Author: Archive

Allan key to savings from integrating new DHL logistics arms

DHL logistics boss John Allan is learning German, but he relied on old Scottish to sum up the E 220m (USD271m) of savings his team will extract from the billion euro turnover business by spring 2007: ‘Many a mickle makes a muckle’ or every little bit helps. Mr Allan stresses that his three hours a week battle with German grammar is fulfilling a lifelong desire, and is not a Deutsche Post head office edict from the parent company in Cologne: ‘Deutsche Post is an international company and the working language is English. It is a case of wanting to learn German, rather than needing to.’ It was in September last year when Germany’s letters to logistics kraken Deutsche Post confirmed the City rumour-mill by offering GBP3.7bn (USD6.7bn) to acquire UK-based supply chain and forwarding giant Exel, with the latter’s chief executive chosen to head the new division and to lead the integration. ‘I was asked to stay on,’ says Mr Allan, who states that his presence gives ‘continuity’ to the integration process, just as it did when his Ocean Group merged with the ‘old’ Exel in 2000 to create what was then the largest UK-headquartered global logistics player.

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Surprise profits of EUR16m at Irish An Post

A dramatic turnaround in the fortunes of An Post will be announced later this week. Figures revealed to the Sunday Independent will show that the troubled semi-state firm made an operating profit of EUR16m in 2005. The surprise profits are due to be presented to the Cabinet at its first post-Easter meeting this week. They compare very favourably with a 1.8m operating profit in 2004 and with a loss of 43m in 2003. The figures represent a considerable success for Donal Curtin, the company’s chief executive, who is leaving An Post in June. Mr Curtin took over the company at a time of serious industrial relations problems and severe losses, but will leave it in a relatively healthy financial condition.

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Business Post begins trial of parcels by rail

Business Post Group PLC has begun using rail to move parcels from the English Midlands to Scotland. Rail freight carrier English, Welsh & Scottish Railway said in a statement that Business Post had begun an eight-week trial of its services to send parcels from Walsall in the West Midlands to Aberdeen every night. EWS said the parcel carrier is cutting costs by using trains as buying rail capacity on its services is cheaper than using lorries and avoids road congestion. The rail freight firm said it already has a contract with Business Post’s rival DHL.

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Poczta Polska determined to retain position

Poczta Polska is taking steps to drive rival companies out of the market before its liberalisation, which will take place in 2009. At present, the state-controlled enterprise holds a monopoly on letters and postcards delivery, worth ZL6bn. However, it was unable to compete effectively on the courier delivery market, as a result of which its market share fell from 100 percent to 3 percent. UPS Polska Director General Krzysztof Zdziarski admits that his company is looking forward to entering the letter delivery market as soon as the opportunity arises.

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New UK Post Office chief stamps his authority

Alan Cook, the newly appointed boss of the Post Office, has been touring Britain meeting the nation’s sub- postmasters and mistresses. In Wilstone, Hertfordshire, almost the entire 320-strong village population turned out to meet Cook, who joined the Post Office seven weeks ago. “They knew we were coming,” he said. If the former “man from the Pru” had any doubts about the importance of his new job, the reception from the Wilstone villagers left him with no doubts. Cook is the man charged with securing the future for the country’s 14,500 post offices. It is a tough task: not only is the network losing about Pounds 100m a year, but its position as the government’s cashier -doling out cash to pensioners, mothers and the unemployed -is being eroded as benefits are paid directly into bank accounts. If Cook is to save the nation’s post offices, he has to find a new role for all the sub-postmasters and mistresses across the country.

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US agency approves USD300m bond issue for DHL

The Dayton-Montgomery County Port Authority on Friday approved the issuance of UD300 million in tax-exempt airport revenue bonds for the DHL air freight hub expansion in Wilmington, capping a nearly twoyear financing ordeal. The approval allows the port authority to reimburse DHL Worldwide Express for about USD200 million it has spent on construction at the former Airborne Express hub.
It follows the settlement of a lawsuit last month by the Clinton County Port Authority that had kept DHL’s financing in limbo since December 2004. DHL is relocating its air freight hub operation from Cincinnati/Northern Kentucky International Airport to Wilmington.

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Company bosses to meet mail chiefs over 'late post' damage to business

Business owners in central Edinburgh are to meet postal chiefs over a series of late mail deliveries they claim are hampering their companies. The Edinburgh Chamber of Commerce has arranged a meeting between representatives of the postal service and its members, many of whom have been receiving mail up to 1.5 hours late for more than a fortnight. The Royal Mail has confirmed that businesses in EH2 and EH4 – which includes Princes Street and large portions of the New Town – have been receiving mail as late as 11am due to a reorganisation of shifts at an Edinburgh sorting office. While the Royal Mail guarantees all deliveries by noon, it makes a special commitment to deliver post to “recognised business areas” by 9:30 am. Businesses say that early delivery time is crucial in maintaining competitiveness in a fast-moving marketplace.
The meeting comes after repeated criticism of Edinburgh’s postal service and in the wake of a report by consumer watchgroup Postwatch that found nearly a tenth of letters to the capital do not arrive on time.

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Multi-million pound deal marks TNT UK new arrival

TNT Document Services has secured a multi-million pound five-year contract extension from Land Registry. The new division – TNT Document Services, formerly known as Cendris UK – part of TNT Express Specialist Services (TESS), deals with transactional print, scanning, offshore data capture, data management and digital archiving. TNT Document Services has enjoyed a long-standing commercial partnership with Land Registry that has already encompassed the electronic scanning of 18 million property title plans in England and Wales and 16 million supporting documents and 90 million items. The latest five-year agreement was sealed at a contract signing ceremony attended by the Land Registry’s Chief Procurement Officer, Tim Leaver and Bob Black, Chief Operating Officer of TNT Express Services UK, at Land Registry Head Office in Lincoln Inn Fields, London.

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