Tag: FedEx

DHL Oman: ‘We want to be everybody’s first choice’

As DHL completes 30 years, its Country Operations Manager, Oman, Geoff Walsh explains to OER’s Visvas Paul D Karra the reasons that have made DHL a trusted name for its customers

Can you shed light on some of DHL’s pioneering services?
I think the biggest thing we have pioneered is the use of ease. We are present all over Oman in 16 locations, which includes all the major towns. One of the biggest initiatives in the Middle East is our Import Express, so you can have an account here and request for a collection from Timbuktu or from Sydney. We take care of all the paper work and ensure that you get your shipment. You can have one user account and you can do export, import and even door-to-door freight service.

Since the past couple of years, we are also doing the time definite pre-nine, pre-12. If you want a shipment to be sent to the UAE by 9 am the next day, you pay a small premium and we guarantee to deliver it before 9 am otherwise you get your premium back. So, it gives a scale of prices and scale of services.

How do you view your competitors in Oman?
There are the usual global competitors like Fedex, TNT, UPS, etc, and then the local ones like Aramex, besides other small players. Our advantage lies in our knowledge of Middle East customers because we are here since the last 30 years and that stands us in very good stead. We have to give the best service and best performance consistently. I think that is what separates us. All our competitors get business but if a customer has got something important to be delivered and needs to guarantee it reaches there, they will come to us.

DHL’s logistics chain has acquired a global reputation. What accounts for this?
We have 250 trailers moving around the Middle East and these go into Africa and Europe. Sometimes 10-15 of them pull automotive parts. And then, we charter an aircraft if it is needed. We are also the only company in the Middle East which has an airline of its own. We have a plane based in Bahrain.

And then we have our couriers, they are not just delivery or collection boys. They do the scanning, they know the importance of the shipment and they get to know the customers because of the training we give them. It is a whole package oriented towards the ‘first choice’ motto.

What is your opinion about Oman as a market?
Oman is diversifying from oil to non-oil revenues. This is attracting a lot of investments and the country is growing. We have been a significant cog in the growth. The big multinational companies, like banks and other manufacturers who come into Oman, need infrastructure and DHL can help and support them to get it. Being here and supporting the growth is important. It is what I said about providing solutions. We want to be everywhere and everything for everybody. We want to be everybody’s first choice.

What are your expansion plans in the Sultanate of Oman?
Our investment in Oman is increasing. At the moment I am drawing up the budget plan and I know that what I am going to invest now is more than what has been invested in the last 10 years.

We are going to have a brand new country office in Seeb in the final quarter of 2009. We are looking for a larger warehouse facility in Ghala area. On other locations, we have Express centres where people can just walk into, like a shop. This is what I call the retail strategy. We want it to be easy to use DHL, as easy as walking into a supermarket or a store to buy milk. To be a customer’s first choice, we have to be easy to use, we need to be reliable, and have quality and consistency.

How secure is a parcel sent by DHL?
We do everything to make sure that every shipment is secure. Every shipment is treated exactly the same way. Similarly, all our offices and express centres have CCTVs and all our courier boys are vetted and trained to follow strict security procedures. Therefore, our shipments are as safe as you carry your own luggage on a holiday.

Has there been any major inciden

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UPS plots bid for TNT

United Parcel Service (UPS) is plotting a EUR 10bn (GB 7.8bn) bid for Dutch rival TNT, a move that could herald the long-awaited consolidation in the global express-delivery business.

UPS has made an informal approach to TNT, its European rival and one of Royal Mail’s biggest competitors in Britain. Despite initial reluctance from TNT, early-stage talks about a potential tie-up have been held in recent days, The Sunday Telegraph has learned.

Soaring fuel costs have hit global courier businesses hard. The share prices of the main firms – UPS and FedEx in American and TNT and DHL in Europe – have suffered in recent months, making consolidation both cheaper and compelling.

UPS, which has a market value of USD 66.24bn and dominates the American delivery market with rival FedEx, has appointed investment bank Morgan Stanley as adviser.

The American company has also brought in strategy consultants AT Kearney to carry out a detailed report on a potential deal with TNT.

Insiders said that AT Kearney has now finished its report and delivered to Morgan Stanley, whose bankers are now spearheading discussions with TNT.

Both UPS and FedEx have eyed TNT’s parcel business for several years but are said to have been put off bidding for the firm because of its slower-growing postal division.

Sources said that UPS’ plans to buy TNT could include selling its postal division, possibly to a private equity buyer. It may instead decide to team up with a buyout firm. It is thought CVC, the European buyout giant, could be interested because it already owns stakes in Belgium postal operator De Post-La Post and Post Danmark, a Danish postal company.

A deal with TNT would deliver to UPS substantial cost savings as well as a vast European reach – something it has been trying to slowly build up in recent years. The company recently forged closer ties to TNT’s main rival, DHL, through its agreement to ferry the Deutsche Post unit’s packages between North American cities.

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Isle of Man distribution firm to use innovative PODXchange system

An innovative system for tracking parcels and freight is being rolled out by distribution firm Manx Independent Carriers.

The company, which operates 120 vehicles from Skelmersdale and Douglas, is using a new international databank called PODXchange developed by technology company NetDespatch. Drivers are being equipped with special mobile devices incorporating barcode scanners and a touchsceen.

When deliveries are made and signed for, details of the shipment held in the barcode can be transmitted live to the web portal along with the captured electronic signature. The data as well as electronic signatures is then transformed into the appropriate carrier format and transmitted to Manx Independent Carriers’ customers including most major UK parcel carriers.

Manx Independent Carriers delivers on behalf of major parcel carriers including Fedex, UPS, DPD, Citylink, Parcelnet and Amtrak. Using one device, the firm can now provide a live signature proof of delivery (POD) to any of these companies.

First used in the Scottish Highlands for parcel deliveries handled by AJG, the system is being implemented by Manx Independent Carriers so that it can be used for all types of deliveries.

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FedEx Express introduces fuel efficient Boeing 757 to aircraft fleet

FedEx Express has launched its inaugural revenue flight using a Boeing 757 freighter. The new route provides reliable cargo service between the Memphis International Airport (MEM) and the Ronald Reagan Washington National Airport (DCA) eight times per week.

This FedEx Boeing 757 flight into DCA also serves a new airport for FedEx, further extending the reliability, connectivity and quality of FedEx service throughout the mid-Atlantic region.

In addition to customer benefits, the introduction of the Boeing 757 to the FedEx fleet continues the company’s commitment to growth in an efficient, environmentally-conscious way. The Boeing 757 is known for its improved fuel efficiency and reduced noise levels, and will be phased in over time as the less fuel-efficient Boeing 727 aircraft are retired from service.

The introduction of the Boeing 757 model into the company’s fleet offers measurable cost benefits for FedEx during a period of unprecedented energy prices. The aircraft has significantly improved fuel-burn efficiencies, cutting greenhouse gas emissions and reducing fuel consumption up to 36 percent while providing 20 percent more capacity per flight, when compared to the Boeing 727 it replaces. FedEx Express plans to introduce an additional 11 Boeing 757s into service over the next year.

Efforts at FedEx Express to reduce energy consumption and greenhouse gas emissions extend across the operation.

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FedEx starts 757 Freighter services

Parcel carrier FedEx has began services using the 757 Freighter. The airline will have 12 757 freighters in the next year as it replaces the 727-200 freighter fleet. FedEx are investing USD 2.6 billion in replacing the 90 727-200 freighters with 90 757 freighters.

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