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DHL Operations Management 201

Introduction to Company
DHL stands for Dalsey, 'Hillblom' and 'Lynn'
Founded in 1969
Head quarters Germany, Bonn
Logistics business
In more than 220 countries
Worlds largest express company
Up to 500,000 employees
CEO Frank Appel

1969 On 25 September, Dalsey, Hillblom and Lynn incorporated DHL.
Door-to-door express delivery service
Documents were transported only between San Francisco, and California
They simultaneously invented the international air express industry.


We want to simplify the lives of our customers and We make our customers, employees and
investors more successful and this will be continued

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DHL Operations Management 201

We make a positive contribution to the world and we always demonstrate respect when achieving
our results


Services offered at DHL are categorized as
DHL Express
DHL Solutions
DHL Global Forwarding

DHL Express
DHL Express service encompasses domestic, international, logistics, and prepaid services . The
advantage of prepaid services is that you can enjoy all-inclusive flat-rate prepaid pricing, free
pickup and a guaranteed delivery by 12 pm of the next business day. And DHL Express is the
leading global provider of international road-, air- and rail-based courier and express services for
business and private customers

DHL Global Forwarding

It provides a wide range of freight solutions irrespective of weight or dimension. This division
includes international air and ocean freight as well as European overland transportation services.
And It offers customized solutions for major logistics projects and comprehensive customs

DHL solutions
The services offered under DHL solutions include supply chain management, warehousing, value
added services like quality control, reverse and return logistics, outbound fulfillment,
distribution, and outsourcing. The brand indeed offers a wide range of services to cater to needs
and requirements.
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DHL Global Mail
A fast cost-effective way to send mail nationwide with DHL GLOBAL MAIL BUSINESS,
theres no need to run to the post office. On an international level, DHL Global Mail provides
mail and communication services with direct connections to more than 200 countries around the
world as well as offering integrated solutions for corporate communications.

Technology Support
Wireless sensors and internet technologies
Active & Passive cooling packaging options
Exchanging real time information
Radio Frequency Identification Devices (RFID)
Automated Identification and traceability from origin to final destination
Round the clock, real-time visibility into shipments and inventory in motion
Temperature logging as it moves thru the Supply chain using active RFID

Temperature Control Range

Controlled Ambiant: 15 25 dgres Drug Transportation API, Formulations, IPs etc
Chilled Range: 2 8 degrees Drug Transpiration NCEs, IPs, Pharma products
Frozen Temperature: -80 to -20 degrees (dry ice) Biological samples
Cryo Temperature (Liquid Nitrogen): -180 degrees Cord Blood Transportation, Storage etc.

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DHL Supply Chain offers customized logistics solutions for your entire supply chain. Complete
perspective from manufacturer/supplier to retailer to consumer enables you to achieve
operational excellence at every stage.
Services range from consulting and design, to management and execution.
DHL Supply Chain has two main businesses: its contract logistics business includes groundbased supply chain management services such as warehousing and distribution assembly,
and just-in-time services. Its freight management business includes airfreight and ocean freight
forwarding customs brokerage and multimodal services.

Supply Chain Analysis & Design

Many customers come to DHL with a business problem, and not necessarily one in their supply
chain. Through supply chain consulting and network design studies, we help you with the big
picture; what's working and what can be optimized for improved operational efficiency and
better customer service.

Lead Logistics Provider

At DHL, being Lead Logistics Provider (LLP) means instigating and managing change across
your entire supply chain, to meet changing business and customer demands. We do this by
bringing continuous improvement and cost reduction, introducing lean logistics processes and
optimizing logistics networks.
DHL Enviro solutions provide a range of solutions, including:
Waste Management: Global solutions to collect and recycle your waste streams, aiming to
convert cost into revenue streams and support your zero waste targets
Extended Producer Responsibility: Data collection, physical recycling, and provision of
evidence to meet complex legislative requirements, allowing you to focus on your core business
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Lead Environmental Partner: Our consultancy and support programmers extend across your
entire supply chain, from employee engagement to comprehensive network design, to help you
meet your environmental objectives.

