Research proposal form Essay

 

Research proposal form

We will write a custom essay sample on
Research proposal form Essay
or any similar topic specifically for you
Do Not Waste
Your Time
SEND

By clicking "SEND", you agree to our terms of service and privacy policy. We'll occasionally send you account related and promo emails.

More Essay Examples on Marketing Rubric

 

 

 

Area of Specialisation (Tick one area of specialisation only)

 

[  ]  Marketing                                                           [  ]  Information Technology

[ ]  Strategic Management                                         [x  ]  International Business

[  ]  Human Resource Management                           [  ]  Operation Management

[  ]  Accounting & Finance                                        [  ]  Others:

 

 

_____________________                                                                                                   Student Signature

 

Project outline

 

Title :              The Current Position of DHL in the Asia Pacific            Region: The Case of China Operations

 

Objectives :     _______________________________________________________

 

a.    Define the Industry that DHL have been operating under and its Significance (via contributions) to Economy

 

b.    Describe the Five Forces in the industry (Suppliers + Buyers + Substitutes + New Entrants + Internal Rivalry) and on how each affects market behavior of firms

 

c.    Recognize the particular industry structure (and hence market power) then can be used as basis to explain the behavior or CONDUCT of firms relating to other industry agents (as grouped into Porter’s Five Forces).

 

Background :  _______________________________________________________

 

Business logistics solutions have come a long way since the utilization of the postal system for business purposes during the Industrial Revolution - Research proposal form Essay introduction. Its importance in achieving company goals of efficiency and profitability for the current corporate industries as well as several others can be pointed out as an evidence of the evolution of business logistics in the past years.

During the peacetime era shortly right after the Second World War marked for the emergence of various forms of businesses and thereby increasing as well the need for faster and efficient logistics solutions that will satisfy the needs of these emerging industries. This signaled the surfacing of companies that specifically provide business logistics solutions with the primary goal of enabling companies meet their respective corporate objectives and thereby creating a particular industry in itself. Through the years, the range of services that these logistics companies offer grew from simple overnight parcel deliveries to sore sophisticated and complex services along with the ever increasing demands of the market which could substantiate the current market situations of our time

Methodology :            _______________________________________________________

 

The methodology to be used for this paper includes the review of existing literature and gathering of external information from DHL. as well as industry experts by conducting surveys and interviews. Secondary use of data will also be done especially on the economic data of DHL as well as company information on-site.

 

Proposed Structure:  __________________________________________________

 

The paper will concentrate on the situation of company operations in China and its territories. The structure of the paper will start on the analysis of the demographic situation on the industry that DHL. This will then be followed by the identification of the Industry Life Cycle as well as Product Life Cycle analyses. The paper will then conclude on the appropriateness of the operation in the China.

 

Time Frame:    _______________________________________________________

 

Time frame for the study will take a couple of weeks and the data to be considered are on a 10-year time frame so as to provide a clear industry picture of the topic to be considered.

 

References :    _______________________________________________________

 

Among the authors to be used in this study are form the following authors:

 

Habito, C. (2007). A Better Econom in 2007: What We Can Control and What We Can’t. Ateneo Center for Economic Research and Development. Ateneo de Manila University.

Hazlitt, H. (1998). Economics in One Lesson: The Shortest and Surest Way to Understand Basic Economics. New York: Three Rivers Press.

Hersey, P. H., Blanchard, K. H., & Johnson, D. E. (2007). Management of Organizational Behavior (9th ed.). New York: Prentice Hall.

Wong, Z. (2007). Human Factors in Project Management: Concepts, Tools, and Techniques for Inspiring Teamwork and Motivation. San Francisco: Jossey-Bass

 

 

Introduction

 

Management research and emerging technologies

 

Management research especially with the advent of the information age has considerably expanded in scope and scope.  New dispensation because of the global setting and the emerging new economies such China and Brazil among others have redefined how to conduct business.  Information become a major commodity fuelling the insatiable need to know as corporations formed vast networks of operators across the globe.

Management research is then becoming more and more oriented towards information management as more and more office functions become more virtual and outsourced. Network and information management is fast becoming a basic function of management aside from the traditional leading, controlling, organizing, delegating and other functions which are based on face-to-face contact with subordinates, colleagues and superiors.

In a sense management research extends its concerns from evaluating sources of information, what information is needed at particular time and a particular situation or stage of operation of the organization.  Inevitably, management research include how managers and personnel would be able to adapt to changes in the workplace due to changing imperatives of doing business in a multi-national setting.  The purpose of management research is essentially to present options on how to act on certain knowledge.    Corporate operation has always been in the forefront in innovating on ways to make operation more efficient and computing programs and systems has been used extensively especially in procurement, inventory and delivery. In companies such as DHL which pride itself in fast and efficient deliveries of parcels keeping tab of all simultaneous transactions worldwide.

 

Systems and corporate operations

Information technology, with its nature of being a vital part of business operation has been used for example to keep track of supply and process chains involved in the e-procurement and service delivery.  One such field, material resource planning (MRP) is emerging. Exchange of data electronically or electronic data interchange (EDI) is now acknowledged as vital in corporate management (Schuster, 2005; Thomas Puschmann, 2005). Closely linked collaborations have been created and brought up straight to firms’ material suppliers through the mechanization of delivery by connecting a company’s resources.

Shortly before the mid-1990s, majority of the firms have also been eager to redesign their affairs with their business partners on the supply chain side for a draft of an indirect procurement scheme. Though this was still in use, direct procurement was already able to answer all workings and raw material needs that were used in the manufacturing process of a final product, such as sheet metals, semiconductors, and petrochemicals.

Indirect procurement methods, on the other hand, speak about services and products for safeguarding, repair and operations (MRO) as well as primarily focusing on the products and services that are neither part of the final product nor directly resold. The methodologies of ERP are usually found functional to outputs with high transaction ERP methodologies have been functional to outputs with high transaction levels and direct implications for value-adding procedures. We will still find though that paper works level and labor concentrated procedures for indirect procurement harbors the larger number of inefficiencies (Puschmann & Alt, 2005).

E-procurement systems’ dispersion in the late 1990s created the possibilities for reorganizing the MRO supply chains which are, compared to ERP, the said systems were to a considerable length less expensive and more flexible owing to the increased standardization on a technical level.

There have been studies on e-procurement indicating large efficiencies on the subject of process and procurement costs. In e-procurement, the end-user or requester is involved in the procurement process through an electronic multi-vendor directory and to close the process gaps like re-entering or transcribing data in the supply chain for indirect goods. The third stage of development in e-procurement with the integration of electronic markets in the supply chain since the end of the 1990s has as well been apparent.

E-markets have evolved together with the early system vendors such as Ariba, Commerce One or SAP. This has also provided support in the outsourcing of operational procurement functions as well as offer tools for auctions and requesting for quotations. The evolution of e-markets has brought on a considerable consolidation so that many now focus on outsourced solutions for catalogs and auctions (Puschmann & Alt, 2005; Shen, Shaw, & Subramaniam).

To sum up, these three development stages forms the basis in defining the term e-procurement as well as explaining its applications in the Electronics Industry. E-procurement deals with the management of supply chains in the procurement of indirect goods based on Internet information systems and e-markets that could then be analyzed for its effectiveness in the Electronics Industry (Puschmann & Alt, 2005).

 

The Benefits of Electronic-procurement

 

E-procurement allows companies to spread out operational procurement processes and centralize strategic procurement processes as a consequence of the higher supply chain transparency afforded by e-procurement systems and have already demonstrated it’s potentials in a number of studies (Puschmann & Alt, 2005).

Companies’ procurement functions are typically subdivided and distributed into several strategic and operational processes due to activities and priorities entirely different in these two areas. The grouping of purchase requisitions and procurement-oriented products development are tasks typically delegated to strategic procurement supplier management. Strategic procurement, preceding e-procurement, had to deal with administrative routine work often as well as converting purchase requests into purchase orders or guaranteeing the correct allocation of invoices received such as individual transactions.

One of the frequently neglected in the process is strategic process that has a lot to do with the buyer having little influence over the choice of suppliers and the purchased products. Internet technologies are aimed at creating faster and more efficient operational procurement processes. This is done by avoiding the purchasing department and allowing those people to focus on more strategic tasks since requesters directly search for and select products in electronic catalogs which are authorized and negotiated by strategic procurement in advance in e-procurement (Kotler, 1999; Puschmann & Alt, 2005).

 

 

 

Significance and Objectives of the Study

 

The  concepts of materials resource planning has been around a long time but it is with the introduction of new information and communication technologies where its importance has been highlighted.  The evolution of MRP to encompass data basing and sharing and how such set of information could be transmitted instantaneously to its intended receiver is a phenomenon which is often misunderstood. There is then a need for a closer look on how such concepts and practices such MRP had evolved in robust new industries such as business logistics such as DHL.

The subject of the case study, DHL provided the opportunity to examine closely the development of MRP as integral to the operation and development of such companies as DHL which is now spanning the globe with its business network. Distance appeared to be less than a factor with the techniques and softwares available to handle complex inventory, order placement, production scheduling and the likes which are intimate processes in the production cycle of these companies.

The study may give us some insights as to how businesses will be conducted given the advent of the information technology an increasingly global business environment. The study could also give us an insight on how management could be affected by changes in the business environment.

Take note that the business of line of DHL is essential materials resource planning, it is involved in moving parcels from one point in the planet to another, using available logistics to do so.

 

 

Statement of the Problem

Statistics on companies showed trends they are undergoing a major shift in the pursuit of the company’s objectives by lowering costs, specifically in the acquisition of raw materials and industrial equipment and maximization of labor time through better output. The management supply chain of a company heavily relies on this part by turning the total output of the firm at a higher rate while saving the resources of the firm and thereby increasing profitability. E-transactions either related to procurement, sales or service deliveries and  personnel have its promising potential to achieve objectives. Yet the problem still persists whether it is really an efficient way to address a firm’s needs on the production side. Also, the existing e-procurement services for example, which caters primarily to business-to-business transactions has to ensure that this move will still maintain the value in a firm’s supply chain that specifically affects a particular industry.

One major problem would be the ability obviously is sorting the mass of information and making business sense out it. Here is an important management research concern, how to compress data, make summaries for the decision makers. On the part of the decision makers the response time for specific data is fundamental if management is to make the correct decision for a particular concern.

This is quite important in setting up the business case for e-transactions in a particular industry. Different industries have their unique set of requisites and manner of operation although there are general principles which govern its behavior. Hence, record keeping is normally covered by policies on purchasing, marketing, public relations, etc. which keeps the executives ever on the look for problems and potential problems. And in an environment increasing becoming team oriented and horizontal rather than top-down mode, effective information use is becoming important criteria in good management. You cannot simply lead without supporting documents and factual statements of a specific situation.

 

The general shifts in the business business environment

 

The impact on the business environment of IT it not so much on hardware but access and this entails acquiring new set of skills and knowledge exacerbating the problem of upgrading personnel. HRM would naturally be highlighted.

 

Example of problem of standardization

The current classification systems being utilized in e-procurement such as the CPV or the Common Procurement Vocabularies, UNSPSC – Universal standard products and services classification, NUTS – Nomenclature of Territorial Units) are too complicated to use or not may not even be known to small business firms who also engage in e-procurement services. The services appear to be too detailed for presentation in the firm’s structure when it comes to preparing their certain notices, most of which are not comprehensive enough for companies eagerly seeking for market opportunities. The problem that needs to be solved on what the mechanisms to be used are.

