...fields − and the logistics industry in particular − will be affected by those developments. More than ever, companies need to be ready to adapt to shifting situations. As being part of one of the largest logistic company in the industry, we have got a chance to an in depth study of logistic business and DHL. Literature Review: Logistics in the year 2020 The increase of Internet commerce, the individualization of products, and the development of new markets promise large growth potential. At the same time, logistics companies will face enormous challenges. They can only overcome them by intensively investing in the development of new transport routes and introducing a new degree of flexibility into their operations (Mark G, 2008). Logistics companies will profit immediately from the transformation of global conditions and customer behavior. The first benefit will come in the form of rising transport volumes. Some of the expected changes are as follows: 1.1 Focus: New Scopes of Responsibilities By the year 2020, the logistics industry will have massively expanded its number of corporate and private clients thanks to extensive investments in research and development. The value chain will have been constantly lengthened, and will now include industrial production, security, maintenance, and packaging,( Peter, A 2008). In the corporate client area, logistics providers will increasingly take on the tasks of production and consulting. In Future logistics companies are no...
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...We advise that you keep a copy of this assignment. | | | Student Name: | Gaurav Juneja | Student ID No: | 1464684 | Lecturer: | Prof. Asoka Gunaratne | Class time: | | Student declaration: | I confirm that: This is an original assessment and is entirely my own work. Where I have used ideas, tables, diagrams etc of other writers, I have acknowledged the source in every case. This assignment has not previously been submitted as assessed work for any academic course. | Signature of student: | | Date of signature: | | | | Table of Contents Topics | Page. No. | Executive Summary | 3 | Introduction to DHL Express | 4 | SWOT Analysis | 6, 7 | Analysis of Internal Environment | 8, 9 | Analysis of External Environment | 9 | SFAS | 10 | Identification of Problem or Opportunity | 10 | PESTEL Analysis | 11 | Identification of Strategic Options (TOWS Matrix) | 12 | Solution (Pros and Cos) | 12, 13 | Strategy Recommendations and Conclusion | 13, 14 | References | 15, 16 | Executive Summary The main aim of this report is to give an insight into DHL Express’s market audit, analysis and evaluation. Here, we will be mentioning upon the external and internal environment that prevail in the company and would...
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... Contents Types of Logistic Performance Indicators 3 Cost Indicators 3 Quality Indicators 3 Importance of Developing Logistic Performance Indicators 4 References 8 Types of Logistic Performance Indicators Organisation for Economic Co-Operation and Development (2002, pp 34) has distributed the logistics performance indicators into two types. First type is cost indicators and second type is quality indicators. Cost Indicators These include the following costs * Costs incurred in transportation * Cost incurred on inventory * Cost incurred on sorting and packing * Costs incurred on packaging Quality Indicators These include the following * Goods & customer services knowledge * Availability of any goods * Order to delivery lead time and its accuracy * Response time for special orders * Ability in organising information * Ability to organise time * Ability to organise accuracy * Response time in the event of a mistake. Importance of Developing Logistic Performance Indicators The basic purpose of developing logistic performance indicators is to enable a company to evaluate the efficiency and sustainability of its logistics systems. In addition to this, a company can enable itself to monitor how successful it has been in achieving its logistics policies. Furthermore, such indicators help a company to explore any possible improvements. There are different players in a logistic chain and each of them...
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...in 1988 through an agent partnership relationship. Critically examine the contrasting strategies adopted by both the companies, while entering and expanding their service network in China. The case discusses in detail about the entry and expansion strategies of the two US-based logistics companies - FedEx and UPS in the Chinese market .The case examines the contrasting strategies adopted by FedEx and UPS in their efforts to establish presence in China. FedEx followed an aggressive, high risk, more investments approach to expand its services network in China which enabled the company to capture higher market share .On the contrary, till the late 1990s, UPS followed a conservative, low risk, low investment approach to establish its presence in China. The case brings out the contrasting elements of the strategies adopted by both companies including establishing the services network, advertising and promotion, targeting customers and the investments made. Finally, the case examines how the expansion strategies of both companies have changed with the improving business prospects in China, following its entry into WTO. The case discusses in detail the entry and expansion strategies of the two US-based logistics companies - FedEx and United Parcel Services (UPS) - in the Chinese market. The case examines the contrasting strategies adopted by FedEx and UPS in their efforts to establish and expand their operations in China. FedEx followed an aggressive, high risk approach to expand its...
