Tag: USA

DHL expands Import Express Online service

DHL today announced that its Import Express Online service continues to increase its scope, now serving 95 countries worldwide, including the top 30 U.S. trade lanes. Import Express Online is a web-based tool that provides importers with full control over their import or third-party (country-to-country) shipments.

Import Express Online gives customers the ability to ship with ease, providing them with full visibility and control during the shipment process. With a few simple clicks online, the importer can specify all instructions for their shipment – including terms of sale, pickup schedule, service levels, and amount of insurance desired – eliminating the time and expense of filling out forms manually. All waybill numbers for tracking are easily accessible in the system during the entire shipment process, with automatic shipment status notifications sent via e-mail throughout the shipment lifecycle.

Since DHL Import Express Online was launched in Fall of 2006, usage has achieved double-digit growth rates as new and current DHL customers leverage DHL’s global reach and import expertise with a web interface that emphasizes superior customer service and ease of use.

Countries added in the last year since the Import Express Online launch include: Austria, Bosnia and Herzegovina, Canada, Czech Republic, Denmark, France, Finland, Italy, Kenya, Latvia, Morocco, Norway, Poland, South Africa, Spain, Sri Lanka and the United Kingdom.

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FedEx figures mark end to boom times

FedEx’s recently released First Quarter results seem to indicate a clear end to the boom that has driven the parcel carrier forward over the past five years, as the US slips into period of low or no growth.

At the corporate level FedEx reported revenue up year-on-year 8pct at USD 9.20billion. Both operating and net income were up 4pct but operating margin was down 0.4pct at 8.8pct. FedEx’s management attribute this fall in profits to a tougher market for Less than Trailer Load in the US.

The Express business is comparatively buoyant driven by its international business which grew in volume terms by 6pct. US traffic however shrank by 1pct. FedEx Express as a whole had a revenue of USD 5.89 billion in the quarter up 4pct year-on-year, whilst margins and income both strengthened.

The ‘FedEx Ground’ business had a strong quarter fuelled by the continued success of its ‘Home Delivery’ and commercial services. Here revenue jumped 14pct with operating income increasing 19pct to USD 190million. Margins have hit 11.7pct. The only issue in this otherwise strong business is changes to its supplier network in California, which FedEx insist will not affect costs.

The big problem area of this quarter was the LTL business in FedEx Freight. Revenue was strong over the quarter reporting an increase of 22pct, but operating income crashed downwards by 30pct, with operating margin almost halving at 8.5pct down from 14.8pct. This appears to indicate that FedEx is having to cut prices to gain volume in its expanded network, suggesting that it is not just the economy that is responsible for lower profits

The problem of Kinko’s has also not been solved with the senior management indicating that they are determined to hold onto the loss making print shop company despite no sign of a turn around in its fortunes.

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TNT nears end of global SAP roll-out

TNT Express is nearing the end of global roll-out of enterprise resource planning software from SAP.

It said this week it had rolled out SAP systems to 56 countries out of 62, and the program was delivering savings in purchasing and inventory, as well as strengthened reporting processes to ensure compliance with legislation including Sarbanes-Oxley.

It has also improved management of IT by establishing a global customer competence centre, according to Dennis Beard, director of infrastructure services at TNT.

A key to its success is that the company has strong quality and project management principles deeply embedded into the whole organization and these were rigorously enforced during the roll-out, Beard said. The project has also benefited from a high degree of executive buy-in. TNT chief executive Marie Christine Lombard has attended twice-monthly project review meetings over the life of the program.

Svan Lembke, who is in charge of SAP’s Quality Program in Europe and the Middle East, said that to date the roll-out by TNT was exemplary.

“TNT Express have embraced key principles of quality early in their implementation and involved their partner Atos and SAP to achieve a successful global roll-out.”

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UPS constructs hub in Shanghai

UPS recently held a formal groundbreaking ceremony to celebrate the start of construction work on its forthcoming airfreight centre at Pudong International Airport.

The ambitious facility, which is located at the southern end of the airport’s West Cargo Terminal, will make Shanghai a stopover for flights connecting China to other locations in the UPS international network, with services to the United States, Europe and Asia.

Scheduled to become operational from next year, the centre will provide UPS with a sorting capacity of 17,000 pieces per hour.

“The opening of this hub will ensure we are well-positioned to support the explosive growth in Asia’s regional trade,” said UPS chairman and CEO Mike Eskew, who attended the event.

“Export volume growth in China and throughout Asia has been robust and the outlook remains bright. We are extremely proud to be the first US airline to open an international air hub in China under the 2004 US-China air services agreement,” he added.

Over the past five years, UPS has invested approximately USD 600 million in China, including its transition to become the first wholly owned foreign express carrier in the country.

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Postal Service Replies to Postal Regulatory Commission's Proposed Pricing and Product Rules

The U.S. Postal Service today filed its comments with the Postal Regulatory Commission (PRC) on the PRC’s proposed new pricing and product rules as part of the Postal Accountability and Enhancement Act (Postal Act of 2006). The Postal Service also submitted its initial mail classification schedule to the PRC today, which would replace the existing Domestic Mail Classification Schedule and categorize Postal Service products as market-dominant or competitive.

The Postal Service comments are available at www.prc.gov (in Daily Listing section).

The PRC established Sept. 24 and Oct. 9, 2007, respectively, as the deadlines for the Postal Service and other parties to file comments and reply comments. After reviewing those comments, the Commission will issue its final rules.

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