Still, the cost or the entry price for initiating an e-procurement development is too expensive these days and the resources that are being used are too costly that only the major companies could afford to accomplish. Such examples are the stars and cash cows in the marketing grid wherein resources are high regardless of the profitability. In this situation, the primary objective of profitability is initially sacrificed and is reaped in the long run. Problem is, not all companies could stand to do this research and sacrificing profitability also means risking their business as a whole.( Bizpep Excel Business Support Software, 2006; Jesietus, 1997). In a business which relies on mobilizing people and resources (transport e.g. airplanes and vehicles), computer networks becomes part of the operation and not only that, systems or programs which will produce the most out of the hardware for the benefit of a specific business operation.

 

Analysis of the Logistics Business

The word aministration  has thorough meanings in particular contexts, but all hold on to the sense of providing service. The word administration in business context consists of the performance or management of dealings as well as other aspects in the business, plus the formulating and executing of major decisions. The administration can be classified as the universal process of organizing people and resources efficiently to lead actions toward common goals and objectives that integrates both leadership and vision. Management models are reflected by the administration and such models become popular, influential, and are then outdated by other emerging models. It is the administration that makes major decisions in a company. (Kotler, 1999)

The administration is the one responsible for planning. Planning is deciding in advance what, how, when, and who should do it. The planning function involves creating a solid foundation for goals and assembling them in logical order. Furthermore, it bridges the gap from where the organization is to where it wants to be. Planning has both symbolic and functional values and it is the administrators’ job to engage in both short-range and long-range planning. (Reinhardt, 1998; Yoegel, 1998)

 

The use of electronic means to conduct a company’s business is called e-business. The growing number of people using the Internet has greatly increased the companies’ capabilities to inform people and advertise their products with the use of personalized websites at very reduced costs to their company’s expenses. E-commerce, which is basically more specific than e-business, provides information to the visitors of the website, not only of their list of services and products but also their company’s history, policies, and even job opportunities. This facet of electronic business has given way to E-purchasing and E-marketing. Statistics shows that more and more people are using the internet nowadays.

The number of people using online services can be sub-divided into major categories; those who are researching and using web-based libraries, those who purchase items from flowers to clothing, automobiles and housing. People check the internet for information these days and because the majority of online consumers are younger and relatively better educated than the general population, their use is more or less leaning towards entertainment and socializing services. (Reinhardt, 1998)

The electronics industry among many other industries have experienced the huge changes that Internet and e-business has brought on, increased by the affordability of high-speed computers. To bring advantage to the industry via Internet, a company must have a high-speed Internet service that provides more benefits than their competition. The effectively of a marketing strategy depends highly on the capability to identify consumer needs and the effectiveness of the media used in reaching the targeted consumers.

 

According to Patricia Seybold, the keys to succeeding in E-commerce are:

1.) For the company to target the right customers,

2.) Owning the customer’s total experience,

3.) Streamline business processes that impact the customer,

4.) Provide a 360 view of the customer relationship,

5.) Let the customers help themselves,

6.) Help customers do their jobs,

7.) Deliver personalized service and 8.) Foster community.

 

Every business, regardless of its size, will be more successful with a business plan, and specifically, a marketing plan. A good and effective marketing plan summarizes who the target buyers are, what source of uniqueness or positioning in the market that they have, where they will implement their marketing spending plans, when the marketing spending plans will occur or be implemented and how much sales, spending, and profits they will achieve.  The marketing plan details when expenditures should be made and the basis of financial projections. It also determines the levels of sales that will be achieved and how and when advertising and promotional expenditures should be made. (Reinhardt, 1998)

 

The major components of a marketing plan are:

 

1.) The situation analysis which describes the entire marketing environment in which the company competes and the status of its products and distribution channels.

 

2.) The opportunity and issue analysis that analyzes the major external opportunities and threats to the company as well as the internal strengths and flaws of the company.

 

3.) The goals and objectives which should outline company goals, and the marketing and financial objectives.

4.) The marketing strategy section that provides the company’s marketing strategy statement, summarizing the key target buyer description, competitive market segments of the company it will compete in and its advantages in regards to positioning, products, price strategy, marketing spending strategy and the likes.

 

5.) The sales and marketing plan which outlines specific marketing action plan to increase sales.

 

In formulating a marketing plan, the company must keep in mind that markets are conversations consisting of human beings and not demographic sectors. The Internet also only enables conversations among human beings that were simply not available in the Mass Media era. The result of Internet in the market is that people are becoming smarter, more informed and more organized, and whether the news is good or bad, they will tell everyone as can be seen in websites that basically reviews everything, from publishers to movies and other business institutions. In addition to that, people in networked markets have also realized that they get far better information and support from each other than vendors (Reinhardt, 1998; , “To Byte the Hand That Feeds”, 1998).

 

 

 

The Case:  FedEx and DHL and the logistics business

 

One specific reason as to how both business logistics solution providers, DHL and FedEx has reached their status as industry leaders among various firms that are also engaged in the same line of business is because of their commitment in proving services that caters specifically to every needs of their clients.

For instance, what started out as an undergraduate thesis at Yale University came out to become a company of “firsts” this line of business. Federal Express which has changed its name into FedEx that most of us know of today, officially started out operations in 1973 delivering parcels from New York to Florida (“FedEx History”, 2006). FedEx’s mission statement states that the company will revolutionize global business practices that will define speed and reliability. Federal Express, through the years, did just that. The company’s particular ability to provide high value-added supply chain, as well as effective packages that also covers the transportation while relating information and business itself through specific operating companies. This was coupled with the assurance to every market segment they serve of the highest degree of quality in services. This has caused the development of harmonious relationships between its company clients and partners without sacrificing the issue of safety in its processes.

Another American service provider, DHL, has pretty much the same mission statements as that of FedEx which aims primarily to aid their clients in achieving high quality and swift services that could improve company performance (“Press Release”, 2006). DHL attributes this to their expertise and knowledge of both local and global customer needs and demands. This emphasis on the significance of culture helps DHL provide an outstanding service in all levels of business specifications. Furthermore, one thing unique about DHL’s mission statement is the inclusion of concern not only for their clients and partners but as well as for the environment and their employees. This signifies the particular social responsibility that the company adheres itself to.

 

Corporate Strategy Comparisons

Corporate strategies employed by both companies also played a major role in establishing itself into the service providers that they are nowadays. For instance, these strategies have defined industry standards that were proved to become the benchmark other similar business logistic solutions providers’ offer for their clients (“Financial Results”, 2006).

For the part of DHL, the company’s primary commitment to communities wherein their work is defined has helped a lot in increasing company services. Their advertisements that particularly emphasize on the knowledge of local traditions and beliefs have proven to be effective that even FedEx ran a similar advertisement about the same concept. The execution of such particular concept is necessary since the nature of the business is basically done in a cross country approach. Additionally, the promotion of DHL’s employees’ social commitment caps off the intent of the company to become a holistic service provider whose concerns stretch out not only for profits but also for social consciousness (“DHL Company History”, 2005).

On the other hand, FedEx’s corporate strategy involves an array of techniques that they have well utilized over the years that they used to their own advantage. These strategies are designed to be implemented simultaneously along with other operating management standpoints. First up is the ability of FedEx to work and operate independently. This particular characteristic of FedEx focuses on their independent network sources which are being utilized to cope up with the changing preferences of their clients. A perfect example of this starts with the selection of the name itself that also connotes the tendency of its clients being patriotic. Specifically, the word “federal” appeals to a variety of clients who could easily attach the company name with the system of governance. Second is the capability of the firm to compete collectively by uniting as one organization that works for one objective under one name. For instance, FedEx has only one advertising agency that they hire so as to consolidate advertisements and reduce costs.

Another tactic that they instituted in their organization is the strategic choice of headquarters which is in Memphis, Tennessee. The location of the city makes it possible for the service provider to be able to reach out to several cities in such a short span of time. The capability of FedEx to collectively tackle the market is also one of the major reasons why the firm has been a trend-setter in most aspects of the business. As a matter of fact, recent company acquisitions that FedEx made provided an avenue for the company to expand its services into a variety of offerings. The services that they offered significantly grew from the traditional overnight parcel deliveries up to 3PL logistics, express mail services, and e-commerce among others. This proves the point that the existence of both service providers improved and redefined the efficiency of the service industry for it tailored itself to the changing demands and preferences of the market which is at the same time adept with the current market trends.

Last thing is the ability of FedEx to manage its resources collaboratively. As one of their publicity goes, the FedEx team works together to sustain loyal relationships among themselves and instill in them the camaraderie that is inherent with a group. This particular strategy is quite important so as to create a harmonious working environment wherein cooperation and helping out to each other is pretty evident.

 

Company Goals and Values

Both FedEx and DHL exhibit a considerable array of company goals that could deemed be useful for all the aspects of the business not mention the ability to tap all elements that makes the firms existence possible.

FedEx to be particular revolves its company values around the major stakeholders that are involved with the business. Number one here is the people, clients who greatly influence the operations management of the firm and also the primary reason for the existence of the company. Second is the service whose maintenance of high quality affects the perception of the general public which is pivotal in achieving company objectives. Innovation comes in third wherein the needs of the clients are constantly kept in mind in devising new services which could in turn inspire or improve the way we live. Fourth is the maintenance of company integrity in the management of operations and other aspects of the business with the use of appropriate behaviors towards the company’s clientele as well as their co-workers. Last is the protection of company loyalty both of the market as well as in the workplace in the belief that this would earn the company the necessary respect that it deserves.

On the last note, DHL envisions itself as the service provider of choice when it comes to express mail services and overall logistics network (DHL, 2006). At the same time, it aims to lead the industry in the provision of high standard quality services and at the same time being a favorably profitable business entity. Finally, to satisfy expectations of their stakeholders in reference to their performance in the ethical, social and environmental fields, concluding that the existence of both service providers do not only concern a small fraction but the whole components of the business as a whole.

Productivity Growth

Businesses tends to be complimentary and the logistical requirement of DHL for example could not be disassociated with for example with the electronics industry which is among many industries which have experienced the huge changes that Internet and e-business has brought on resulting to an increased affordability of later generation of high-speed computers. According to Michael Porter (2005), to bring advantage to the industry via Internet, a company must have a high-speed Internet service that provides more benefits than their competition. The effectiveness of a marketing strategy and service delivery depends highly on the capability to identify consumer needs and the effectiveness of the media used in reaching the targeted consumers.

We can only imagine how the interests of business entities in the global market or network of economies are intertwined by electronic communication or e-transactions.

 

Significance to specific economies

All too often the perception is that Asian manufacturing’s heyday is in the past. Nothing could be further from the truth. The reality is that the manufacturing sector is one of the primary reasons for the current Asian economic boom. More than any other sector, manufacturing made the highest contribution to real Gross Domestic Product (GDP) growth between 2001 and today especially in China.

Manufacturing outsourcing in China, Vietnam, and the Philippines is the engine of basic infrastructure development in the said countries. Based on the study conducted by the Journal of Economic Review published by the American Economic Association, the manufacturing outsourcing phenomenon in the Asia-Pacific region convinces local governments to improve basic infrastructure in order to accommodate the demands of the manufacturing industries investing in their country (Sheng, 2004).

Industry innovation in the manufacturing industry is also responsible for more than 70 percent of private sector research and development (R&D) and the centre for advanced technologies that also cut energy use and lead to a cleaner environment.

