Tag: Courier/Express/Parcels

City Link starts work on new distribution centre

Posted by | Feb 29, 2008 | |

Nationwide parcels operator City Link has started work on a new 37,500ft2 parcel distribution centre in Norwich. The facility, at the Broadland Buisness Park, will become a hub for City Link’s services throughout East Anglia and replace its current distribution centre in Norwich.

Nick Long, depot general manager at City Link, says: “Broadland Business Park is an excellent location for us.”Being so close to the A47, we can get to all of the area’s main routes quickly, easily and efficiently, without any traffic problems, which means we can further improve our service to our customers.”

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Rentokil in profit warning after City Link fails to deliver

Posted by | Feb 29, 2008 | |

Rentokil Initial is facing calls for a break-up of the company after a disastrous profits warning prompted a sell-off of its shares and the departure of its chairman Brian McGowan.

Rentokil said problems at its City Link parcels delivery business would result in the company producing significantly lower profits in 2008 and warned it had not yet got to grips with the crisis.

The profits warning – the third such warning in less than a year – also raises serious questions over the future of Doug Flynn, the Rentokil chief executive, who was parachuted into the company in May 2005 by Mr McGowan.

Mr Flynn said he would remain with Rentokil because stepping down at the same time as his chairman would leave the company rudderless. He accepted that Rentokil’s new chairman, once appointed, might believe he was no longer a credible chief executive for the group.

The alert over the outlook for Rentokil follows a profits warning in December, also linked to problems at City Link. Back then, Mr Flynn said the company was surprised by lower-than-expected demand from businesses shipping parcels to consumers in the run-up to Christmas. Yesterday, however, he conceded the difficulties at City Link had been much more fundamental.

Rentokil is still trying to get a clear picture of the extent of City Link’s problems, but said yesterday it had failed to properly integrate two acquisitions. It has also lost customers after attempting to migrate local franchises on to a national structure and had been forced to compensate customers for service failures.

However, Mr Flynn said he would not be panicked into talks with suitors or a strategic review. “The performance from City Link was unacceptable,” he said. “I will continue to have an open mind about these issues. But I’m not sure [a break-up] is necessarily going to be the answer.”

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DPD Lithuania sales grow by 33 pct in 2007

Posted by | Feb 29, 2008 | |

DPD Lithuania has announced that its sales increased by 33 pct to LTL 52.3 million (EUR 15.15 million) in 2007. This year the company expects a higher sales increase of 35 pct.

DPD Lithuania managing director Vytautas Kudzys said that the company plans to open a new terminal, invest in new technologies that will accelerate working processes and implement solutions for reducing ecological problems.

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Robinson engages DHL supply chain services (Malaysia)

Posted by | Feb 29, 2008 | |

DHL Exel Supply Chain has entered into a three-year contract with an option for a two-year extension to support retail group Robinson & Co with total warehousing and distribution services in Malaysia.

“Entrusting our supply chain management to DHL’s capable hands will allow us to focus on core competencies as we forge ahead with our efforts to leverage on our strengths to expand our presence in Malaysia,” said Robinson’s general manager for finance and administration, Shia Yew Peck, in a statement release via DHL yesterday.

DHL will provide logistics and supply chain solutions to all retail entities managed by Robinson in the country. These include the first Robinson store at The Gardens, Mid Valley, two Coast as well as two Trucco standalone stores at the Pavilion and Bangsar Village, four Marks & Spencer outlets at Suria KLCC, One Utama, The Gardens, Mid Valley City and Sunway Pyramid, and two Fat Face stores at The Gardens, Mid Valley and Bangsar.

The supply chain solutions include inbound management, picking, sorting, tagging, packing, distribution and professional inventory management.

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USPS seeks to make sticky note classification permanent (U.S)

Posted by | Feb 29, 2008 | |

The U.S. Postal Service has asked the Postal Regulatory Commission to allow mailers to place repositionable [sticky] notes on their market-dominant mailing packages on a permanent basis.

Specifically, the USPS is seeking to make permanent several experimental classifications of standard and first class letters and flats as well as periodicals on which sticky notes are attached, according to PRC documents.

Nearly six years ago, the USPS began testing a program that letmailers enhance their mail pieces with specially designed Post-It notes.

The service, offered in conjunction with Post-It manufacturer 3M Co., allows mailers to attach a Post-In note on the left side of the front of a conventional size business envelope, or a large-size postcard being sent by first-class mail or standard mail. The piece was required to be compatible with USPS automated sorting equipment and presorted by ZIP+4 (Direct Newsline, April 3, 2002).

In the intervening time, the USPS extended this test to periodicals.

Last Spring the USPS Board of Governors voted to extend the deadline of this test until April 3, 2008.At that time, the PRC had recommended a one-year extension of this test, which calls for a provisional classification and a one-half-cent charge for placing notes on first class letters and a 1.5-cent charge for placing them on standard mail and periodicals.

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