Deutsche Post World Net strengthens logistics business (GER)

In its meeting on March 4, the Supervisory Board of Deutsche Post AG decided on changes to the Executive Management Board. Effective immediately, Deutsche Post World Net will separate the Logistics corporate division into two operating units. Supply Chain will be led by Bruce Edwards (52), while Hermann Ude (46) will run the Global Forwarding and Freight business unit.

Both new business units have annual revenues exceeding 13 billion euros. As the Group’s biggest division both in terms of revenue and number of employees, Logistics from now on will be represented by two members on the Executive Board. Before being named Chairman and Chief Executive Officer of Deutsche Post World Net, Frank Appel (46) was in charge of the Logistics corporate division.

The decision to split Logistics into two business units is a structural move without any immediate costs or gains associated with it and there will be no changes to the Group’s reporting structures for the time being. Supply Chain and Corporate Information Solutions has annual proforma revenue of more than 13 billion euros and focuses on long-term, complex outsourcing agreements with large customers. Global Forwarding and Freight is an asset-light business with annual.

In its meeting on March 4, the Supervisory Board of Deutsche Post AG decided on changes to the Executive Management Board. Effective immediately, Deutsche Post World Net will separate the LOGISTICS corporate division into two operating units. Supply Chain will be led by Bruce Edwards (52), while Hermann Ude (46) will run the Global Forwarding and Freight business unit.

Both new business units have annual revenues exceeding 13 billion euros. As the Group’s biggest division both in terms of revenue and number of employees, LOGISTICS from now on will be represented by two members on the Executive Board. Before being named Chairman and Chief Executive Officer of Deutsche Post World Net, Frank Appel (46) was in charge of the LOGISTICS corporate division.

“Logistics is facing increasing organic growth demands in the future,” Appel said. “Having a dedicated CEO for each of the LOGISTICS businesses on the Executive Board will further strengthen both businesses. At the same time, collaboration will be of prime importance, which is above all in the interest of customers.”

Previously, Bruce Edwards had been responsible for the supply chain business as Global CEO since March 2007. He joined the company in 1989 as President of the logistics consumer retail business in the Americas. As part of his extended role, Edwards will take additional responsibility for Corporate Information Solutions (Williams Lea), as both businesses focus on delivering customized solutions.

Hermann Ude has worked for the Group since 1998. He has held a variety of roles including working on a number of large scale restructuring and reorganization projects across the global business. Most recently he has driven forward the turnaround of the European Freight business as CEO Freight. Global functions within LOGISTICS will report to both Edwards and Ude.

The decision to split LOGISTICS into two business units is a structural move without any immediate costs or gains associated with it and there will be no changes to the Group’s reporting structures for the time being. Supply Chain and Corporate Information Solutions has annual proforma revenue of more than 13 billion euros and focuses on long-term, complex outsourcing agreements with large customers. Global Forwarding and Freight is an asset-light business with annual revenue of around 13 billion euros with focus on the brokerage of transport capacity.

In a separate decision, DHL Global Mail, formerly one of Frank Appel’s responsibilities, will be reintegrated into the MAIL corporate division and Jürgen Höfling, CEO Global Mail, will be reporting directly to Jürgen Gerdes, who is responsible for the MAIL division on the Executive Board. As the German domestic business is well on track to meet the liberalization challenges within the German mail market it is the appropriate time to combine the two business units again and strengthen the Group’s cross-border mail opportunities via strong links with domestic mail.