Manufactured goods make up more than 40 percent of Chinese exports, and more than half of Philippine exports (National Statistical Coordination Board, 2007). The outputs in the manufacturing industries of Vietnam and the Philippines even surpass agricultural outputs. However, Chinese agricultural exports amount to $17.3billion, the Chinese manufacturing sector produces RMB 105 billion or $14 billion. Overseas markets and exchange rate fluctuation of the local currencies are more critical in manufacturing compared to other industries of the economy.

For the case of the three countries, manufacturing wages fair lower compared to other non-manufacturing jobs. Even with these weaknesses, there are many more challenges for local manufacturers, especially the areas of costs, competitiveness and encouraging young people to pursue a career in manufacturing.

As baby boomers retire in western countries such as the United States, there is a growing gap between the worker skills that are needed in the future and the skills that younger workers bring to the job (Pecht, 2007). The manufacturing industries in Asia often do not encounter any problem with shortage of skilled labour since the local population has plenty to meet the demands of the manufacturing industry. Particularly, most of the workers in the Philippine manufacturing industry are degree holders from the country’s several colleges and universities (Fanelli,2002).

Cost spikes for China’s increasing demand for crude oil, the primary fuel used in manufacturing, is increasingly driving some manufacturers to relocate elsewhere in Asia. Countries such as the Philippines and Vietnam are the primary destinations of these outbound investments. The cost per employee of state regulations is higher for manufacturers than for other sectors of our economy. While legal costs in China as well as with Japan continue to rise, other countries decrease their corporate tax rates to levels. So far tax levels in Vietnam as well as with Special Economic Zones in the Philippines have been lower than that of the United States and China.

 

What makes a company invest in a country?

According to the World Bank study (1994 and 1995b), there are several reasons why efficient delivery of infrastructures for any industry is critical to the growth of an economy. These are:

Growth

Economic growth usually is the primary consideration for foreigners to invest in a particular country. Investors highly value the security as well as the profitability of their investments in the long run (Pecht, 2007).

For example, Toyota Motors, a world-renowned Japanese automobile manufacturer outsources its value supply chains in different countries with heavy concentration in the Philippines and in Thailand (Ang, 2000). Toyota in this case considers favourable economic growth of the country it is investing in as an important factor in investing. It can be noted that in 1983 during the capital flight in the Philippines resulting from unstable political conditions, Toyota moved out of the Philippines and only returned after the People Power revolt.

Likewise, demand for modern infrastructure grows at least as fast as the overall economy. Failure to meet this demand could undercut potential rapid growth. In the case of Vietnam, this is what happened after the local government has been able to create a favourable business environment. With this, American apparel companies such as Nike stayed in the country.

Competitiveness, the Chinese tigers

Infrastructure, both public and private is the basic consideration a company considers in site selection. Competitiveness therefore of a local manufacturing industry relies heavily on ample power supply, logistics solutions, and telecommunications services. These three factors are necessary in rich and poor economies alike to sustain growth and competitiveness in an increasingly integrated world (Pecht, 2007).

Take the case for example of Shenzhen in China, it was one of the first Special Economic Zones established during the term of Deng Xiaoping in 1980. Currently, the Shenzhen Special Economic Zone is host to a multitude of manufacturing outsourcing companies. However, rapid development of this city also caused an increasing demand on electricity which operates above capacity. With this, some companies operating in the city have their own generators which could help them whenever there are power interruptions. In terms of competitiveness, Shenzhen may be falling out compared to other cities in China as well as other countries in Asia (Sheng, 2004).  The China economy then could be viewed in terms of growth centers scattered in China characterized by rapid urban development and high concentration of population.

 

Quality of life

Poor infrastructure services mean a poor quality of life despite rapidly increasing incomes. In many countries, households’ access to these services remains far lower than would be predicted on the basis of income levels.

In Vietnam for example, a survey by the International Living on the Quality of Life Index for 2006 showed that Vietnam is significantly improving. Even though among the three, the quality of life in China and the Philippines are almost the same as shown in the figure below.

 

World Rank
Country
Score
116
China
57
116
Philippines
56
130
Vietnam
54
Figure 2: Quality of Life Index Rankings of China, Vietnam, and the Philippines

Source: International Living, 2007

 

Quality of life in these countries was measured in terms of infrastructure, social services (health and education), climate, cost of living, degree of freedom, and the economy (Thirlwall, 2002).

Some major companies in the Philippines such as Pilipinas Shell incorporates this thought as one of the major considerations they have while conducting business in the country. Companies like Pilipinas Shell put the uplifting of the quality of life of Filipinos as part of their Corporate Social Responsibility (CSR). Through this, the private sector plays another important part to the local economy.

Challenges in the Industry: Globalization and  Supply Chain Management

 

Globalization, short product lifecycles, short time-to-market, more customer-specific products and decreasing prices are some of the issues the multinational businesses face today. Previous decades brought some major changes. Many companies in these supply chains have begun to concentrate on their core-competencies, typically no more than one or two processes, and therefore outsource much of their non-core processes.

Today’s Electronics supply chains therefore are more complex, with many specialized players in the supply chain performing their own specific functions. For example, the largest part of manufacturing outsourcing is transferred, as a form of contract manufacturing, from the Original Equipment Manufacturers (OEMs) to the Electronics.

According to Li Sheng, who studied the trends in investment locations in China said that manufacturing Service providers (EMS) for a simplified overview of the structure of the Electronics supply chain, which shows the position of the EMS and OEM (Sheng, 2004). The market for EMS companies is expected to show a large growth the coming years, due to the fact that the Electronics industry’s size is still growing, and more importantly, that there will be an increase in outsourcing from OEM’s to EMS’s.

Due to all these changes, there is a growth in the number of inter-dependencies between the different players, the supply chain is becoming less linear than it was before and is evolving more and more into a network of interdependent companies, which is shown in a basic form figure on the below:

 

 

Figure 3. Typical Supply Chain Model

 

One of the largest risks of outsourcing is the natural gap that exists between two (or more) companies. Manufacturing outsourcing [3], for example, from OEM to EMS, faces the risks brought by the possibility of miscommunication and inefficiencies caused by the gap between those who design, market and sell the product, and those who manufacture it. Logical, since functions and tasks are no longer performed by a single enterprise, but are distributed and performed by different supply chain members.

To overcome this, to face the (end-) customers as one enterprise and also to improve speed, visibility and trust in the supply chain, the different companies in the supply chain need to synchronize their activities and processes, share information, and really start collaborating with one another. EMS companies, for example, can collaborate with their (most strategic) supply chain partners in the critical business processes, such as design, forecasting, sales, and customer support.

 

New Trends in Logistics

Shortly before the mid-1990s, majority of the firms have also been eager to redesign their affairs with their business partners on the supply chain side for a draft of an indirect procurement scheme. Though this was still in use, direct procurement was already able to answer all workings and raw material needs that were used in the manufacturing process of a final product, such as sheet metals, semiconductors, and petrochemicals.

Indirect procurement methods, on the other hand, speak about services and products for safeguarding, repair and operations (MRO) as well as primarily focusing on the products and services that are neither part of the final product nor directly resold. The methodologies of ERP are usually found functional to outputs with high transaction ERP methodologies have been functional to outputs with high transaction levels and direct implications for value-adding procedures. We will still find though that paper works level and labour concentrated procedures for indirect procurement harbours the larger number of inefficiencies (Culpan, 2002).

E-procurement systems’ dispersion in the late 1990s created the possibilities for reorganizing the MRO supply chains which are, compared to ERP, the said systems were to a considerable length less expensive and more flexible owing to the increased standardization on a technical level.

There have been studies on e-procurement indicating large efficiencies on the subject of process and procurement costs. In e-procurement, the end-user or requester is involved in the procurement process through an electronic multi-vendor directory and to close the process gaps like re-entering or transcribing data in the supply chain for indirect goods. The third stage of development in e-procurement with the integration of electronic markets in the supply chain since the end of the 1990s has as well been apparent.

E-markets have evolved together with the early system vendors such as Ariba, Commerce One or SAP. This has also provided support in the outsourcing of operational procurement functions as well as offer tools for auctions and requesting for quotations. The evolution of e-markets has brought on a considerable consolidation so that many now focus on outsourced solutions for catalogs and auctions (Gibson, et al, 2007).

Shortly before the mid-1990s, majority of the firms have also been eager to redesign their affairs with their business partners on the supply chain side for a draft of an indirect procurement scheme. Though this was still in use, direct procurement was already able to answer all workings and raw material needs that were used in the manufacturing process of a final product, such as sheet metals, semiconductors, and petrochemicals.

Indirect procurement methods, on the other hand, speak about services and products for safeguarding, repair and operations (MRO) as well as primarily focusing on the products and services that are neither part of the final product nor directly resold. The methodologies of ERP are usually found functional to outputs with high transaction ERP methodologies have been functional to outputs with high transaction levels and direct implications for value-adding procedures. We will still find though that paper works level and labour concentrated procedures for indirect procurement harbours the larger number of inefficiencies (Culpan, 2002)

E-procurement systems’ dispersion in the late 1990s created the possibilities for reorganizing the MRO supply chains which are, compared to ERP, the said systems were to a considerable length less expensive and more flexible owing to the increased standardization on a technical level.

There have been studies on e-procurement indicating large efficiencies on the subject of process and procurement costs. In e-procurement, the end-user or requester is involved in the procurement process through an electronic multi-vendor directory and to close the process gaps like re-entering or transcribing data in the supply chain for indirect goods. The third stage of development in e-procurement with the integration of electronic markets in the supply chain since the end of the 1990s has as well been apparent.

E-markets have evolved together with the early system vendors such as Ariba, Commerce One or SAP. This has also provided support in the outsourcing of operational procurement functions as well as offer tools for auctions and requesting for quotations. The evolution of e-markets has brought on a considerable consolidation so that many now focus on outsourced solutions for catalogues and auctions (Culpan, 2002)

To sum up, these three development stages forms the basis in defining the term e-procurement as well as explaining its applications in the Electronics Industry. E-procurement deals with the management of supply chains in the procurement of indirect goods based on Internet information systems and e-markets that could then be analyzed for its effectiveness in the Electronics Industry.

 

 

 

 

The Chinese Economy <Transfer to previous section on Chinese tigers>

The Chinese manufacturing industry is concentrated into the country’s several Special Economic Zones. Shenzhen was the first economic zone established and was followed by other ones in Zhuhai, Shantou, and Xiamen. This was further followed by several other economic zones in China wherein foreign trade thrives.

Majority of the world’s manufactured product comes from China. This has also made China one of the most important market economies. This became more evident when the country joined the World Trade Organization in 2003. Among the companies who have manufacturing operations in China are Foxconn, IBM, Lenovo, among others.

According to the Minister of Supervision in China, government control on export and import business has greatly relaxed (Pecht, 2007). Companies are now free to select partners and agree on terms and conditions of the deal including prices. The approval of foreign trade contracts is no longer required. Permits for lot shipments have been abolished. Customs procedures have been simplified including the setting up of green lanes. The list of goods that are subject to quota or licenses has been substantially shortened. For example, there is no longer export quota except for products that are controlled by quota imposed by importing countries.

Export and import taxes are the major tools to manage foreign trade. Most of export goods now enjoy export tax rate of 0% inside these Special Economic Zones (Pecht, 2007). Currently, there remain only 12 export products which are subject to export tax ranging from 0% to 5%.

