial and logistics companies,[20] while industry analysts at Gartner have identified the company as a participant in the market for real-time transportation visibility and logistics technology platforms.[21] Financial publications such as Barron’s have also discussed the company’s AI initiatives in the context of broader operational and market trends in the logistics sector.[22]
Acquisitions
Beginning in 1989, C.H. Robinson began expanding its international logistics operations with the opening of its Monterrey, Mexico office.[11] It acquired C.S. Greene International in 1992 to add international freight forwarding, air freight operations, and refrigerated containers.[citation needed] In 1993, C.H. Robinson bought a 30% stake in Transeco, a major French motor carrier, and eventually bought the entire company.[23] C.H. Robinson added to its operations by purchasing companies including Daystar International, a distributor of fruit juice, and FoodSource. It also became an exclusive marketer for Tropicana, Motts, Glory and Welch’s.
The company continued expanding its logistics services by purchasing regional logistics firms like the Chicago-based American Backhaulers, Inc. for $136 million in 1999, and acquired the Minnesota-based Trans-Consolidated Inc.[9][8]
At the end of the 1990s, the company began making acquisitions to expand its shipping and logistics services in international markets. These acquisitions included: Preferred Translocation Systems; the Argentina-based Comexter Group; the Western European transportation provider Norminter; New York-based Vertex Transportation Inc.; Smith Terminal International Services, one of the largest third-party logistics providers in Florida; the Germany-based international freight logistics provider Frank M. Viet GmbH Internationale Spedition; Dalian Decheng Shipping Agency Co.; FoodSource Procurement LLC; Apreo Logistics S.A.; and other major European, Indian, Chinese, and North American logistics providers.[9][24][25][8][26][27][28][29]
In 2012, C.H Robinson purchased Phoenix International for $635 million and doubled its ocean freight capacity.[24][30] The company also acquired the Polish shipping firm Apreo Logisitics S.A., which provides trucking, air, and ocean shipping services throughout Europe.[29]
The company launched a technology-enabled platform called Navisphere in 2012. The service provides facilities to C.H. Robinson employees, customers, and service providers to manage supply chain logistics, transportation, and sourcing activities on a global scale.[31][32]
TMC, a division of C.H. Robinson,[33] provides support for C.H. Robinson’s network through its Managed TMS, a combination of global transportation management system (TMS) software, and logistics management.[34]
In 2015, the company connected its shipping and logistics services to expand into less-than-truckload markets; it acquired the company Freightquote, a privately owned online transportation broker.[29][35]
C.H. Robinson acquired Prime Distribution Services on January 28, 2020, for $225 million.[36] This purchase moved the company into warehouse management[37] with a total of 2.6 million square feet of warehouse space.[38]
12345678Jay Pederson; Jay P.; Catherine Meyrat (2011). Drew Johnson (ed.). "C.H. Robinson Worldwide Inc". International Directory of Company Histories. 116. Detroit: St. James Press: 87–91.
12Lynn M. Pearce, ed. (2011) [1921–1925]. SIC 4731: Arrangement of Transportation of Freight and Cargo. Vol.2: Agriculture, Mining, Construction, Wholesale, & Retail Industries (6ed.). Encyclopedia of American Industries.
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US$17.7 billion (2024)