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...“Case Study” Khurarrianwala (Faisalabad) is well known as an Industrial Hub in Pakistan. Many Textile firms are manufacturing different products and mostly export these products to foreign customers. Merchandisers of each industry send their product’s samples to foreign customers for approval of product design, shape, and quality etc. Till 2004, most of the industries had to go to FedEx office Faisalabad to handover their parcels to be delivered to the foreign customers. By analyzing the growing demand in this area, DHL opened its office in Khurarrianwala in 2004. DHL offered the logistic services to all firms for sending their product samples to foreign customers. Textile firms in that area used to hand over their parcels to DHL at their Khurrarianwala office and the daily closing time of sample collection was 05:00 PM. Some of the students of a University located in Faisalabad conducted a research and found that 70% market share in that area was captured by DHL till end of 2005. At the end of 2006, all firms switched over from FedEx to DHL. The major reason of switch over was the distant location of FedEx as it was 40 KM away from the area. After analyzing this situation; FedEx started to collect samples (parcels) from each and every firm in that area and created the competition for DHL. FedEx got the 90% market share in that area at the end of 2009 but DHL had only 10% market share at that time. Customers are more satisfied with FedEx as many merchandisers said that FedEx...
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...DESCRIPTION NATURE OF ORGANIZATION’S BUSINESS DHL global delivery network is known as the “undisputed international market leader of international express and logistic industry globally, with almost 45% of the total market”, (DHL Company Overview, n.d. para 1). DHL is over 34 years old and is known for its focus on product quality, achieved thorough a technical and meticulous quality control system that offers customers new ways of transporting solutions for customers. DHL has system in place that integrates quality control, efficient customer services, and robust transportation systems to ensure that the global transportation and delivery service reaches the customer is of the highest standard. The marketing challenge for the company is to position its product and services as a high-quality, high value alternative to other transportation and international express and logistic brands that exists. Figure #1 below outlines the process and highlights the major activities at each stage. Figure 1: Overview of DHL Service delivery’s Production Process [pic] DHL has the largest logistics and infrastructure of any international express delivery company in the market. Essentially – they dominate the market. Their customer base has spanned over thirty million (30,000,000) customers annually and the service lines span over 220 direct destinations via direct service over thirty-two (32) continents. DHL has some unique product and service lines – that allow...
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...Entry Strategies for MNEs in China: The Case of Danone and DHL International Business Winter 2014/2015 Table of contents 1. Introduction 3 1.1. FDIs and Entry in China 3 1.2. Research Contribution 3 1.3. Research Method 3 2. Literature review 4 2.1. FDIs 4 2.2. Macro Environment 5 2.3. Timing of entry 6 3. Discussion 6 3.1. Introduction of Cases 6 3.2. Motives of Entering China 7 3.3. Joint Venture in China 8 4. Conclusion 9 4.1. Implications 9 4.2. Limitations 9 4.3. Research Outlook 9 5. References 9 1. Introduction 2.1. FDIs and Entry in China How should MNEs enter China? MNEs are usually presented with multiple entry choices, namely export, licensing agreements, franchising and FDIs. While each mode presents advantages and disadvantages, FDIs cause MNEs to make direct investments and be directly present in foreign countries, as opposed to indirect investments and presence through other modes of entry, hence the name “foreign direct investment”. But with direct presence in a foreign country MNEs are subject to both formal and informal institutions, and those institutions will directly influence a company’s decisions and it’s mode of entry (Ingram, Silverman 2002). MNEs have to decide whether to go as a first or late mover and due to what kind of motivation they decide to do FDIs in China. In countries with a weak institutional framework, Meyer et al. (2009) find that MNEs should choose the Joint Venture...
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...[pic] Introduction FedEx Corporation (FedEx) is a US based company mainly engaged in offering logistics solutions. The company, through its subsidiaries, provides transportation, e-commerce and business services under the FedEx brand. The major benefit of using the company is its ability to provide “day-certain” service to every business address in the US and Canada, as well as provide “time-certain” delivery to those areas within one to three business days. The company was founded in 1973 by Frederick W. Smith, whose vision was to provide overnight delivery services for his clients. The company is divided into eight major divisions: [pic] The mission of FedEx is to provide superior financial returns for shareowners by providing high value-added supply chain, transportation, business and related information services through focused operating companies. Customer needs will be met in the highest quality manner appropriate to each market segment served. FedEx strives to develop gratifying relationships with its employees, partners and suppliers. Safety will be the first consideration in all operations and all activities will be conducted to the highest ethical and professional standards (FedEx Corporation – Financial and Strategic Analysis Review, 2011). FedEx’s vision is a world where goods and information move quickly and seamlessly. The company’s goal is to connect the world in such a way that consumers will view them as a provider of convenient...
