DHL gets Ford Motor Indonesia contract

Global logistics firm DHL has been awarded a contract by Ford Motor Indonesia to manage the auto manufacturer’s nationwide warehousing and distribution of automotive spare parts and accessories.

The contract, which is for an initial period of two years, is expected to significantly enhance Ford Motor Indonesia’s quality spare part services to its customers. Additionally, Ford Motor expects improvements in productivity, efficiency, and cost savings utilizing DHL’s proven supply chain expertise and resources.

Ford Motor’s supply chain requirements are managed by DHL Global Customer Solutions (GCS). GCS provides globally coordinated logistics solutions for DHL’s top global customers across all modes of transport, globally from source to shelf.

Through GCS, customers have access to a full range of express, freight, and logistics services in addition to account management, supply chain consultancy, implementation, and performance management undertaken by industry-specific GCS teams.

DHL will also assume responsibility for the management of Ford Motor’s warehousing and distribution operations from its 2,000-square-meter warehouse in Sunter, North Jakarta. Based on a model of DHL’s Strategic Parts Center (SPC), which offers inventory management, storage, and urgent delivery services, the warehouse will be managed by a dedicated team of 20 DHL staff. SPCs are a key component of DHL’s express delivery network in Indonesia and offers four-hour order-to-delivery times.

“In our business, being able to provide the best level of aftersales customer service is as important as having the best products. Everyday, thousands of our customers who use Ford vehicles rely on us to ensure that replacement parts are there for them no matter where they are in Indonesia. And when you have four extremely popular models like our Ranger, Lynx, Escape, and Everest, the challenge of maintaining and delivering the thousands of spare parts needed becomes very complex,” Ford Motor Indonesia President and Director Will Angove said.

He added that the benefits of having DHL manage the entire warehousing, transportation, and distribution were far too attractive to pass up.

“By outsourcing the supply chain component of its business to DHL, Ford’s management resources can be freed up and deployed in our areas of core competency, which is automotive marketing. DHL was very responsive and they customized a warehousing and distribution solution that allows Ford Motor Indonesia to be a more competitive player within our country,” said Mr. Angove. “This new contract from Ford is an endorsement of GCS’s value proposition. Through GCS, Ford has access to the full range of DHL’s industry-specific supply chain solutions from a single source across all markets in which they have a presence,” DHL Asia Pacific Senior Vice- President for global customer solutions Paul Coutts said.

Aside from Indonesia, GCS also oversees Ford’s supply chain activities in Australia, China, Brazil, Canada, Sweden, Poland, and the United States comprising a mix of consolidation, importation, warehousing, and distribution, among others.

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