Other Significant Factors

Multiplier Effect

Manufacturing has a greater multiplier effect on the rest of the economy than does any other sector. In the case of the United States, the industry study conducted by the Industrial College of the Armed Forces of the National Defence University states that each manufacturing dollar generates an additional $1.37 in economic activity. Standing by itself, U.S. manufacturing would be the eighth largest economy in the world.

In the case of the Philippines, Vietnam, and China, the multiplier effect can best be shown through the income that the manufacturing industry generates. Workers in these countries spend their salaries for other expenses such as food. Furthermore, these positive contributions by manufacturing provide the any economy with the innovation, productivity and resilience to keep strong.

Manufacturing’s high productivity rate, which determines real wage and benefit compensation increased by more than 50 percent over the past decade and was far higher than services, which increased by only 18 percent during the same period (Parsons, 2006).

 

International/ Regional Competencies

A lot of the foreign companies in the United States and Japan have been moving to Asia and the BRIC economies. According to the economic paper commissioned by Goldman-Sachs (2005), the BRIC economies are the fast emerging economies of Brazil, Russia, India, and China. These economies, according to the paper will be important countries in the world by 2050. China is projected to surpass the United States by that time. India will be more important than Japan by 2040.

China has been particularly chosen by foreign investors because of cheap labour costs even if majority of the higher management staff is still foreign. These foreign workers usually come from the mother country or from other English-speaking countries. This, according to Stephen Frenkel of the Cornell University School of Industrial and Labour Relations (2002) is a natural practice since company reports from the production site needs to be relayed by those who can communicate well with the higher level management.

Furthermore, China has also been a popular investment destination for Japanese electronics companies particularly in Dalian. This is explained by historical background that Dalian and Japan share. Japan in the first half of the 20th Century occupied the north-eastern part of China during the second Sino-Japanese War from 1905 until the end of World War II. After the war, a lot of Japan left a small population able to speak fluent Japanese. This unique characteristic of the people in Dalian make it a popular destination for Japanese investors today.

On the other hand, India and the Philippines, like Dalian is popular with American and other English-speaking nations because of the local population’s ability to speak fluent English.

In the field of manufacturing, these economies have seen the bulk of investments being made from the American and European investors who would set up their manufacturing plants in these countries. The efficiency brought about by outsourcing part of their supply chain will lower down operating costs and thereby increasing efficiency in their operations.

The same literature indicates that competencies of BRIC countries will then have to contend with a new set of emerging economies that will also be important in world trade – the Next Eleven or N-11.

The N-11 economies are the economies of Bangladesh, Egypt, Indonesia, Iran, Korea, Mexico, Nigeria, Pakistan, Philippines, Turkey, and Vietnam. The study says that these countries have the highest potential in becoming important economies based on the large population base that these countries have. These large populations will then be the key for their growth. This will occur even if the question whether N-11 countries will really become significant exists.

 

Figure 1: Largest Economies by (GDP) in 2050

Source: Goldman-Sachs

Material Resource Planning (MRP)

 

Material Resource Planning (MRP) system is used by manufacturing firms for effectively managing material requirements in a manufacturing process. It is a set of techniques that utilizes list of material data, inventory data, and the master production schedule to calculate requirements for materials (Bontis, Crossan, & Hulland, 2002; Sleight, 1993). MRP systems also make recommendations for purchasing additional materials. MRP is a system that makes recommendations to release replacement orders for materials. Because it is time-phased, it suggests rescheduling open orders when due dates and need dates are not compatible.

Time-phased MRP is done by releasing the bill of material, adjusting for inventory quantities on hand or on order and balancing the net requirements by the suitable lead times (Bontis, Crossan, & Hulland, 2002). Time-phased MRP begins with the items listed on the Master Production Schedule (MPS) and determines the quantity of all components and materials required to fabricate those items and the date that the components and material are required (Bontis, Crossan, & Hulland, 2002). The proper management of materials makes production tasks go more quickly. The employees can more accurately plan and execute daily manufacturing activities if they are able to look up the status of all necessary materials at any given time (Jesietus, 1997).

 

Frameworking a logistics business model

Study of organizational techniques, is essentially a study a “paradigm shifts” as there are many businesses which have begun in the last three decades which were stuff of science fiction before.  A framework then could be the way of synthesizing the discussions thus far.

 

Basic premises

There are several premises which seemed to underline a business organization and its environment.

The first premise adapted in the study is that changing environment in conducting business which has become multinational, cross-cultural and electronically networked.  The second premise is there is need to re-evaluate basic assumptions in organizational management considering that such changes would assert its influences in the organization. At this point of the paper, we attempt an integration drawing on the third premise that all transactions are people driven though essentially bounded by organizational rules on conduct.

 

The elements of the framework

The framework is generally based on basic organizational principles essentially based on the set concept in mathematics (Diagram 2?).

 

 

Diagram 2. A simplified model of a complex of business relationships

 

The figure A in Diagram 2 represent the manager in an organization represented by Figure B in the diagram.  The manager takes care that the demands of  the client (Figure C in Diagram 2) is essentially fulfilled and the transaction consummated by the delivery of a parcel as in the case of DHL.  Figure D is the suppliers and service providers which may be needed by the organization to enable it deliver the terms of agreements with the client.

While we may factor in the multi-level nature of DHL operation, so we may visualize it better, e.g.  a unified system to manage the networks of DHL outlets, what we want to accomplish here is to determine the individual components as they may be related in by the business line (Figure E in Diagram 2).  The business line bring together people under a single collective activity but is criss-crossed by possibly diverging interests, motivations and lines of business and work.

To test the model, we evaluate a particular news account which have relevance to the case:  an account from, In today’s FT, By Jonathan Soble in Tokyo, updated 8:10 a.m. ET Dec. 19, 2007 that:

 

All Nippon Airways plans to challenge DHL and Federal Express in Asia by joining forces with two Japanese transport groups to launch a door-to-door express parcel service.

The airline will take a 34 per cent stake in the venture, targeting business-to-business customers, according to a memorandum of understanding signed yesterday.

Nippon Express, the general transport company, and Kintetsu World Express will each take a 28 per cent share while other forwarding groups will take the remaining 10 per cent.

The venture is to begin operating next April. The name and total investment have not been decided.

The business will use a freight hub developed by ANA on Okinawa, close to mainland China. ANA will provide aircraft, while Nippon Express and Kintetsu will contribute ground-based logistics.

 

Three companies are joining forces to compete with European and US delivery groups. From the same account, DHL (with one-third share of Asian market) was reported it would build a  “$175m north-east Asian hub in Shanghai.”

 

In our model, the hub could represent the business line (Figure E in our model) and it would be easy to imagine the management requisites of the hub.

DHL in international network ensures effective and superior door-to-door delivery of packages and parcel needs. It has  56 branches, 163 facilities, 3 customer call centers and 1,500 vehicles establishing the largest network of devoted infrastructures in China. DHL is having a comprehensive coverage of 318 cities.  With its Asian hub in Shanghai, DHL is definitely geared for competition in the logistics industry in Asia, particularly China.

 

The business line of DHL could be further elaborated on by detailing the service offerings of the company. These services according to the DHL web site  include “expertise in express, air and ocean freight, overland transport, contract logistic solutions, as well as international mail services, combined with worldwide coverage and an in-depth understanding of local markets < www.dhl.com>.”

 

The movement of parcels through all means of transport requires computing powers to fully coordinate. While the researcher would very like to interview critical managers in the operation of DHL, I was advised by an informant that it is precisely what they are selling which I want to study and hence covered by confidentiality clause. This is why the researcher is relying on media accounts and from web sites which is publicly shared by the company in the hope of identifying the indicators of managerial flashpoints which the paper would like as far evaluation of the DHL

 

Industry Life Cycle as well as Product Life Cycle analyses

 

 

 

The nature of DHL

 

DHL is the global market leader of the international express and logistics industry, specializing in providing innovative and customized solutions from a single source. DHL offers expertise in express, air and ocean freight, overland transport, contract logistic solutions, as well as international mail services, combined with worldwide coverage and an in-depth understanding of local markets. DHL’s international network links more than 225 countries and territories worldwide with over 300,000 employees dedicated to providing fast and reliable services that exceed customers’ expectations.

 

Founded in San Francisco in 1969, DHL is a Deutsche Post World Net brand. The group generated worldwide revenues of $80 billion in 2006(a). For more information about DHL, visit www.dhl.com.

 

The clientele of DHL

We can see some aspects of a delivery service such as DHL provides in the news account dated December 17, 2007 08:18 AM Eastern Time, with a lead

DHL Prepares for Holiday Season Peak on “Super Monday” World’s Leading Express Delivery Company Expects to Surpass All-Time Single-Day Volume on December 17

 

 

The increase in volume of service demands corresponds to the holiday season in the Americas.  While Christmas for example is a major annual celebrations revered and characterized by increased business volumes especially for carriers of messages including greeting cards and gift items. Some passages from the account are illustrative of how complex the DHL operation could be and how the company adjusts its operation in response to a projected increase in demand volume.

 

 

PLANTATION, Fla.–(BUSINESS WIRE)–Given the annual shopping-and-shipping frenzy that marks the height of the holiday season, DHL, the world’s leading express delivery and logistics company, is taking steps to ensure that holiday shipments arrive at their destinations on time. DHL enters the peak day of December 17 – known to those in red and yellow DHL uniforms as “Super Monday” – with 10,000 team members strong at its primary U.S. hub as well as tens of thousands of others across the country to efficiently move packages through the DHL network. Overall, DHL expects to move over 14.5 million packages across the globe on Super Monday.

 

 

annual shopping-and-shipping frenzy that marks the height of the

holiday season, DHL, the world’s leading express delivery and logistics company, is taking steps to ensure that holiday shipments

arrive at their destinations on time.

 

10,000 team members strong at its

primary U.S. hub as well as tens of thousands of others across the country to

 

efficiently move packages through the

DHL network. Overall, DHL expects to move over

14.5 million packages across the globe on Super Monday.

 

 

In today’s FT

Data & tools

By Jonathan Soble in Tokyo

updated 8:10 a.m. ET Dec. 19, 2007

 

All Nippon Airways plans to challenge DHL and Federal Express in Asia by joining forces with two Japanese transport groups to launch a door-to-door express parcel service.

The airline will take a 34 per cent stake in the venture, targeting business-to-business customers, according to a memorandum of understanding signed yesterday.

Nippon Express, the general transport company, and Kintetsu World Express will each take a 28 per cent share while other forwarding groups will take the remaining 10 per cent.

The venture is to begin operating next April. The name and total investment have not been decided.

The business will use a freight hub developed by ANA on Okinawa, close to mainland China. ANA will provide aircraft, while Nippon Express and Kintetsu will contribute ground-based logistics.

European and US delivery groups dominate the Asian express parcel market and are adding infrastructure. Germany’s DHL, which leads with about a one-third share, said last month it would build a $175m north-east Asian hub in Shanghai.

 

Second-ranked Federal Express opened a Chinese domestic hub this year and plans to shift its Asia-Pacific centre from Subic Bay in the Philippines to a larger facility in Guangzhou in 2009.

 

Satoru Aoyama, analyst at Fitch Ratings, said a challenge for the ANA venture would be to draw custom from outside the three partners’ roster of Japanese clients.

