The Power of Intelligent Mail
The Power of Intelligent Mail
Read MoreTag: USA
DHL's Hickler shares views on shipper service, markets
LM: Much has been made of DHL’s commitment to improving customer service in the U.S. How are things going on that front?
HH: The important thing to note is that we are not claiming victory. We are putting a stake in the ground. Our industry—whether it is 3PLs, supply chains, or broader logistics—does not have a Starbucks- or Ritz-Carlton-type equivalent that says this company really gets the customer and is all about driving a better and unique customer experience. That is what we are targeting.
LM: How are you doing that?
HH: By coming in with the realization that customers in general are not thinking that our industry is about the customer. But we think there is a place for that, and our customers are telling us that. Bain & Company surveyed 360 companies and found that 80 percent of those surveyed said their customers were receiving superior service. That means there is a huge mismatch there, and we want to change that in our industry. It is a bold move, but I think that is what our brand stands for, and we have to do things to stand behind that.
LM: What steps need to be taken for DHL to stand behind that belief?
HH: We believe we need to shift from a performance paradigm to one of service. This industry has been one that is all about incredibly high performance levels, whether it is express, package delivery, or overnight. And it is in relation to how our processes are engineered, its relation to the IT capabilities, or just how we can deliver the product. It is a very performance-oriented discussion, and that is ingrained in the actual fabric of the product that the differentiation lies in the service paradigm. Those are the chips needed to get into the game; we need to be highly reliable across all dimensions, but that doesn’t really define anything that would “wow” the customer. That dimension is service.
LM: A lot of attention has been given to the state of our country’s transportation infrastructure, with congestion hitting maximum capacity and politicians and industry associations calling for a “national transportation policy” to address these issues head-on. What needs to happen to move in the right direction?
HH: The issues are the same as they have been since the West Coast labor strike occurred a few years back. The West Coast can very quickly become a bottleneck to transportation throughput, be that port throughput or road or rail infrastructure. In terms of national policy, understanding what the choke points are in how freight flows [for rail and trucking infrastructure component] is critical. From a customer standpoint, there is a lot of dialogue happening around adjusting the movement of goods and the location of distribution centers. They’re also looking at locations on different coasts to hedge themselves against problems. This is as much about customers looking at their supply chains as it is about legislation.
Read MoreFedEx Express CEO sells and acquires shares
FedEx Express president and CEO David J. Bronczek has sold 50,000 shares of FedEx Corp. common stock and acquired 50,000 shares.
According to a Form 4 filed with the Securities and Exchange Commission, the transactions were completed on Dec. 26 and Dec. 27.
The shares were sold in quantities ranging from 100 to 10,900 at prices ranging from USD 92.04 to USD 92.24. 2,885 shares with a value of USD 0 also were listed has having been disposed.
The acquired shares of FedEx stock were bought in one transaction at a price of USD 31.98 per share.
Separately, Harrah’s CEO Gary Loveman acquired 239 FedEx shares for USD 92.19, according to a Form 4 filed with the SEC. Loveman now has a total of 394 shares in the Memphis package shipper.
Shareholders of FedEx Corp. in September elected Loveman, chairman, president and CEO of Harrah’s Entertainment Inc., to the corporation’s board of directors for a one-year term.
Insiders file Form 4s with the SEC to report transactions in their companies’ shares. Open market purchases and sales must be reported within two business days of the transaction.
Read MoreFedEx Freight, FedEx National LTL announce general rate increase
FedEx Freight, a U.S. provider of regional next-day and second-day less-than-truckload (LTL) service, and a subsidiary of FedEx Corp., will implement a 5.48 percent general rate increase (GRI) effective January 14, 2008. Additionally, FedEx National LTL, the long-haul LTL company, will implement a commensurate increase for its general rates.
Rates for other operating companies within FedEx Corp., specifically FedEx Express and FedEx Ground, are not affected.
In 2007, FedEx Freight improved service standards in key markets throughout the U.S., and reduced transit times in more than 1,000 transportation network lanes. Additionally, FedEx National LTL re-engineered its network to provide long-haul shippers with higher levels of reliability and certainty. FedEx National LTL was created in September 2006 when FedEx acquired the business assets of the former Watkins Motor Lines.
Carey also noted that FedEx Freight and FedEx National LTL have taken a leadership role in the purchase of safe and more environmentally sensitive equipment. “It’s our goal to take necessary steps to benefit our employees, customers and the communities in which we live and work.”
The GRI increase will apply to interstate and intrastate traffic, and certain shipments between the United States and Mexico and Canada. Various additional adjustments will include minimum and accessorial charges, as well as adjustments in fuel surcharges and select lanes and service areas.
Read MoreABX Air to provide two freighter aircrafts to DHL Network
ABX Air has agreed to provide two of its 767-200 freighter aircraft in support of DHL’s U.S. air network during 2008.
The agreement covers two 767-200 freighter aircraft that are not among ABX Air’s 29 767s already dedicated to DHL service. One of the two 767-200s will initially be operated in support of DHL through June 2008 with an opportunity to extend the term, and the second for the full year.
One of them has operated on behalf of DHL for most of 2007 under an agreement that expires at the end of this year.
Starting in 2008, DHL will pay ABX a fixed monthly fee for the aircraft and certain airframe maintenance expenses. Additionally, DHL will reimburse ABX Air with a mark-up for flight crew, maintenance and other expenses associated with operating the aircraft.
Wilmington, Ohio-based ABX Air is an air cargo services provider operating out of Wilmington and fourteen hubs throughout the United States. In addition to providing airlift capacity and sort facility staffing to DHL, ABX Air is a Part 121 operator and holds a Part 145 FAA Repair certificate.
The company provides charter, maintenance and package handling services to a group of customers.
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