Tag: Europe

Leading retailer signs renewal with DHL

DHL Exel Supply Chain has agreed to sign a GBP 100 million contract renewal for a further five years with TK Maxx, the retailer offering famous designer brands at up to 60 percent lower prices. A subsidiary of the US-based TJX Companies Inc., TK Maxx has stated that this is the largest and longest contract it has ever signed.

The contract extends TK Maxx’s activities with DHL’s specialist Department Stores and Fashion team beyond its existing operations into a partnership that will support the retailer’s key growth strategy in the UK and Europe through a continually enhanced transport network.

The “green” challenge has played a fundamental role in the contract, which contains a specific clause stipulating both companies must work together to achieve key environmental and social responsibility goals. TK Maxx and DHL will be working in partnership to deliver an efficient operation, whilst reducing vehicle movement, fuel consumption and carbon emissions.

DHL has managed a dedicated transport operation for TK Maxx in the UK since 1994, and during that time has seen the number of stores increase from the original two to 213. Since May 1, 2007, as part of the expansion plans, DHL has begun operating two Cross Dock Centers (CDCs) at Hatfield and Rochdale on behalf of TK Maxx. The number of CDCs is set to increase to nine, in order to support new store openings over the next five years, and transport operations will continue to deliver TK Maxx fashion apparel, home wares and accessories to all stores in the UK and Ireland.

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UPS 3rd quarter earnings

UPS today reported a 9.4 pct increase in adjusted diluted earnings per share for its third quarter on a 4.7 pct gain in revenue. The company saw significant improvement in the supply chain and freight segment and good gains in its international business. Its U.S. small package operation posted modest improvement in spite of a sluggish economy.
For the three months ended Sept. 30, 2007, adjusted diluted earnings per share climbed to USD 1.05 as consolidated package volume rose to an average daily total of 15.25 million.
The adjusted financial results exclude a USD 46 million restructuring charge and related expenses for a supply chain business in France. Including the impact of this charge, diluted earnings per share increased 6.3 pct to USD 1.02 compared to USD 0.96 per diluted share in the same period in 2006.
“This was a very good quarter for the company from many perspectives,” said Mike Eskew, UPS’s chairman and CEO. “First, UPS turned in a solid performance in the face of a slower U.S. economy. We reached tentative agreement with the Teamsters on a new contract almost a year early. And we unveiled industry-leading service and technology innovations.”
Adjusted operating profit improved 11.3 pct with gains in all three business segments. Consolidated revenue per piece increased 3.1 pct.
“Once again, UPS’s balanced network around the globe produced solid results even in the face of a lackluster U.S. economy,” said Scott Davis, UPS’s vice chairman and CFO. “Fourth quarter results will be driven by good performance in our international operations and further gains in supply chain and freight. We expect slowing retail sales will restrain U.S. domestic volume growth. For the full year, we expect adjusted diluted earnings per share to be between USD 4.13 and USD 4.19, well within the range we provided at the beginning of 2007.”

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Postcomm publishes revised proposals on Royal Mail's redirections service

Postcomm, the independent regulator for postal services, has published its proposals on Royal Mail’s redirections service.

In the fully competitive market, where rivals of Royal Mail are also able to offer their own collection and delivery services, redirection arrangements need to be broadened to allow those rivals to redirect mail. Postcomm has consulted on how this could be achieved within the constraints of data protection rules.

Some of the recommendations Postcomm is making are:

– Royal Mail be required to share the redirections data with other licensed operators who wish to provide a redirections service;
– Once an operator chooses to access redirections data, it must provide a redirections service for its area of operations;
– Royal Mail share the data with other licensed operators from its business diversion service (which Postcomm considers is essentially a subset of the redirections service);
– Other operators wishing to provide a redirections service should be allowed to update their senders with the new address of their customers where the appropriate consent has been given; and
– All licensed operators will be able to not redirect mail if they have explicit instructions to that effect from the sender.

Every year, around 1.3 million households and businesses use Royal Mail’s redirections service, and there are approximately 800,000 redirections “live” on the company’s books at any one time.

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Consultations start in Scotland on changes to Post Office network

Post Office Ltd today opened the first local public consultations in Scotland on changes to the Post Office network needed to meet UK Government requirements. Proposals for the future provision of Post Office services in Greater Glasgow, Central Scotland and Argyll & Bute have been published today and will remain open for consultation for six weeks until 3 December 2007.

Under the Area Plan Proposals published today, 99.9 pct of the population will either see no change to their nearest branch, or will remain within one mile (by road distance) of an alternative branch.

Post Office Ltd is seeking views on the proposed future service provision in Greater Glasgow, Central Scotland and Argyll & Bute, including, in particular, views on access to Post Office services, the accessibility of alternative branches to those proposed for closure and the appropriate form of rural outreach service to be provided.

In addition to the 264 Post Office branches which are proposed to remain open in Greater Glasgow, Central Scotland and Argyll & Bute, three branches in rural Stirlingshire will be replaced with a form of outreach services. The plan also proposes a reduction of 44 branches from the present number of 308.

The plan includes proposed outreach services in three communities in rural Stirlingshire – Buchlyvie, Thornhill and Gargunnock.

Possible types of outreach service could include a mobile service visiting small communities at set times, a hosted service operated within third party premises for restricted hours each week, or a partner service within the premises of a local partner (such as a shop).

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Post Office (UK) earmarks 44 closures

The Post Office wants to reduce the number of branches in Argyll and Bute by seven, Greater Glasgow by 27 and Central Scotland by 10.

There will be a six-week consultation period to give communities a chance to air their views on the closures.

Plans for post office provision for other parts of Scotland will be announced next year.

The closure list for the Highlands is expected in January, the list for the Western and Northern Isles in March, and for the north-east, Tayside and Fife in April. Other areas will be announced in June and July next year.

The consultation on the future of the first earmarked post offices will remain open for six weeks until 3 December.

The plans are part of a wider restructuring of post office services throughout the UK.

Post office workers told the BBC Scotland news website that they were being prevented from talking to the media about the closures.

Some also revealed that they had yet to receive any official notification of the proposals and only learned their jobs might be under threat when leaflets about the closures were delivered to branches at the weekend.

The first closures are expected to take place in February 2008 with all changes expected to be completed by the end of that year.

There are 308 post office branches in Greater Glasgow, Central Scotland and Argyll & Bute.

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