 

“To challenge the big companies they will need to invest heavily,” he said.

Copyright The Financial Times Ltd. All rights reserved.

 

Xxxx

 

Search Results for Google

December 17, 2007 08:18 AM Eastern Time

DHL Prepares for Holiday Season Peak on “Super Monday”

World’s Leading Express Delivery Company Expects to Surpass All-Time Single-Day Volume on December 17

PLANTATION, Fla.–(BUSINESS WIRE)–Given the annual shopping-and-shipping frenzy that marks the height of the holiday season, DHL, the world’s leading express delivery and logistics company, is taking steps to ensure that holiday shipments arrive at their destinations on time. DHL enters the peak day of December 17 – known to those in red and yellow DHL uniforms as “Super Monday” – with 10,000 team members strong at its primary U.S. hub as well as tens of thousands of others across the country to efficiently move packages through the DHL network. Overall, DHL expects to move over 14.5 million packages across the globe on Super Monday.

 

“Preparation for the holiday season and our very own ‘Super Monday’ began the day after Christmas 2006,” said John Cameron, executive vice president of operations for DHL. “Members of our cross-functional team – from our air and ground fleet, to sales and service – have been working closely for this year-long ramp up. The formula for success is communicating regularly with our customers to understand their needs plus planning for the expected, but being prepared for the unexpected.”

XXX

Just to give an idea on the volume of transactions carried out everyday which will translated to parcel moved across certain territory. From the same account:

Today, DHL expects a 50 percent increase over its average daily volume during the first three quarters of this year, as it will deliver approximately 2.5 million packages and pick up 2.3 million packages across the United States. In addition to its primary hub in Wilmington, OH, the volume increase will be shared by DHL’s Allentown, PA, facility on the East Coast, which will process up to 90,000 shipments per hour today, and by its West Coast facility in Riverside, CA, which will process 60,000 shipments per hour.

 

“We are seeing heavy customer reliance on ground shipping this holiday season and are prepared to manage today’s expected spike in ground volume,” added Cameron.

 

DHL has taken the following steps to manage shipments during the peak of this 2007 holiday season:

 

* DHL has added more than 440 daily truck routes to its regular network schedule, a 25 percent increase over its average daily ground linehaul capacity.

* Nearly 10,000 staff members, including hundreds of seasonal and temporary workers, are working around the clock at DHL’s principal air and ground hub in Wilmington, OH, to ensure customer packages reach their destinations in time for the holidays.

* The workforce has also increased at DHL’s 18 other U.S. regional sort centers by 50 percent.

* The average daily volume for [email protected], DHL’s business-to-consumer service in partnership with the U.S. Postal Service, will more than double during the month of December, driven by online retailers, catalog companies and other business-to-consumer shipments.

* During the month of December, DHL expects to double the volume of packages handled through DHL drop boxes and its nationwide retail network of DHL Authorized Shipping Centers®, including OfficeMax® locations and independent mail and parcel centers.

* During the month of December, DHL projects a 10 percent increase in customer shipments processed online and a 30 percent increase in online tracking requests over last season.

 

DHL offers a variety of access points and solutions that help customers prepare and manage all of their shipping needs. Customers can drop packages off at any one of DHL’s 470-plus service centers, 4,400 retail shipping locations, and DHL drop boxes across the U.S. Customers can also log on to www.dhl-usa.com, or call 1-800-CALL-DHL, to schedule a pick up at home or at work.

 

Important Dates for Holiday Shipping

 

To ensure their shipments arrive in time for Christmas, customers can ship packages as late as December 21 using DHL’s next day 10:30 a.m., 12 p.m. and 3 p.m. services. The deadline for shipping packages through DHL 2nd day is December 19. For those special, last-minute deliveries, customers can turn to DHL’s Same Day Service, which operates seven days a week, 365 days a year. Customers can log on to www.dhl-usa.com, or call 1-800-CALL-DHL for more information on holiday shipping options.

 

To learn more about how DHL is preparing for the 2007 holiday season, visit www.dhl-usa.com/holiday/. Members of the media may access free multimedia, including DHL video content and print-quality stills, by visiting www.thenewsmarket.com/DHL. Media may also request interviews and visits to DHL service centers around the nation to photograph stills or B-roll by contacting the DHL USA Press Office at (954) 888-7114 or [email protected]

 

About DHL

 

At DHL, Customer Service is back in shipping. Our mission is to provide the most flexible, personable and enjoyable experience in the shipping industry for our customers.

 

DHL is the global market leader of the international express and logistics industry, specializing in providing innovative and customized solutions from a single source. DHL offers expertise in express, air and ocean freight, overland transport, contract logistic solutions, as well as international mail services, combined with worldwide coverage and an in-depth understanding of local markets. DHL’s international network links more than 225 countries and territories worldwide with over 300,000 employees dedicated to providing fast and reliable services that exceed customers’ expectations.

 

Founded in San Francisco in 1969, DHL is a Deutsche Post World Net brand. The group generated worldwide revenues of $80 billion in 2006(a). For more information about DHL, visit www.dhl.com.

 

(a) Revenues reported in U.S. dollars as of December 31, 2006.

 

<access at http://www.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20071217005536&newsLang=en>

Xxx

 

Search Results for Google

December 17, 2007 07:00 AM Eastern Time

DHL, UNICEF, Sanofi and HPIC Team up to Deliver Life-Saving Vaccines to Children of Uzbekistan

 

Vaccines Will Help Children Get a Healthy Start in Life

 

This is a news account which reveals an insight to corporate responsibility of DHL but at the same time a show of corporate muscle in the logistics business.

 

TORONTO–(BUSINESS WIRE)–On Monday, December 10th, 2007, the last shipment of more than 750,000 life-saving vaccines was loaded on an airplane bound for Uzbekistan, in the final chapter of an extraordinary humanitarian effort in Canada spearheaded by UNICEF, sanofi-aventis Group, one of the country’s leading medical aid agencies, and the logistics division of DHL to provide badly needed medicines to the children of Uzbekistan.

From the above passage it is clear how a airplane load could carry up to to 750,000 units of parcels bound to a destination in this case, Uzbekistan.

Sanofi Pasteur, the vaccines division of sanofi-aventis, donated the single doses of vaccine to Health Partners International of Canada (HPIC), a Canadian medical aid agency dedicated to improving access to healthcare and medicine in the developing world. HPIC is providing the vaccines to UNICEF, the world’s leading children’s humanitarian agency, for use this winter in a vaccination program for the children of Uzbekistan.

 

The vaccine will be used to immunize children under the age of two against pertussis (whooping cough), diphtheria, tetanus and polio. Uzbekistan’s Ministry of Health covered all in-field transportation costs and supplied sufficient quantities of syringes and safety boxes. DHL, a long time corporate partner of UNICEF, discounted the transportation cost of 26 temperature controlled containers, and leveraged its unmatched global network and delivery expertise to manage the movements of the precious cargo.

 

“While Canadian children have access to free vaccines, other children around the world in countries like Uzbekistan do not receive these life-saving vaccines,” said Nigel Fisher, UNICEF’s President and CEO. “That is why this donation and shipment of vaccines is so critical.”

Here is an example of the nature of the DHL business and the details of handling its shipments provide particularities which its managers have to consider.  As Jeremy Shrubbs, Director Business Development, Lifescience, DHL Global Forwarding, Canada, said: “Because the vaccines had to remain in a range between +2°C to +8°C at all times, this shipment was especially challenging. As a result, we engaged LifeConEx, a joint venture with DHL Global Forwarding and Lufthansa Cargo, to ensure the vaccines were safeguarded and maintained complete integrity at each step of the journey.”

 

xxx

“We believe commitment to good corporate citizenship is a fundamental part of achieving sustained value creation for both society and our company, and thus to ensuring the future of the work that we do,” said Donna Letterio, Country Manager, DHL Global Forwarding, Canada. “A global transportation system is at its best when it can be put to use to help those in need. This is especially true with the holiday season upon us and with the onset of winter weather in Uzbekistan. We are delighted to have supported UNICEF in this important endeavor to help improve the lives of so many of Uzbekistan’s children.”

 

For more than a decade, UNICEF has been providing vaccine procurement services in Uzbekistan and is currently assisting the state in professional capacity building to improve safe immunization practices.

 

Immunization is fundamental to UNICEF’s life-saving work across the world. Immunization programs are estimated to have saved over 20 million lives worldwide over the last two decades. Currently, more than 100 million infants are immunized each year around the world and, as a result, over two million lives are saved annually.

 

According to John Kelsall, President of Health Partners International of Canada, this is just another example of Canadians coming together to help people in need around the world. ”It is wonderful to work with generous and effective partners to bring these valuable vaccines to children in Uzbekistan. For many, this will mean the opportunity to thrive and lead productive lives.”

 

About DHL

 

DHL is the global market leader of the international express and logistics industry, specializing in providing innovative and customized solutions from a single source.

 

DHL offers expertise in express, air and ocean freight, overland transport, contract logistic solutions as well as international mail services, combined with worldwide coverage and an in-depth understanding of local markets. DHL’s international network links more than 220 countries and territories worldwide. More than 300,000 employees are dedicated to providing fast and reliable services that exceed customers’ expectations.

 

DHL is a Deutsche Post World Net brand. The group generated revenues of 60bn euros in 2006.

 

About LifeConEx

 

LifeConEx is a joint venture between DHL Global Forwarding, the world’s largest air and ocean freight forwarder, part of Deutsche Post World Net, and Lufthansa Cargo, the leading airfreight cargo company on the international market. LifeConEx is the only industry-specific provider of integrated end-to-end temperature controlled transportation solutions for the life sciences industry ensuring that highly sensitive products are delivered at the right place, at the right time, and in the right condition. LifeConEx offers regulatory compliant process mapping, customized quality agreements, comprehensive 24/7 process and quality control, and technical consulting.

 

It apparent that DHL to operate as a carrier is in joint partnerships with different organizations providing services and supplies.  In this case, LifeConEx is an example of Figure D of our model – supplier which management in DHL has to deal day in and day out in its operation. It is maybe in this function of constantly in the look out for new challenges in the business that the dynamism of DHL and similar businesses is facing. In this sense, its life cycle because of developments in other businesses once incorporated provide the impetus for reinventing the “life” of the company.

Take note that certain businesses or types of services die down because of new technology and one of them is the telegram, very much replaced by electronic means but for services such as delivery of life saving vaccines as in the example above showed, the logistics or delivery service offered by DHL appeared to be relevant and integral in how business and affairs are being carried out across the globe.

 

About UNICEF

 

UNICEF is the world’s leader for children, working in 155 countries and territories, to save, protect and enhance the lives of girls and boys. UNICEF supports child health and nutrition, promotes quality basic education, protects children from violence, exploitation and AIDS, and is the world’s largest provider of vaccines for developing nations. A global leader in emergencies with six decades of on-the-ground experience, UNICEF saves and rebuilds children’s lives in natural disasters and conflict. UNICEF is funded entirely by voluntary contributions from individuals, businesses, foundations, schools, associations and governments. Donations can be made online at www.unicef.ca, by calling 1-800-567-4483 or by mail at UNICEF Canada, 2200 Yonge Street, Suite 1100, Toronto, ON M4S 2C6.

