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DHL Malaysia to roll out more Servicepoint outlets

DHL plans to roll out more Servicepoint outlets in key cities in the country over the next three years.

It has invested RM 1.5 million for the first three Servicepoints stores in the Klang Valley.

The Servicepoints represent a major step in DHL’s ambitious retail expansion plans to assist the small and medium-sized enterprises with plans to expand regionally and globally and retail customers who prefer to walk into stores to drop off their shipments, rather than use the home pick-up option.

The company opened its first northern Servicepoint at Jalan Cantonment, Pulau Tikus, on Penang Island last month.

The RM 6 million outlets in Cantonment Road, adds to the six Servicepoint outlets already operating in Menara TM, Menara Axis, Bangsar Baru, SS2 Petaling Jaya, to the RM21 million DHL Klang Valley Service Centre in Glenmarie, as well as to the recently opened kiosk in Central Market, which specifically caters to tourists.

Its core product offerings include Express4U, an easy-to-use and convenient service for sending documents and parcels with flat-rate prices, worldwide and University Express, the fastest, most reliable and secure way to send student applications and excess baggage abroad.

1 USD = 3.48887 MYR

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Chasing China

DHL’s recent decision to increase its dedicated flight frequencies for overnight service between Hong Kong and Beijing helps the company keep pace with other moves by the competition in the Asian market.

DHL just announced a 25 percent boost in capacity between Hong Kong and Beijing, adding a 727-200 freighter operated by Air Hong Kong – a 60/40 joint venture between Cathay Pacific and DHL – on a key trade lane.

UPS, meanwhile, says Asia export volume grew 25 percent during the second quarter, with China leading the charge. The company is building a package-and-freight hub in Shanghai, which UPS expects to open next year, linking the city to the UPS international network with direct service to Europe, Asia and the Americas.

FedEx operations cover more than 200 cities and counties across China, and it has plans to add 100 more in coming years as it prepares to open an intra-Asia hub in the Southern China city of Guangzho. This year, the company increased its flight frequencies into the country, with the authority to operate 30 weekly flights, the most, it says, of any U.S.-based carrier.

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Geodis partnership extends Xpedx's reach

A local distributor has formed an alliance with a French company that will expand both companies’ global footprint.

Xpedx announced Monday that it has signed a strategic alliance with Geodis, a Paris-based third-party logistics company. The two companies will offer a full range of logistics services, including air, sea and multi-modal transport, asset and inventory management, and other supply chain services.

“We will provide Geodis comprehensive geographical coverage and extended logistics service for their customers throughout the U.S.,” said Dan Watkoske, vice president of sales for Loveland-based Xpedx. “They, in turn, will provide the same for our customers with operations outside the U.S.”

Geodis, which has subsidiaries in Europe, Asia, Africa and Mexico, recently acquired TNT Freight Management, part of an Amsterdam firm with global operations, including in the United States.

Xpedx is a unit of International Paper headquartered in Memphis, Tenn.

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New milestone in company’s history as ANC becomes FedEx UK

FedEx Express announced the re-branding of its recently-acquired UK domestic express company, ANC. From today, ANC will be known as FedEx UK and the new brand will be rolled out across all assets and uniforms by autumn next year.
“Since acquiring ANC in December last year, our management teams have been working together to ensure the benefits of the acquisition are passed on to customers of both organizations. Today’s unveiling of the new brand is an exciting step in fully embracing the FedEx UK staff and operations into the broader FedEx family,” said Robert W. Elliott, president, FedEx Express, Europe, Middle-East, Indian sub-continent and Africa.
“Today marks a major and symbolic milestone in our corporate history and one that everyone at FedEx UK warmly welcomes. At the end of the re-branding in the autumn of 2008, about 2,000 vehicles and 3,000 uniformed employees and contractors will proudly carry the new FedEx UK livery,” said FedEx UK CEO, Michael Holt.
Under its new brand, FedEx UK will continue to provide an outstanding range of comprehensive domestic distribution and logistics services with an established national pick-up and delivery network. FedEx UK will build on its strong customer service heritage and remain focused on delivery reliability and the development of its employees.

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India’s blue dart seeks continued 100 pct FDI in express couriers

Courier major Blue Dart Express has sought continuation of the 100 per cent foreign direct investment for the industry even as the Centre plans to introduce the Post Office Act (Amendment) Bill in the winter session of Parliament.

At present, 100 per cent foreign equity is allowed in domestic express companies. The bill proposes to bring down the ceiling to 49 per cent, raising concerns for the industry.

