PURCHASING AND ORDER PROCESS OF DHL

 

PROJECT MANAGEMENT

DHL manages projects according to a six-step process:

  • Initiation: Formal start / The beginning of the project.
  • Design: Agreement on how to approach the project and its deliverables.
  • Planning: After making the agreement, a suitable plan will be created to meet the demands of the agreement.
  • Execution: After making detailed planning and preparation, the project goes 'live' or in other word, the project is starting.
  • Closing: Phasing out from the project and prepare for the handover of the deliverables.
  • Handover: The formal end / The finishing of the project.

INTEGRATED LOGISTICS

Logistics is viewed as the medium that connects an enterprise with its customers and suppliers. Information from and about customers flows through the enterprise in the form of sales activity, forecasts, and orders. As products and materials are procured, a value-added inventory flow is initiated and results in the ownership of the finished products being transferred to the customers. Thus, the process is viewed in terms of a two-way process, which are inventory flow and information flow.


A. Inventory Flow

 The management of logistics is involved with the movement and storage of materials and finished goods. Every time the materials or any components are purchased, they will increase the value of the logistics activities as the materials are being moved or transported along the supply chain. For a large manufacturer, logistical operations may consist of thousands of movements that culminate in the delivery of the product to an industrial user, wholesaler, dealer, or customer.

 

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For DHL:

DHL is completely service-oriented, therefore it does not have its own material movement but that of the customers, both the sender and the receiver, and the intermediaries. This means it only involves physical distribution and procurement. Procurement also consists of the materials needed for the packaging. The materials or the goods collected from the senders are weighed, inspected, and packed depending on the condition or characteristics of the goods. The goods are then dispatched to their destinations.


B. Information flow

Information flow is the flow that classifies specific locations within a logistical system that have requirements. Information also integrates the three operating areas. The primary objective of developing and specifying requirements is to plan and execute integrated logistical operations. Logistical information involves two major types of flows:

1.   Coordination flows

2.   Operation flows



 

1. Coordination flows

Coordination is the base of the overall information system.

 

Strategic objectives :

Strategic objectives specify the personality and the location of the customers, which are matched to the required products and services to be performed.


For DHL :

It implies estimating the time requires for collecting the goods from the doorstep of the sender and then estimating the time for the goods to reach the final customer.


Forecasting :

Forecasting utilizes historical data, current activity levels, and planning assumptions to predict future activity levels. Logistical forecasting is generally concerned with relatively short-term predictions.

The overall purpose of information coordination flow is to integrate activities within a firm and to facilitate overall integrated performance.


 For DHL :

DHL’s whole business is dependent on the vital point of perfectly timed delivery. Based on the distance to the final receiver, the accessibility, the documentations, and the procedures that need to be handled, they must figure out the best method for the process of delivery. They can accurately measure how much time it will take for the goods to reach its destination.



2. Operational flows

The second aspect of information requirements is involved with directing operations to receive, process, and ship inventory as required supporting customer and purchasing orders. Operational requirements deal with:

·       Order management

·       Order processing

·       Distribution operations

·       Inventory management

·       Transportation and shipping

·       Procurement

For DHL :

DHL owns its success for the efficiency with the operations that they carried out. Not only the company but the sender and sometimes even the receiver can track the goods through their information center. They are given a certain password or code which they can use to trace the packaged goods via online or their customer service helpline. 



DHL WEB SHIPPING

DHL WEB SHIPPING is the online express shipping tool that DHL created to helps customers prepare documents, book pick-ups, store contact details and track their deliveries. DHL WEB SHIPPING needs no special software or training, so it is ideal for busy office managers, business travellers or receptionists.


Purpose of DHL Web Shipping:

DHL WEB SHIPPING's new and simplified navigation can guide customers quickly and easily through the entire process so that they can respond to any shipping request within minutes.

With DHL Web Shipping customers could:

  • Select the right shipping and value-added services for each shipment.
  • Prepare air waybills and customs documentation on-line.
  • Get the latest service bulletins and customs information.
  • Book collections and track shipments on-line.
  • Save up to 300 customer addresses.
  • Access shipment records for 99 days.
  • Alert recipients and other interested parties.

DHL WEB SHIPPING is also perfect for telecommuters. You can order a pick-up, check service availability, or even track your shipments from anywhere and anytime directly from your wireless laptop or mobile phone.

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