< http://www.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20071217005081&newsLang=en>

Xxx

Client definition 2, case of DHL in Malaysia

The following news account is illustrative of the market segmentation being done by DHL.  In a report, Wednesday December 5, 2007 with the following lead story, DHL Express to give more support to SMEs by EUGENE MAHALINGAM accessed at [email protected] , it appeared that DHL is engaging in expanding its market share of the communication needs of small business recognizing perhaps in emerging economies such as Malaysia for example, which is one of the economies in South East Asia showing a robust pattern which is characteristic of the region in the last decade or so.

 

 

PUTRAJAYA: DHL Express (M) Sdn Bhd aims to provide more support to local small and medium enterprises (SMEs), according to country manager Sam Leong.

“We are looking more at SMEs. We want to support them and increase our communication and interaction with them,” he said.

Sam Leong

Speaking at a press conference yesterday, Leong said SMEs, like large corporations, could leverage on DHL’s sound supply chain and multiple distribution centres in the country.

In the case of Malaysia, DHL is the leading logistics business with market share estimated at more than 40 percent. And as in the case of China, DHL continue to invest in improving its facilities to be able to protect its interests and expand.  As Leong was quoted as saying that “The same solutions (available for bigger corporations) can be downsized for SMEs to secure new markets.” He also pointed out that there are misconceptions that DHL only caters to large organizations hence the campaign to reach to SME.

One particular item mentioned in the news article was the observation that one particular outlet located at the Central Market was successful in that tourist which visit Malaysia as an intermediate stop use DHL to send souvenir items back home.  Here we see the instance of the local businesses in Malaysia (souvenir producers) are linked by DHL to the tourism to industry by essentially selling convenience.

 

“DHL already has a solid infrastructure in Malaysia. We want to enhance what we already have.”

< http://biz.thestar.com.my/news/story.asp?file=/2007/12/5/business/19668592&sec=business>

 

STORY TOOLS

Global Logistics: DHL buys out remaining share of Sinotrans-Exel JV

RELATED ARTICLES

 

* Logistics technology: Descartes acquires RouteView Technologies

* Railroad shipping: AAR says weekly volumes down 4.0 percent

* Port of Los Angeles follows Long Beach lead on “Clean Trucks”

* Global Logistics: YRCW enters into definitive agreement to acquire Shanghai Jiayu Logistics Co. Ltd

* Port Security Grant program to get full funding from domestic spending bill

 

 

3rd Annual Online China Logistics Conference

Logistics Management’s 2nd Annual Warehouse Operations Survey Live Webcast

2007 Global Supply Chain Conference

Best Practices for Optimizing Supply Chain Visibility

Transportation Management for Business Network Transformation

 

Newsletters

Logistics Preview (Monthly)

This Week in Logistics (Weekly)

Supply Chain & Logistics Tech Briefs (Monthly)

Resource Center E-Alert (Monthly)

 

View All Newsletters

 

 

 

Advertisement

ALSO BY THIS AUTHOR…

 

* Logistics technology: Descartes acquires RouteView Technologies

* Global Logistics: YRCW enters into definitive agreement to acquire Shanghai Jiayu Logistics Co. Ltd

* Port Security Grant program to get full funding from domestic spending bill

* Railroad shipping: Heartland report examines how U.S. freight rail bottlenecks may be prevented

* Pugh steps down as NMFTA executive director

 

In another article, DHL showed its strategic value being given to China with account of its purchase of Sinotrans Air Transportation Development Co Ltd 50 percent interests in Sinotrans-Exel JV (joint venture) in China formed about 11 years ago.  This is complementing the planned hub reported earlier.

<Insert in previous article on 175M hub in Shanghai)

 

SINGAPORE—Express service and logistics provider DHL said today it has officially completed an arrangement with with Sinotrans (Sinotrans Air Transportation Development Co Ltd) for its parent company Deutsche Post World Net (DPWN) to purchase the remaining 50 percent share of the Sinotrans-Exel JV (joint venture) in China, which was formed in 1996.

 

News of this deal possibly happening were reported by AFX News in June, when it was reported that DHL had expressed interest in bidding for a 50 percent stake in Exel-Sinotrans Freight Forwarding Co Ltd, a joint venture between Exel LLC, an affiliate of Deutsche Post. DHL’s President of Greater China and South Korea, Jerry Tsu said in the report that DHL was in talks with Sinotrans at the time, but that there was no progress to report at the time.

 

DHL apparently is always keeping its operation attuned with different contingencies in their line of business as this statement from DHL as to the rationale for the take over of the joint venture and formation of a “wholly owned foreign entity” or WOFE:

 

“The new wholly owned foreign entity (WOFE) will “facilitate the continued integration of the heritage Exel and DHL business units under the DHL Logistics brand in China, creating greater business synergies and providing enhanced customer benefits while driving economies of scale,” according to a DHL statement.”

It is curious to note that from the same article, Evan Armstrong, president of Armstrong & Associates Inc., a supply chain consultancy in Stoughton, Wis., was interviewed and his comment reflected how DHL kept abreast of new developments, make necessary adjustments and execute actions based on meticulous planning:

 

“described this move as one of many that Deutsche Post World Net and DHL Logistics has taken to tap the growing potential of the rapidly expanding domestic Chinese economy.”  Armstrong according to the news account:

“explained that Exel initiated its Chinese operations in 1984 by forming an agency agreement with Sinotrans—a leading provider of transportation and logistics and China. And in 1996 they strengthened the relationship forming Exel-Sinotrans Freight Forwarding Co. joint venture. With the DPWN acquisition of Exel in 2005, DHL gained control of contract logistics operations in 15 major cities in China with a total of 833,900 square feet of warehousing space and approximately 1,200 people, commented Armstrong.”

 

“By buying out the JV, DHL Logistics further strengthens its ability to provide integrated solutions for customers supporting domestic Chinese supply chain management and international freight forwarding,” Armstrong told Logistics Management. “This move ups the ante for every other company wishing to become a leader in the domestic Chinese 3PL market.”

 

The DHL statement added that the purchase of the remaining stake from Sinotrans is another milestone for DPWN and is further proof of its commitment to invest in and expand the Group’s presence and capability in China, as evidenced by its November announcement that it has invested $175 million for its new DHL Express North Asia hub in Shanghai, China, which will be located at the Shanghai Pudong International Airport.

Xxxx <up to here….>

“DHL and Sinotrans have had, and continue to have, an ongoing and mutually beneficial relationship in the logistics and express industry in China,” emphasized DHL Global Forwarding’s Asia Pacific CEO Peter Landsiedel in a statement. “Sinotrans’ agreement to sell its 50 percent stake in the Sinotrans-Exel JV is strategically relevant to each organization, and is a move that suits both groups’ long-term objectives and approach towards developing and maintaining a market leadership position in China’s booming logistics industry.”

 

< http://www.logisticsmgmt.com/article/CA6513051.html>

 

Xxx

DHL to Invest $175 Million

In New Shanghai Facility

By BRUCE STANLEY

November 26, 2007 10:51 a.m.; Page A8

 

HONG KONG — DHL Worldwide Express Inc. said it will invest $175 million in a new express-delivery hub in Shanghai to serve its customers in China and other countries in northern Asia.

 

The planned 55,000-square-meter facility at Shanghai Pudong International Airport will play “a catalytic role” in DHL’s efforts to expand its business in Asia and will be of particular benefit to its clients operating in China’s industrial Yangtze River Delta area, the company said.

 

DHL, a unit of Deutsche Post AG of Germany, now serves mainland China from a hub in Hong Kong, a special administrative zone of China that enjoys a degree of self-government. By also opening a facility in the Chinese mainland, it hopes to counter similar moves that both of its U.S. rivals, United Parcel Service Inc. and Fedex Corp., announced in July 2005.

 

UPS is building a hub in Shanghai, while FedEx plans a facility in the southern Chinese manufacturing center of Guangzhou.

 

DHL, UPS and FedEx are all vying for a bigger share of China’s ballooning market for the rapid delivery of documents and packages. DHL estimates that by as early as 2012, China and other countries in northern Asia will account for 30% of global express-delivery volumes, up from about 18% today. A steep growth rate for Chinese exports and China’s rising level of domestic consumption are two of the main drivers for this forecast increase, said Dan McHugh, chief executive officer at DHL Express for the Asia-Pacific region.

 

DHL selected Shanghai from among 133 possible sites for its northern Asian hub and plans to complete the new facility in the second half of 2010. Mr. McHugh said the new hub will compliment DHL’s distribution facilities in other Asian cities, which, in addition to Hong Kong, include Bangkok, Thailand; Incheon, South Korea; Singapore; and Sydney.

 

With a hub in Shanghai, DHL said, it would be able to speed up its deliveries in Northern Asia and offer customers more regional connections and intercontinental links to Europe and the U.S.

 

At present, DHL serves mainland China with 14 weekly dedicated freighter flights operated by Air Hong Kong, a joint venture owned 40% by DHL and 60% by Cathay Pacific Airways Ltd. DHL also contracts to fly air cargo in the bellies of commercial passenger jetliners; it makes 500 such shipments in China each week. In addition, the company’s Hong Kong hub receives 140 deliveries by trucks across the border from southern China, Mr. McHugh said.

 

Write to Bruce Stanley at [email protected]

<http://online.wsj.com/article/SB119608750525003911.html?mod=googlenews_wsj>

 

Xxx

BIZCHINA / Center

Shanghai named new DHL hub

By Lu Haoting (China Daily)

Updated: 2007-11-27 10:18

 

DHL, a world leading express shipping and logistics company, yesterday announced it will spend US$175 million to build its North Asia express transferring hub at Shanghai Pudong International Airport.

 

Related readings:

Shanghai awaits DHL decision

DHL plans investment of millions in China

DHL domestic air freight approved

hanghai to host leading logistics exhibition

The announcement means the airport will be the first in the world with two international express transferring hubs. United Parcel Service Inc (UPS) is also building its international air hub at Pudong.

 

The DHL North Asia hub, scheduled to be completed in the second half of 2010, will serve China and the vibrant North Asia region, which will contribute 30 percent of global express volume by 2015, the German courier said.

 

“It will play a catalytic role to boost DHL’s growth in Asia Pacific and give us an even greater competitive edge in managing the huge and complex global trade that is being routed to this region,” Dan McHugh, DHL Asia Pacific’s CEO, said.

 

Shanghai beat 133 airports after two years of rigorous analysis DHL undertook before choosing its North Asia hub. The company said volume growth rate and flight connections were two major criteria.

 

Shanghai was a promising option because of booming commercial activities in the Yangtze River Delta region, Stephen Charles Fenwick, senior vice-president of DHL Express Asia Pacific, said.

 

The Yangtze River Delta, one of China’s major economic growth engines, contributed 41 percent of the country’s total trade volume last year.

 

DHL’s decision came as the Shanghai government tries to build Pudong International Airport into an international air cargo hub.

 

The airport, which currently handles 63 percent of China’s international cargo, is busy expanding its capacity and will be able to handle 6 million tons of cargo by 2015, Wu Nianzu, the Shanghai Airport Authority’s chairman and president, said.

 

The DHL North Asia hub will be located near the airport’s third runway, due to be completed by the end of the year, and will cover a total area of 88,000 sq m.

 

DHL’s US rival FedEx is also building a regional hub in Guangzhou next year. FedEx was previously based mainly in the Philippines.

< http://www.chinadaily.com.cn/bizchina/2007-11/27/content_6281899.htm>

 

Xxx

 

Deutsche Post’s DHL Plans $175 Million Shanghai Hub (Update2)

 

By Irene Shen

Enlarge Image/Details

 

Nov. 26 (Bloomberg) — DHL Express, the largest courier in China, plans to build a $175 million hub in Shanghai because of the country’s growing shipments of documents, auto parts and mobile phones.