Procurement Services
DHL's procurement specialists can deliver substantial cost savings on a wide range of non-core
products; everything from promotional materials and consumables, to work wear, operational
spare parts and other goods not-for-resale. By leveraging DHL's global reach and supply chain
expertise, we can effectively manage the risks associated with global sourcing.

Raw Materials Warehousing

Whatever your industry sector, DHL provides raw materials warehousing services to streamline
the flow of raw materials into your production facility. By understanding your production
processes and anticipating your business and logistics needs, you can rely on the knowledge and
expertise of DHLs people to work with you to provide robust solutions that will drive value for
your business.

DHL's raw materials warehousing services complement our materials

transport solutions, and include:


Sorting, combining and consolidation



Inventory management and optimization

Pick, pack and dispatch

In-plant logistics - replenishment (just-in-time and kanban)

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Customs brokerage and declarations

Quality control/QC testing

Vendor hubs

Inbound to Manufacturing (I2M)

DHL ensures the right components are delivered to the right manufacturing point at the right
time. Our solutions provide complete end-to-end logistics management of inventories, facilities,
and labor associated with the inbound flow of materials.

Our inbound to manufacturing services include:

Network, transportation and facility design

Supplier management

Transport and freight management

Customs brokerage

Supplier parks

Inventory optimization

Vendor managed inventory










materials/components to manufacturing.

Finished Goods Warehousing

Designing and operating a customized warehouse that delivers bottom-line benefits is at the heart
of all our solutions. By outsourcing your fulfillment to DHL, you can make your people more
productive, your organization more efficient, and your business more competitive. Our focus on
operational excellence means you get consistent quality across your fulfillment operations.
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Our finished goods warehouse services include:

Warehouse/distribution centre design and consultancy

Shared-user and dedicated operations

Ambient, chilled, frozen and composite operations

Customs/bonded warehousing

Rail-connected warehousing

Automation and auto-sortation systems


Provision of IT solutions (e.g. WMS and interfacing)

Inventory management and optimization

Receipt and put-away

Bar-coding, RFID tagging and labeling


Picking (unit, case and pallet), packing and dispatch

Value-added services (e.g. labeling and packaging services)

Returns processing

Recycling of packaging, End-Of-Life (EOL) products and waste materials

Re-usable transit equipment management

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Assembly and Packaging Services (Value Added Services)
DHL finished goods warehousing solutions are not just about holding stock. There are a wide
range of additional services that we offer as part of an overall solution that can improve the
performance of your supply chain.
From sub-assembly, packaging services, customization, postponement, kitting, sequencing to
pre-retail activities across all industry sectors, we help you reduce costs, reduce inventories, and
better match supply with demand.

Reverse Logistics
The key to a successful supply chain is not only planning how to distribute your product, but
how to bring back both customer returns and obsolete products. Managing returns effectively lets
you recapture value, reduce write-offs and keep your customers happy.

Services Include:

De-installation of finished goods at the customer's site

Returns management, receiving, sorting, verifying and managing returned products

Express delivery, exchange of "dead on arrival" products.

Freight transportation
A logistics partner big enough to deliver freight of any kind, to any place via air, ocean, road or
rail, but capable of giving its customers the personal attention they need.

Ocean freight

DHL Global Forwardings worldwide network enables door-to-door movement, visibility

and control of all international ocean freight.

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DHL Global Forwarding is not only a leading Ocean Freight forwarder but through
Dammar Lines, our own NVOCC (Non Vessel Operating Common Carrier) we can act as
your virtual carrier for both LCL and FCL.

DHL can consolidate your LCL (Less than Container Load) shipments or arrange for your
FCL (Full Container Load) needs.

DHLs tracking & tracing system provides full transparency along the entire supply chain

DHL Global Forwardings worldwide team uses the latest freight forwarding shipping
tools, which you can rely on to manage your shipments specific needs.

Full container load

Less than container load


DHL Freight is your flexible partner for overland transport across Europe, parts of the
Commonwealth of Independent States (CIS), North Africa and the Middle East.

DHL ensure reliable and efficient domestic and international transportation for customers
of all sizes.

