Logistic & Supply Chain

Management
 Group Members
Bhumika Mewada (534)

Deepika Mittal (536)

Zainab Rangwala (545)

Sagar Shetty (552)

Chinmaya Soman (566)

• DHL is part of Deutsche Post DHL.

• Presence: 220 countries

• Employees: 3 lakh, worldwide

• The Group generated revenue of more

than 46 billion euros in 2009.

• DHL operates under four specialized

divisions:
– Express
– Global Forwarding, Freight
– Supply Chain
– Mail
 “The First & the last miles”

• The first mile refers to the good’s entry into the

transport network.

• The Last mile refers to the period when the parcel leaves
the transport network, that is, the last step in the delivery.
 The New challenges for the organization

• The Internet is changing people’s habits.

• People are working more and longer, and the number of

single households is rising -particularly in urban areas.

• Deliveries to private customers are now up to four times

more expensive than deliveries to companies.
 Pick-up point and Drop-off point –
The PUDO concept

• The PUDOs are equipped with barcode

scanners and are connected to logistics
service providers via electronic data
interchange (EDI).

• As a result, the drop-off and pick-up of

parcels can be automatically recorded.
Packstation
Purchase a stamp
at Packstation.

• Use a touch screen.

• The PUDO prints out an individual barcode.

• The sender applies the sticker to the parcel, scans it on a device

attached to the PUDO

•Then place the parcel into a self-opening cubicle in the PUDO.

•The central server is informed of the need for pick-up.

 • Register Online.
• User will receive a PIN
& User Code
Cell Phone
or
E-mail
notification
Paketbox
• The DHL Paketbox is a supplement to the
Packstation.
• Pre-franked parcels and packages for DHL
and Deutsche Post can be dropped off 24/7.

• Paketboxes are emptied daily and enable

customers to do such things as conveniently
make returns without going to a retail outlet.

• The benefits for customers arise from the

following features of the Paketbox:
 The Paketbox is completely independent
of opening hours, comparable to
traditional mailboxes.
 Parcel shipment is done without waiting.

• Shipment Tracking
 Cost Effective
Branches to all Packstation to all Packstation to
destinations destinations Packstation

Packages
up to 2 kg EUR 4.10 EUR 3.40 EUR 3.40

Parcels
up to 10 kg EUR 6.90 EUR 5.90 EUR 5.40
 Benefits - Senders Point of View

• Parcels can be dropped off for shipping at any

time.

• There are no opening hours to observe or long

lines at retail outlets to stand in.

• The number of parcels returned to the sender

• Fewer parcels have to be left with the customer’s

neighbors or at the customer’s door, resulting in
fewer customer complaints.

• As a result of these benefits, the inventories of

the shipping company and the share of tied-up
capital drop over the long term.
Benefits – Logistics Service Provider.

• The costs of the first mile are lower

because PUDOs enable demand to be
bundled.

• Automatic PUDOs also eliminate staffing

costs.

• The costs of the last mile fall as well.

• Trips to private customers are very

expensive in downtown areas.

• In addition, logistics service providers can

use the data for targeted marketing
purposes.
 The limitations of the PUDO concept

• The costs of product development are high.

• Much time also has to be invested in finding a suitable location –

for instance, a place near a popular shopping center - and in setting
up the PUDO.

• First, a leasing agreement has to be negotiated with the owner of

the property.

• PUDOs are the property of a particular logistics service provider and

can usually be used only by this company’s customers.

• Because the customer is actively brought into the process, the

potential for error rises to a certain extent.
 Acknowledgement
Hereby, we conclude our presentation and would
like to express our gratitude towards Prof. Vikram
Shotre for his valuable support and guidance
throughout the project.