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...Airborne Express: Analysis of HBS Case Study Q1) 1. Threat of New Entry For the US Express Mail industry, the overall threat of new entry is very low. The following list and explanation captures the difficulty an entrepreneur might face in trying to penetrate the express mail market: * High capital requirements: In order to establish an express mail operation, the start-up capital required is too big for an individual to obtain. For example, Federal Express’ Superhub in Memphis has 2.4 million square feet of floor space and can hold 147 planes. UPS’s new hub will cost approximately $860 million. In addition, a cargo plane sells for $90 million. * Economies of scale: newly established postal service will have tough time competing against majors since small operation translates into higher prices for consumers. * Strong brand identification of existing firms: Express mail is an important part of doing business for many individuals and firms. They will naturally favor the traditional postal service that has gone through the test of times and proven reliable. * Aggressive reaction of incumbents: Both the first-tier majors and second-tier minors will react to a new entry by a player and will apply pressure by using their cost advantages and superior managerial knowledge. * Product differentiation: It will be hard for the new postal service to differentiate the company’s service since the express mail service has become standardized due to investments...
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... PC Manufacturing, SCM, Supply Chain Case Study Abstract The focus of this case study is the supply chain management practices of Dell. Dell has been following its unique ‘direct build-to-order’ sales model for more than 20 years. Customers can plan their own configuration and place orders directly with the company via the phone or its Web site. Over the years, Dell’s supply chain efficiencies and direct sales gave it a competitive advantage. Can Dell regain its market leader position from HP? In 2006 however, Dell faced several problems. Many customers complained about long delays in supplies. Recall of Sony battery cells in its laptops brought undesirable media hype to the company. Increasing discontent of customers led to a slowdown in sales. Consequently, Dell lost its market leadership to Hewlett-Packard Co. (HP). Industry analysts felt that, with Dell’s competitors also improving their supply chains and matching Dell’s direct model, the company had been losing its competitive edge. Dell will have to bear additional costs with its foray into retail distribution thereby minimizing its cost advantage. Besides, profit margins of Dell will drop further since it will have to offer incentives to compete with HP in retail stores. Though Dell spruced up its product design and range but Apple is clearly far ahead of it. Many experts feel that such new initiatives will only distract Dell from its supply chain operations. This case study covers the following issues: • Examine...
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...of cargo transported in different forms. In addition, the government has established The Maritime and Port Authority of Singapore (MPA) as a body that is responsible for the overall development and growth of the port of Singapore, overseeing most if not all the activities that are carried out as far the port logistics are concerned. However, the purpose of this paper has been divided into two tasks, one of which involves a critical evaluation of the application of Lean and TQM (Total Quality Management) in logistics and supply chain networks to achieve MPA objectives such as quality of service, competitiveness, reliability and efficiency. In addition the benefits and limitations from a practical perspective for MPA is evaluated. The second task of the paper aims to critically evaluate the key environmental sustainability issues in Cargo maritime logistics for MPA and an analysis of how implementing lean practices by MPA can reduce the environmental impact of an inward and outward maritime cargo transport. The research methodology is mainly content-based and relies on secondary data sources for analysis. The implications of this paper aims to look into the logistics industry and assess how certain organizational practices such as LEAN and TQM can be implemented I order to improve their activities. Another implication is how these practices can contribute to environmental...
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...Introduction Business SegmentsFedEx ExpressFedEx GroundFedEx FreightFedEx ServicesCorporate Strategy“Compete Collectively, Manage Collaboratively” • 3. Brand Planning AssessmentThe FedEx PositionWho is the target market?“anyone who needs to send something anywhere in the world. Whether it’s the one and only package you'll ever ship in your life or you have 1000 packages to ship every day.” • 4. Brand Planning AssessmentThe FedEx PositionWho are the main competitors?UPS • 5. Brand Planning AssessmentThe FedEx PositionWhat are the points of parity?-Both companies ship packagesBoth online services allow you to track packages, order supplies and pay bills.What are the points of difference?-FedEx has 3 times as many planes-Print and ship from anywhere services-FedEx has been known to update technology more frequently than UPS • 6. Brand Planning AssessmentThe FedEx PositionFast Forward MovingPrecise • 7. Brand Planning AssessmentKey Marketing ActivitiesAlliances with NFL, NBA, FedEx cup, FedEx racing, the FedEx orange bowl, and the FedEx field Senior Vice President of International Marketing, Rajesh Subramaniam, said, “FedEx sponsors and associates with several sports that share its attributes of speed, reliability, precision, teamwork and flawless execution.” • 8. Brand Valuation Assessment Building EquityFavorability & Awareness Through Six ElementsMEMORABLEMEANINGFULLIKEABLETRANSFERABLEADAPTABLEPROTECTABLE • 9. Brand Valuation...
