Transportation services accounted for approximately 88 percent of our gross profits in 2008 and 2007 and 87 percent in 2006.
Sourcing
Throughout our 103-year history, we have been in the business of sourcing fresh produce. Much of our logistics expertise can be traced to our significant experience in handling perishable commodities. Because of its perishable nature, produce must be rapidly packaged, carefully transported within tight timetables usually in temperature controlled equipment, and quickly distributed to replenish high-turnover inventories maintained by retailers, wholesalers, foodservice companies, and restaurants. In many instances, we consolidate individual customers produce orders into truckload quantities at the point of origin and arrange for transportation of the truckloads, often to multiple destinations.
For several years, we have actively sought to expand our Sourcing customer base by focusing on large multistore grocery retailers, restaurant chains, and foodservice providers. Historically, grocery retailers have relied primarily on regional or even local purchases from food wholesalers for produce sourcing and store-level distribution. As these retailers have expanded through store openings and industry consolidation, these methods have become inefficient. Our logistics and perishable commodities sourcing expertise can improve the retailers produce purchasing, and provide consistent quality across regions and stores.
Our Sourcing services have expanded to include just-in-time replenishment, commodity management and business analysis. We have various national and regional branded produce programs, including both proprietary brands (The Fresh 1®, Freshn Easy®, Our World® Organics, Tropic Sweet®, Tomorrows® Organics, and Kensington Farms®) and licensed brands (Motts®, Tropicana®, Welchs®, and Bambino®). These programs contain a wide variety of fresh bulk and value added fruits and vegetables that are high in quality. These brands have expanded our market presence and relationships with many of our retail customers. We have also instituted quality assurance and monitoring programs as part of our branded and preferred supplier programs.
Sourcing accounted for approximately eight percent of our gross profits in 2008 and 2007 and nine percent in 2006.
Information Services
Information Services is comprised of a subsidiary of C.H. Robinson, T-Chek Systems, Inc. T-Cheks customers are primarily motor carriers and truck stop chains. T-Chek provides its motor carrier customers with fuel management services, funds transfer, fuel and use tax reporting, driver payroll services, permits, and online access to custom-tailored information management reports, all through the use of its proprietary automated systems. These systems enable motor carriers to track equipment, manage fleets, and dictate where and when their drivers purchase fuel. For several companies and truck stop chains, T-Chek captures sales and fuel cost data, provides management information to the seller, and invoices the carrier for fuel, cash advances, and our fee.
Information Services accounted for approximately four percent of our gross profits in 2008, 2007, and 2006.
Organization
To keep us close to our customers and markets, we operate through a network of offices, which we call branches. We currently have 228 branches, up from 218 in 2007. Our branches are supported by executives and other centralized, shared services. Approximately ten percent of our employees are corporate employees who provide these centralized, shared services. Over one-third of these corporate employees are information technology personnel who develop and maintain our proprietary operating system software and our wide area network.
Branch Network
We currently have branches in the following areas of the world:
| Region | Number of Branches |
||
|---|---|---|---|
| North America | 177 | ||
| Europe | 28 | ||
| Asia | 18 | ||
| South America | 4 | ||
| Middle East | 1 | ||