Foreign companies such as DHL (which holds 81 per cent in Blue Dart), FedEx and new entrants such as TNT have substantial interest in the growing Indian market.

“The bill in the current form is retrograde. On one hand, the government wants more FDI by opening up the economy and on the other, you take a step backward. If there was no FDI allowed in the sector from the beginning, then any limit, be it 49 per cent or more can be considered. But if there is already 100 per cent FDI allowed, why go back? People have invested huge amount of money in the sector under this policy,” Blue Dart MD Anil Khanna said.

Postal department officials said the bill could be introduced in the winter session of the Parliament. It is preparing to move Cabinet for approval.

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Privatized Japan Post gets new business model

Introducing Toyota Motor Corp.’s business methods to Japan Post Corporation, which will be privatized on Oct. 1, is the next challenge for Norio Kitamura, a former Toyota Motor Italia president who will be the chairman and chief executive officer of Japan Post Service Co., one of four operating firms in charge of postal services.

Japan Post will be divided into a holding company and four operating firms handling postal delivery, customer service, postal savings and postal insurance.

Kitamura was the president of the Italian subsidiary of Toyota. for 10 years until June 2006, when he was urged to take the Japan Post position by Toyota’s former chairman, Hiroshi Okuda, then a member of the Council on Economic and Fiscal Policy.

He was chosen because of his remarkable achievements at the Italian subsidiary, but his experience at Toyota, which is famous for kaizen (operational improvements), is also expected to contribute to better postal services.

Although the postal services are different from the automobile industry, “the basics of business are the same,” Kitamura said.

In the fiscal year that ended in March 31, the total operating income of Japan Post was 19.6 trillion yen. Income from postal delivery was 1.9 trillion yen, an increase of 3.3 billion yen from the previous fiscal year due to increased shipments of small packages and international mail. However, the total quantity of domestic and international mail and packages has decreased over the past five years.

Increasing value of small packages and international mail, which only account for about 10 percent of the total quantity of postal material, is also a key for the postal delivery business. USD = 115.090 JPY

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xpedx and Geodis forge new strategic alliance

xpedx and Geodis, two major providers of third party logistics services, today announced they have formed a global strategic alliance that enables both companies to expand their service and geographic reach for customers worldwide.

xpedx and GEODIS provide a complete range of supply chain management services to some of the world’s largest industrial companies, manufacturers and retailers. The new alliance will offer the full range of logistics services including air, sea, multi-modal transport, asset and inventory management, reverse logistics, demand planning and web-based custom reporting, which provides detailed information on all aspects of a customer’s supply chain.

The alliance enables the two companies to better serve and support their customers’ needs for logistics services across North America, Europe, the Middle East, Africa, Asia and South America.

“Thanks to the Geodis network, this alliance allows xpedx to serve its customers wherever they have operations or local logistics needs,” said Dan Watkoske, Vice President of Sales for xpedx. “We will provide Geodis comprehensive geographical coverage and extended logistics service for their customers throughout the U.S. They, in turn, will provide the same for our customers with operations outside the U.S.”

“This alliance complements our recent acquisition of TNT Freight Management now re-branded to Geodis Wilson where we have a number of freight forwarding activities in the U.S. The Geodis Group is now able to extend its global offer all over the U.S.,” said Jean Louis Demeulenaere, Executive Vice President of Strategy and Development for Geodis. “As well, we are happy to extend our relationship with xpedx giving them the opportunity to propose to their clients an offer on a worldwide basis.”

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German cabinet set to approve minimum wage for postal sector

The German grand coalition cabinet is set to approve a minimum wage for the postal deliveries sector when it meets Wednesday, a government spokesman said Monday.

Spokesman Ulrich Wilhelm said he expects the necessary steps will be taken to approve it.

The Social Democrats’ SPD party and the conservative parties CDU and CSU recently clashed over the introduction of a minimum wage parallel to the completion of the liberalization of the letter deliveries market that is scheduled for Jan. 1, 2008.

The Social Democrats had publicly called on Chancellor Angela Merkel to accept the minimum wage as agreed in a previous agenda, despite resistance from the German Economics Minister Michael Glos.

A spokeswoman for Glos said Monday she was confident that a solution could be found Wednesday.

Former monopoly Deutsche Post AG and services union ver.di recently agreed on a minimum wage in a range of between EUR8 and EUR9.8 per hour.

The SPD remains committed to extend minimum wages to other sectors, Hubertus Heil, the SPD’s general secretary said.

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