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...FedEx Express Segment, FedEx Ground Segment, FedEx Freight Segment and FedEx Services Segment. The FedEx Express Segment includes two companies which are FedEx Express and FedEx Trade Networks. In the FedEx Ground Segment includes FedEx Ground and FedEx SmartPost, For FedEx Freight Segment consists of FedEx Freight, FedEx Custom Critical and Caribbean Transportation Services. As for FedEx Services Segment comprise of FedEx Services, FedEx Office, FedEx Customer Information Services as well as FedEx Global Supply Chain Services. FedEx has experience tremendous success domestically and internationally since it began operations, however FedEx is still does not has the main market share in both markets as UPS dominates the ground delivery and DHL dominates the international express delivery. So in this paper, we will be answering three questions regarding FedEx’s methods of expansion, reasons for its global operations problems, SWOT considerations, competitive landscape and recommendations to encroach upon the two competitors. 2.0 QUESTION 1 Evaluate the methods used by FedEx to grow domestically and internationally. Why do you think that the company initially had problems in its global operations? 2.1 Evaluate the methods used by FedEx to grow domestically and internationally Before FedEx has its tremendous successes, they have adopted various alternatives to grow in the domestic market and expand into international market. FedEx had used few methods to grow domestically...
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...Topic: When a distributor is a dominant player in a supply chain it faces many risks. Discuss the potential strategies that a dominant distributor might implement to a) retain its position of dominance and b) benefit the total supply chain. Supply Chain Management – Distributor’s risk and strategies to retain dominance whilst value adding to the total supply chain Introduction The supply chain is made up of many key players; from the top we have the suppliers which provide raw materials (or finished parts) to the manufacturers who carry out required assembly to produce the products the market demands. The distributor collects these finished products from the manufacture and provides a logistical link to the retailers who sells at the local market and provide convenience to the consumers. At every stage of the supply chain the each player carries out activities that add values to the product until it reaches the end user (Porter, 1985). The key players are linked together and are interdependent on each other (both upstream and downstream) as they rely on each other not just for profit but to achieve the overall effect of the supply chain to meet consumer demands. However the level of an organisation’s dependency on one another varies from relationship to relationship within the supply chain. As a result dominant players within a supply chain can greatly influence the other players to achieve perpetual dominance and/or mutually benefit all players, (Maloni et al....
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...INDIAN LOGISTICS INDUSTRY 2009 PROJECT REPORT ON INDIAN LOGISTICS INDUSTRY FOR PARTIAL FULFILLMENT OF POST GRADUATE DIPLOMA IN MANAGEMENT SUBMITTED TO: Ms. Gunjeet Kaur Lect. of SVSM SUBMITTED BY: Rajnish Kumar Roll No. SVPG/07/05 PGDM – 6th Trimester SWAMI VIVEKANAND SCHOOL OF MANAGEMENT Ramnagar (near Banur), Patiala 1 | Page SVSM RAJNISH THAKUR (PGDM) INTERNATIONAL BUSINESS & MARKETING INDIAN LOGISTICS INDUSTRY 2009 Punjab LOGISTICS MANAGEMENT - INTRODUCTION Logistics management is that part of the supply chain which plans, implements and controls the efficient, effective, forward and backward (reverse) flow and storage of goods, services and information between the point of origin and the point of consumption in order to meet customers' requirements rather to the customers’ delight. A professional working in the field of logistics management is called a logistician. Logistics, as a business concept, evolved only in the 1950s. This was mainly due to the increasing complexity of supplying one's business with materials, and shipping out products in an increasingly globalized supply chain, calling for experts in the field who are called Supply Chain Logisticians. This can be defined as having the right item in the right quantity at the right time at the right place for the right price and to the right target customers (consumer); and it is the science of process having its presence in all sectors of the industry. The goal of logistics work is to manage...
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