 

The Pudong International Airport facility will begin operations in the second half of 2010, Daniel McHugh, Asia- Pacific chief executive officer of the Deutsche Post AG unit, told journalists in Shanghai today.

 

DHL, FedEx Corp. and United Parcel Service Inc. have expanded in China as economic growth and surging industrial output fuels demand for cargo shipments. China’s logistics market grew 14 percent to 3.84 trillion yuan ($519 billion) last year, according to the National Development and Reform Commission.

 

The 55,000 square meter (592,000 square foot) hub, DHL’s sixth in Asia, will be able to handle as many as 20,000 parcels and 20,000 documents an hour, the company said. The Shanghai facility follows others in cities including Singapore, Hong Kong and Bangkok.

 

DHL chose to build the facility in Shanghai instead of Incheon, South Korea, the other city on its shortlist, because of the growth in China’s domestic and overseas shipments, Jerry Hsu, DHL’s president of Greater China, said in an interview today.

 

“It’s the right location with the resources in the Yangtze River Delta and China’s economic growth,” he said.

 

Pudong handles about 40 percent of China’s air cargo traffic, including 63 percent of international shipments, according Shanghai Airport Authority.

 

UPS, FedEx

 

UPS is also building a hub at Pudong Airport, which is due to open next year. The facility will have an initial investment of $20 million, the company said on April 12. FedEx, the world’s largest air-cargo carrier, aims to begin operations at a $150 million hub in the southern city of Guangzhou in December 2008.

 

DHL, which operates in China through a tie-up with Sinotrans Ltd., may form a domestic air-cargo venture with a local carrier, Hsu said. The company has held talks with a number of airlines and drawn up a shortlist based on their hubs and gateways, he added.

 

The plan may be activated once DHL’s domestic air-cargo volume in China surpasses its international traffic, which is likely to take five to 10 years, Hsu said.

 

The company has already invested $400 million in Air Hong Kong, its cargo airline venture with Cathay Pacific Airways Ltd., Hong Kong’s biggest carrier.

 

DHL has invested $2.2 billion in Asia Pacific, including $618 million in China, it said today. The company, with 11,400 employees in China, has about a third of the country’s express delivery business, it added.

 

To contact the reporter on this story: Irene Shen in Shanghai at [email protected]

Last Updated: November 26, 2007 04:11 EST

< http://www.bloomberg.com/apps/news?pid=20601100&sid=aAUgGWrjXKuI&refer=germany>

 

Xxx

 

ComputerWeekly.com

 

* RSS

* Email Newsletters

 

* Home

* IT Management

* Networks and Communications

* Software

* Hardware

* Research

* Jobs

 

 

My Profile: Login Register

You are in: Home Software Enterprise Software Article

Software

 

* Desktop Software

* Enterprise Software

* Supply Chain Management Software

* Operating Systems Software

* Systems Management Software

* Service Oriented Architecture (SOA) and Web Services

* Business Intelligence Software

* Database Software

* Storage Software

* Security Software

 

sign up to

 

* Digital Magazine

* Print Magazine

* Email Newsletters

* Desktop Alerts

* RSS Feeds

 

downtime

 

* Sudoku

* Dilbert

 

Send to a friend Print

Enterprise Software

DHL cuts costs and paper invoicing

Document management

 

Author:

Warwick Ashford

Posted:

12:24 14 Dec 2007

 

Logistics company DHL is rolling out e-invoicing across Europe, and expects to save millions of pounds by reducing billing costs by at least 15% across the region.

 

E-invocing will enable DHL to eliminate the paper, printing and postage costs associated with traditional billing.

 

“Savings of 15% is a conservative estimate based on cutting direct costs and switching 30% of customers to e-invoicing, said Brian Thumwood, e-billing programme manager at DHL.

 

“Additional benefits, such as faster payment and a reduction in the number of copies of documents, will further contribute to savings.”

 

DHL has implemented the Accountis electronic invoicing and payment system in the UK, Belgium and Switzerland. DHL said it chose Accountis because of the supplier’s experience in working across multiple countries.

ADVERTISEMENT

 

DHL plans to roll out the system to 22 other European countries in the next two years, which will enable about six million paper invoices a year to be eliminated.

 

The company expects to cut out up to 336,000 paper invoices a year in the UK alone, where it plans to migrate 40% of customers to the system by the end of 2008.

 

DHL’s implementation of e-billing has been boosted by the 2004 EU Electronic Invoicing Directive, which means customers can no longer use the completion of tax returns as an argument for needing paper invoices. However, Thumwood said there was still some resistance to e-invoicing.

 

In most countries, 30% of customers are expected to switch to e-billing in the first year, but DHL aims to increase this number by demonstrating the greater speed, efficiency and information offered by the system.

 

Xxx

 

Tuesday, November 27, 2007

DHL to build Shanghai hub

South Florida Business Journal

 

* Print Article

* Email Article

* Reprints

* RSS Feeds

* Add to Del.icio.us

* Digg This

 

Related News

 

* Holiday rush, DHL style [Cincinnati]

* ABX reverses slide after six officials buy shares [Cincinnati]

* AStar, TIA to discuss hangar lease [Tampa Bay]

 

DHL said it plans to build a $175 million hub in Shanghai, China – its sixth facility in Asia.

 

The facility, to be at the Shanghai Pudong International Airport, will build on DHL’s existing global network and provide improved connections from Asia to the United States and Europe, the company said. The 592,000-square-foot hub will be able to handle up to 20,000 parcels and 20,000 documents an hour.

 

“As a global logistics provider we are constantly improving worldwide connectivity,” DHL Express Chief Executive Officer John Mullen said in a news release. “The Shanghai hub will strengthen our regional as well as global network, enabling DHL to continuously meet and exceed our customers’ expectations towards transit times and handling capabilities.”

 

DHL currently runs more than 500 commercial and dedicated flights a week in and out of China.

 

< http://www.bizjournals.com/southflorida/stories/2007/11/26/daily14.html>

 

Xxx

DHL | Global | Tracking
Whether you are originally a DHL, Exel, Danzas or Euro Express customer, you can continue to track shipments in the same way that you always have done. …
www.dhl.com/publish/g0/en/eshipping/track.high.html – 33k –
<end of data gathered for the paper>

 

 

 

 

 

 

Analysis of the DHL areas of operation

 

Current e-transaction systems are greatly collaborative with other operational system providers. This scenario permits Cisco to obtain very high degree of internal intelligibility and consistency. Primarily because of the industry focus on IT solutions, the electronics industry has already been using its own e-markets since 1999. As for the procurement of raw materials, the organization of e-markets became the next in the line of its services. The firm usually has a well-built focus on the benefits of the services. Coupled with its early conception with the bundle of service catalogs, more often than not, majority of firms in the electronics industry does not have an alternative in their internal catalogs by any forms other than the e-markets. Practically, such firms rely on the fact that e-markets balance their current e-procurement solutions with functionality for strategic procurement issues such as quotation requests. Other firms utilized their inner resources to find e-markets.

Seven autonomously identified growth factors are significant while the other considerations could be furthered by a project requirement or the firm itself. The utilization of principles for information exchange, for a fact, will further be significant for firms in the electronics industry because such firms are already using the e-Markets to incorporate their e-procurement systems with their partner suppliers. It gives the rationale as to why such firms also had to widen their strategies for the corporeal servicing of their catalogs and that the relations among the producers and the sellers in the absence of any labor-intensive services.
Conclusion

Because of its physically vast size, vigor and growing openness, China is becoming a “growling tiger” or an economic powerhouse that must not be ignored.  It attracted the highest Foreign Direct Investment (FDI) flows in the world – amounting to more than $1 billion arrives each week in 2005 and continues in the next year. According to OECD, China’s economic reform are set to make it to the world’s to be the one of the largest in economy and one of the biggest exporter. The country also produces 1/3 of the world’s mobile phone, 75% of toys and belongs to top three automotive manufacturer. Over the last five years, China’s economic growth exceeded 8.4% annually. This positive trend of China’s economy would continue its pace through 2009.

One of the elements that push China’s economy towards stability is through international express and transport. DHL is playing as a major element in the development of express and transportation industry. This industry has been supporting China’s economy since 1980.

DHL in international network ensures effective and superior door-to-door delivery of packages and parcel needs. It is exemplified by having 56 branches, 163 facilities, 3 customer call centers and 1,500 vehicles establishing the largest network of devoted infrastructures. DHL is having a comprehensive coverage of 318 cities.

One of the major factors on how we could asses the stability and production of a company is through expansion. A company could maintain the constant expansion process by selecting effective and skilled personal, intensification of the equipment and infrastructure and effective and efficient processes within the company and outside.

DHL is one of the leaders when it comes to international express, overland air transport. There are several branches of DHL in the entire china which makes it the global market leader in terms of international package transport. The company’s network covers over 4,000 offices and 120,000 destinations worldwide. DHL Express is the perfect partner for all your worldwide express and parcel needs. Our Network covers over 4,000 offices and more than 120,000 destinations worldwide.
Its several branches make the packages to be transport form all over the world to be more effective, more efficient and faster. Based on the previous discussions, DHL could be considered to be the world’s number 1 in ocean freight and contract logistics. As we observed, DHL provides a full range of customized solutions, starting from the document shipping to supply management chain. From this assessment, the company has an organized way in shipping packages, etc. If we assess its structure and organization of tasks and personnel, the company has developed extensive prospective customers.

From its several branches installed in the different regions of China, DHL provides a transport system of shipments rapidly, safely and on time in the entire world. This is assessed from the DHL’s comprehensive network of air, ground and water optimal delivery performance.

Specifically, DHL serve a more complex supply chain through globalization. The internal strength of the company relies mainly on the internal process of global reach and local knowledge. Theses features are keys for competitive edge. We could asses that DHL really offers a wide range of standardized services.

Aside from the numbers of branches in the entire China, DHL has international network links more than 220 counties and territories worldwide.

DHL continue its service and continue its breakthroughs. As a company, DHL continue to operate and update its equipment and systems for the process to easier and faster. For example, its acquisition of Exel in 2005 brings up its logistics power resulting to the two new logistics brands.

Because of the continuing positive economic performance of China, this development offers attractive opportunity to multinationals. As a multinational corporation, DHL would have a powerful influence in international relations and local systems and economies. Multinational Corporation is the key foundation towards globalization.

Once the China’s economy pass along the period of “economic boom”, through the years, its economic momentum isn’t stoppable. The Beijing government faces various social political issues and criticisms but this motion requires the government of political determination, execution skill and high degree of sophistication. In an unbiased argument, DHL remains concentrated in China is most likely to establish value to the shareholders. The continues pace of China’s economy will continues to grow, operationally, at a rate that is faster than market development while widening the system and lead towards service capability and customer intimacy. To prepare for other breakthroughs in China’s economic stability, DHL is confident that it will maintain the country as one of the economic leader in the world in the present and in the future.

The country would not only continue with its drive to expand its name and presence in physical geographic presence, but it must also stronger and unrivalled operating foundation and capability.
xxx

Advance Planning and Scheduling (APS)

 

Advance Planning and Scheduling (APS) is a technique that deals with analysis and planning of logistics and manufacturing over the short, intermediate and long-term periods. It describes any computer program that utilizes advanced mathematical algorithms or logic to perform optimization or replication on limited capacity scheduling, sourcing, capital planning, resource planning, forecasting, demand management and others.