Our comprehensive overland transportation service comprises more than 170 road
terminals in more than 40 countries, over 3,500 weekly international departures, door-todoor tariffs and full tracking capability, all supported by customs experts in more than
275 offices.

Cold Chain Road Freight

DHL COLDCHAIN is a dedicated, fully monitored and temperature controlled service

for volumes of less than truckload (LTL).

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It covers the whole of Europe and is designed to meet everything the Life Sciences and
Health industry requires, in terms of temperature control, security and handling.

DHL COLDCHAIN services cover the range of refrigerated (2 8 Celsius) as well as

controlled ambient products (15 25 Celsius).

Throughout the journey, the temperature of the pharmaceuticals is continuously measured

and transmitted via GPS. With our state of-the-art IT tools,

The customer is pro-actively informed of the status and temperature of all shipments
during the entire journey.

All warehouses and cross docking stations are GDP compliant and specifically equipped
to guarantee continuous temperature control.


By understanding your issues and anticipating your business and logistics needs, DHL experts
provide robust solutions that will drive value for your business.
Whatever industry sector you operate in, DHL provides dedicated and shared warehousing and
distribution operations to ensure that you can deliver your service promise to your customers

the scale, location or complexity of your business requires a dedicated solution, DHL has the
people and expertise you need. Starting with a thorough analysis of your specific business
requirements, our teams design, implement, operate and improve dedicated warehousing and
distribution operations that deliver value to your business.

Our services include:

Solutions design and analysis - to help you improve your bottom line and stay flexible in
the face of changing business needs

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Campus locations offering labor balancing and distribution synergies across sites

A range of dedicated and multi-customer transportation solutions to meet your service


Best practice operational processes, controls and management information

DePICT project management methodology to reduce risk, cost and time on start ups

A strong portfolio of warehouse management systems and interface software to drive

productivity and enable faster and more reliable startups

DMAIC process improvement methodology to drive continuous improvement and adapt

to your changing needs.

When you need all the benefits of a bespoke solution, the flexibility and cost advantages of
sharing space, labor, equipment and transportation, and consistently excellent operations, DHLs
shared warehousing and distribution solutions will meet your requirements.

Moving products from manufacturing plants to warehouses, between international, national, and
regional facilities and to distributors, can represent more than half of your total logistics costs.
Add international sourcing and final distribution to store or end customer, and those costs can
rocket even higher. Transportation management solutions give you the resources and visibility
you need, at a cost you can manage.
Whether we're managing your carriers, creating a dedicated fleet or a mix of the two, we deliver
high levels of service, reliability and control over your product movement to your customers,

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DHL Operations Management 201

At DHL we offer a comprehensive suite of capabilities and work with a range of best-in-class
software partners. Our state-of-the-art systems monitor and control all critical warehouse
processes. They also provide support for transport and distribution operations and communicate
with customs and other authorities. Moreover, unlike many of our competitors, our scale means
we deploy a large number of these systems in any given year, you benefit therefore from this
unrivalled experience and expertise.
Warehouse management systems record all events and activities in the receipt, handling and
storage of products and orders in the warehouse or distribution center, including the location of

Customers Benefit from:

Access to, and influence over, leading-edge supply chain technology

Access to best-in-class applications that are platform and database independent

facilitating standardized business processes

Rapid start-up and reduced risk in global deployment - including project delivery, service
management, supplier management, - integration and hosting

Scalability and repeatability worldwide

Unrivalled expertise in interfacing with your stock control, resource planning and
business information systems

Proven, pre-integration with other supply chain partner systems - including visibility and

Our Global Coverage

DHL is the worlds number one contract logistics provider. We have a major contract logistics
presence in over 60 countries across all regions of the world. With this footprint we leverage:

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International expertise across industry sectors

A commitment to deliver consistently excellent operations in every geography

Common processes for project management and continuous improvement.

Challenges of DHL

High customs costs.

Slow market.

Liberalization and under-developed distribution channels.

fragmented markets,

political volatility,

growing population with limited income,

language and communication issues and

Large socio-economic divisions within populations.

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