DHL is a logistics service providing German multinational company. Rober Lyn, Larry Hillblom, and Adrian Dalsey founded the logistics company in 1969. Today, we’ll discuss the supply chain analysis of DHL; it focuses on various SCM elements like transportation, inventory management, warehousing, automation, integrated processes, green logistics, and distribution.
Supply Chain Analysis of DHL
Let’s discuss the main elements of the supply chain analysis of DHL are as follows;
Transportation
DHL provides businesses and companies with a high level of reliability, service, and complete transparency over the movement of products and goods. It decreases the transportation cost at the same time. However, the transportation team of the company develops an integrated system, resources, and carriers to satisfy the needs and requirements of the company. It comprises of following;
- Outbound transport operations
- Inbound transport operations
- Managing transport and brokerage processes
Warehousing & Inventory
DHL amplifies inventory efficiency and the responses relevant to the changing customer’s needs and requirements. The logistics professional team of the company implements flexible warehousing and distribution operations relevant to the business needs and requirements. However, it evaluates various processes in the supply chain network to offer the optimum solution to the clients.
Integrated Processes
The integrated processes of DHL provide flexibility, efficiency, and cost benefits to the entire supply chain network. It combines three main services warehousing, transportation, and management services together, and offers a complete and optimal package to the customers and clients. However, it simplifies various supply chain operations and processes and makes their client businesses efficient and stronger.
- Fulfillment
- Envirosolutions
- Indirect material management
- Service logistics
- Inbound to production and manufacturing
- Lead logistics partners
Outsourcing Management
DHL collaborates and partners up with various 3rdparty logistics service providers for outsourcing various orders and deliveries. It boosts the morale and confidence level of employees and workers that the industry experts and professionals would manage various outsourcing operations. However, The management and consultation services comprise of warehousing and transportation management services as add-ons. Whatever services DHL is outsourcing, the best strategic approaches and global strengths would benefit the business.
- Business support center
- Recall services
- Procurement services
- Logistics consultation
Labor Management
According to an estimate, approximately 50% to 60% of the distribution cost is comprised of labor. The labor management solution allows the company to manage various costs and expenses and improve human capital capabilities. The strategic approach of the logistics brand is to integrate performance recognition, operational strategies, engineered productivity, and labor management technology.
IT Management
Whether the client companies need a new solution or integrating into the current system; DHL performs designing and executes the global IT and project management solutions relevant to the needs and requirements of the company. They provide cost-efficient, top-quality, and consistent services to the supply chain network. The company has the professional experience and expertise to coordinate with various systems and processes like Manhattan, SAP, Red Prairie, and Oracle. It allows the company to comprehend and optimize various IT systems and processes when they enter the market.
Business Continuity Management
Various crisis events could jeopardize the supply chain operations and processes like natural disasters, political crises, and other devastating events. Business continuity management strategic approach helps businesses and companies to develop a well-optimized, flexible, and robust system. If you could recognize various risk factors in the supply chain network and take precautionary measures to avoid them, then you should make sure to have a contingency plan to manage any type of unexpected risky events.
Distribution Centers
Every warehouse and distribution center of DHL highlights the real-estate management concern. Efficient real estate management helps the brand to smoothly perform various operations and financial budgets. However, it doesn’t matter where your market and warehouses are, DHL provides the centralized and single-sourced comprehensive solution to reduce the cost, efficiently perform various supply chain processes, and reduce the cost.
Global Network
DHL has a very large global market network and experience in developing countries and markets. It helps the company to tap into various growth opportunities and reduce operational costs across the supply chain network and processes. According to an estimate, the logistics service-providing brand is operating its business in over 220 countries with strong financial strength, which helps the company to manage any type of disruptions.
Green Logistics
In order to keep up with the growing environmental sustainability trends, the green logistics initiative of DHL helps the company to decrease its carbon footprint. DHL is the first brand in the logistics industry to set carbon efficiency targets and introduce the GoGreen project to reduce the carbon impact on the environment.
Conclusion: DHL Supply Chain Analysis | DHL Supply Chain Management
After an in-depth study of the supply chain analysis of DHL; we have realized that DHL is the world’s leading logistics service-providing brand. If you are learning about the DHL supply chain analysis; then you should keep in mind the abovementioned SCM elements; procurement, planning, transportation, automation, inventory management, and sortation.
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