There are five main components of APS systems, these are demand planning, production planning, production scheduling, distribution planning and transportation planning.

Demand planning makes use of the demand forecast as the basis of its plan and provides with direction on how the forecast will be consumed through the business. The demand forecast or the statistical forecast serves basically as the prediction, projection or even estimation of the expected demand over a specific period of time. Demand planning enables the company to formulate an accurate customer demand predictions, weigh historical product performance, handle inventory replenishment with forecasting, and see how price changes affect product gross margins (“To byte the hand that feeds”, 1998).

Production planning lists the stages required for the production of a particular program, as well as identify reliance between the stages. This allows for the scheduling of the stages and allocating resources to each stage. Each stage in the plan should be small enough for an accurate estimate of the amount of time it will take to complete to be made. An approximation of the amount of time required for the complete project can then be gained by adding together the time estimated for each of the individual stages.

Production scheduling is important in manufacturing (Herrmann, 2006; Pinedo, 2005). This is because production scheduling can have a foremost impact on the productivity of a process. In manufacturing, scheduling aims to minimize the production time and costs. This is done by telling a production facility what to make, when, with which staff, and on which equipment (Herrmann, 2006). Production scheduling also aims to maximize the efficiency of the operation and reduce costs as its tools greatly surpass older manual methods (McKay & Wiers, 2004; Pinedo, 2005). Through this the production scheduler is given powerful graphical interfaces. These graphical interfaces can be used to visually optimize real-time work loads in various stages of the production. Through pattern recognition, the software is then allowed to create scheduling opportunities not apparent without this view into the data. (McKay & Wiers, 2004).

Companies use backward and forward scheduling to allocate plant and machinery resources, plan human resources and production processes, and purchase materials (McKay & Wiers, 2004). Forward scheduling is planning the tasks from the date resources become available to determine the shipping date or the due date while backward scheduling is planning the tasks from the due date or required-by date to determine the start date and/or any changes in capacity required (McKay & Wiers, 2004; Shen, Shaw, & Subramaniam). Production scheduling helps in reducing process change-over and inventory as well as scheduling effort. It also increases production efficiency and helps in labor load leveling. It provides accurate delivery date quotes and real-time information (McKay & Wiers, 2004; Pinedo, 2005).

The distribution planning process is used to determine which demands can be completed by the existing supply elements. The deployment run generates deployment stock transfers (Arthur, Bennett, Edens, & Bell, 2003) very much like with the SNP run generating SNP stock transfers. These deployment stock transfers are then used by the transport load builder (TLB). This is done to create transport loads based on predefined constraint of the means of transports (Arthur, Bennett, Edens, & Bell, 2003) (Sleight, 1993).

Responsive Replenishment is a business process that can be used to plan responsive replacement based on the results of the Responsive Demand Planning process. Responsive Replenishment Planning plans the optimal shipments to customer locations. During this process the netting takes place, transport loads are created, and finally the orders are created. Promotion and baseline demands can be planned independently (Arthur, Bennett, Edens, & Bell, 2003; Frook, 1998).

The movement of people and goods from one place to another is the literal meaning of transportation for which it is important in business that transportation planning occurs. The area of transport has different scopes and aspects that can be loosely divided into a triad of used classifications as well as the nodes or terminals such as airports, railway stations, bus stations and seaports. The vehicles generally ride on the networks, such as automobiles, bicycles, buses, trains, airplanes. The operations deal with the control of the system, such as traffic signals and ramp meters, railroad switches, air traffic control, etc, as well as policies, such as how to finance the system. (Sleight, 1993)

 

Broadly speaking, the design of networks are the domain of civil engineering and urban planning, the design of vehicles of mechanical engineering and specialized subfields such as nautical engineering and aerospace engineering, and the operations are usually specialized, though might appropriately belong to operations research or systems engineering (Sleight, 1993).

A limousine, or limo, is an unusually long luxury car, whose color is usually either black or white and is driven by chauffeurs. Owners of limousines are mostly large organizations including the government, large companies, or broadcasters, transporting important individuals. Most limousines, however, operate as livery vehicles, providing up-market competition to taxicabs.

 

MRP is Master Resource Planning which is a group of processes that includes forecasting of sales, planning distribution and servicing customers. In forecasting business revenue and sales, the administration must consider the performance of the business and the environment where it operates. According to Bizpep, “Historical data can help but in a constantly changing world may actually be a hindrance restricting the range of options considered. The best way to forecast is to break business performance into defined actions. For each action estimate the outcome. By doing this each action has a value and the best actions can be selected for implementation. If you use the build up from actions approach then the summation of actions undertaken provide the revenue/sales. This method of business planning and forecasting allows you to test and quantify your actions providing a means to forecast and monitor performance.” (UK National Health Service)

 

A method for constrained material requirements planning, optimal resource allocation and production planning provides for an optimization of a manufacturing process by designating the amounts of a various manufactured products to be produced, which include both end products as well as subassemblies to be employed in the in the manufacture of one or more of the end products.

In order to accomplish, the method employs an objective function such as the maximization of income in a situation wherein there are limitations on the inventory of raw materials and tools to be employed in the manufacturing process for the production of each end product, as well as the quantity or demand for each end of the product which is to be supplied are presented as a set of linear mathematical relationships in matrix form to be inserted in a computer which determines the optimum number of each end product in accordance with an LP optimization algorithm. The matrix contains bill of material data and various constraints such as a constraint on the sum of products shipped and used as assemblies, and constraints based on inventory, on available time for use of resources such as tools, and on inventory left over from an earlier production run for a later run. (Jesietus, 1997)

 

 

 

A further continuing study can answer such new areas of development that could then investigate in particular the combination of movable and integrative e-procurement purpose into the current solutions for the market. The research done in this study imposes certain limitations, because it was only includes a small portion of the whole topic in consideration. This brings about further basis for a continuing research study for the empirical justification of the growth factors which were acknowledged in the benchmarking project. Thorough study beyond the limits of this paper could further be the basis of the growth factors into standard models for the introduction, implementation, and contingency capabilities of e-procurement systems currently used in the market today

 

References:

Ang, Dennis Lien Lee. 2000. The future of the hi-tech manufacturing industry in thailandThesis (M B A ), Nanyang Technological University, Nanyang Business School, 2000.

Arthur, W., Bennett, W., Edens, P. S., & Bell, S. T. (2003). Effectiveness of training in organizations: a meta-analysis of design and evaluation features. Journal of Applied Psychology, 88(2), 234-245.

 

Bontis, N., Crossan, M. M., & Hulland, J. (2002). Managing an organizational learning system by aligning stocks and flows. Journal of Management Studies, 39(4), 437-469.

CNN. (2005). Global Office (World Business): Five steps to marketing success.   Retrieved October 1, 2007, from http://www.cnn.com/2005/BUSINESS/06/29/guru.kotler/index.html?section=cnn_latest

Culpan, Refik. 2002. Global business alliances : Theory and practice. Westport, Conn.: Quorum Books.

Fanelli, Josâe Marâia and Rohinton Medhora. 2002. Finance and competitiveness in developing countries. Routledge studies in development economics ; 19. London: Routledge.

Finch, D. Manage backlog, a start in managing maintenance.   Retrieved October 7, 2007, from http://www.lifetime-reliability.com/maintenance_backlog_management.html

Friedman, Thomas. 2003. The world is flat.

Frook, J. E. (1998). Buying Behemoth. Internetweek, p. 1.

Giraffe Production Systems. Production scheduling and production planning process.   Retrieved September 7, 2007, from http://www.giraffeproductionsystems.net/gsshowtouse.htm

Gibson, David V., M. V. Heitor, and Alejandro Ibarra Yunez. 2007. Connecting people, ideas, and resources across communities. International series on technology policy and innovation. West Lafayette, Ind.: Purdue University Press

Goldman-Sachs. 2005. How solid are the BRICS?.Global economics paper no.134.

Herrmann, J. W. (2006). Handbook of Production Scheduling. New York: Springer.

Jesietus, J. (1997). Procuring an edge: a few pioneers are exploring the Internet-purchasing frontier. Industry Week.

Kane, Y. I. (2005). Sony May Lose Grip in Next Game Consoles War.   Retrieved September 9, 2007, from http://www.redorbit.com/news/scifi-gaming/309955/sony_may_lose_grip_in_next_game_consoles_war/index.html?source=r_scifi_gaming

Kotler, P. (1999). Marketing Management (10th ed.): Prentice Hall.

McKay, K. N., & Wiers, V. C. S. (2004). Practical Production Control: A Survival Guide for Planners and Schedulers. Boca Raton, Florida: J. Ross Publishing.

Partners, S. B. (2007). Korea’s First Online Procurement System.   Retrieved October 11, 2007, from http://www.samsung.com/BusinessPartners/ForSupplier/e_procurement.htm

Pecht, Michael. 2007. China’s electronics industry : The definitive guide for companies and policy makers with interests in china. Norwich, NY: William Andrew Pub.

Pinedo, M. L. (2005). Planning and Scheduling in Manufacturing and Services. New York: Springer.

Prieve, T. (2005). Time-phased inventory planning: focus on more productive use of inventory to reap rewards: Oracle Corporation.

Puschmann, T., & Alt, R. (2005). Successful use of e-procurement in supply chains. Supply Chain Management: An International Journal, 10(2), 122-133.

Reinhardt, A. (1998). Extranets: log on, link up, save big.   Retrieved September 9, 2007, from http://www.businessweek.com/1998/25/b3583009.htm

Schuster, E. W. Master production schedule stability under conditions of finite capacity. Cambridge, MA: Massachussetts Institute of Technology.

Shen, S. Y., Shaw, M. J., & Subramaniam, C. Implementing web-based e-commerce system at a multinational enterprise – a field study on IT adoption. Urbana, IL.

Sheng, Li. 2004. A study on investment and locations for foreign investors in chinaThesis (M Sc (Int’l Constr Mgt )), Nanyang Technological University, BCA Centre for Advanced Construction Studies, 2004.

Thirlwall, A. P. 2002. The nature of economic growth : An alternative framework for understanding the performance of nations. Cheltenham ; Northampton, Mass.: Edward Elgar.

Sleight, D. A. (1993). A developmental history of training in the United States and Europe.   Retrieved October 2, 2007, from http://www.msu.edu/~sleightd/trainhst.html

To byte the hand that feeds. (1998). The Economist.

UK National Health Service. About the NHS – How the NHS Works.   Retrieved September 6, 2007, from http://www.nhs.uk/England/AboutTheNhs/Default.cmsx

Yoegel, R. (1998). The evolution of B2B selling on the net. Target Marketing, 35-36.

Vietnam Institute for Trade. and International Trade Centre UNCTAD/WTO. 2002. Vietnam : Supply and demand survey on automotive components. South-south trade promotion programme. [Hanoi, Vietnam: Vietnam Institute for Trade].

 

 

Haven’t Found A Paper?

Let us create the best one for you! What is your topic?

By clicking "SEND", you agree to our terms of service and privacy policy. We'll occasionally send you account related and promo emails.

Haven't found the Essay You Want?

Get your custom essay sample

For Only $13.90/page

Eric from Graduateway Hi there, would you like to get an essay? What is your topic? Let me help you

logo