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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