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Submitted to:
Prof. Nidhi Natrajan
Submitted by:
Saurabh Thakur (45)
Sumit Mehta (48)
DHL Company Profile
History of DHL
At all times an opportune and unique idea was a key to success and a sort of revolution
in any sphere of business. Such a unique and original idea of important documents and
parcels express delivery created by founders of DHL - Dalsey, Hillblom and Lynn in
1969 allowed DHL to take a leading position in courier industry. During all the history of
its existence DHL Worldwide Express stays a pioneer in mastering new technologies
and opening new markets.
The name of DHL comes from the first letters of the last names of the three
company founders, Adrian Dalsey, Larry Hillblom and Robert Lynn. In 1969, just months
after the world had marveled at Neil Armstrong's first steps on the moon, the
three partners took another small step that would have a profound impact on the way
the world does business. The founders began to personally ship papers by airplane
from San Francisco to Honolulu, beginning customs clearance of the ship's cargo before
the actual arrival of the ship and dramatically reducing waiting time in the harbor.
Customers stood to save a fortune.
With this concept, a new industry was born: international air express, the rapid
delivery of documents and shipments by airplane. The DHL Network continued to grow
at an incredible pace. The company expanded westward from Hawaii into the Far East
and Pacific Rim, then the Middle East, Africa and Europe. By 1988, DHL was already
present in 170 countries and had 16,000 employees. Widening of activity and history of
the company growth reflect the process of globalization in trade sphere. Along with its
clients that won new markets DHL developed and provided infrastructural support for
them. In the Republic of Kazakhstan DHL offers its service since 1991 through its
agencies and in 1994 "DHL International Kazakhstan" was registered as a company
with 100% foreign capital. Within the period from 1994 till 2001 state bodies, banks,
embassies, representative offices of largest foreign companies and international
organizations and leaders of Kazakhstan business became the clients and business
partners of the company. At present over 500 Kazakhstan and foreign companies and
representative offices are the permanent clients of DHL International Kazakhstan. In
order to widen a range of service offered to the companies interested in express
delivery of documents and parcels throughout Kazakhstan, DHL has opened a head
office in Almaty and 8 branch offices and agencies in the regional centers of the republic
including a branch office in the capital of Kazakhstan - Astana and agencies in the
Caspian region. In 2000 DHL International Kazakhstan opened its own gateway in
Almaty International Airport. It allowed shortening time for proceeding all inbound,
outbound and transit materials for Central Asia. Round-the-clock operation of the
terminal allows carrying out customs proceeding immediately after materials arrival to
the airport.
At the beginning of 2002, Deutsche Post World Net became the major
shareholder in DHL. By the end of 2002, DHL was 100% owned by Deutsche Post
World Net. In 2003, Deutsche Post World Net consolidated all of its express and
logistics activities into one single brand, DHL. The DHL expertise is pooled from a
number of companies acquired by Deutsche Post World Net. To name a few:
Deutsche Post Euro Express: in operation since 1997 through internal growth
and investments in leading European companies, network for parcel and express
services in more than 20 countries, market leader for business customers in Europe.
DHL Worldwide Express is the world's largest and most experienced international air
express network with service to more than 635,000 destinations in the world. DHL
maintains its position as the world's leading international air express network by
continually expanding and upgrading its network of offices, hubs and services, and by
offering superior service through a well-trained and dedicated work force. On an
average day, more than 260 thousand DHL shipments are sent to destinations
throughout the world. DHL serves virtually every city in 228 countries around the world.
Revenue 2004: EUR 24.5 billion
Number of Employees (full time): more than 170,000
Number of Offices: around 4,400
Number of Hubs, Warehouses & Terminals: more than 450
Number of Gateways: 238
Number of Vehicles: 72,000
Number of Countries & Territories: more than 220
Number of Customers: 4.2 million
Shipments per Year: more than 1 billion
Destinations Covered: 120,0001
DHL Internalization
DHL started to internationalize its services in Philippines in 1971. In 1972, was taken
the next step of internalization in the following countries:
Japan
Hong-Kong
Australia
Singapore
In 1980, DHL internationalized through China and later in 1986 became the first
international joint venture express company with Sinotrans. In 1973, it was a Europe,
the next-the Middle East and Africa. From 1985-1995 the Hub operations were
established in Brussels, Cincinnati and Manila.
DHL's use of Information Technology
DHL Express Overview brochure (2005)
DHL leads the international air express delivery industry in providing state of the art
technology that gives customers easy access to shipping and tracking information. The
investment in information technology allows company to continue to harness new
technologies to streamline the shipping process and provide services that allow
customers to be more competitive.
a) DHLNET (TM)
DHLNET is global, high-speed TCP/IP communications network enabling customers to
track the status of shipments and research delivery schedules and pricing information
from anywhere in the world. DHLNET uses both X.25 and Frame Relay technology.
DHLNET also provides invaluable information on routing, delivery times and system
capacity which enables shipments to move as efficiently as possible around the world.
b) Automated Sorting
DHLNET ensures that information travels ahead of the goods, enabling DHL to provide
expedited transit times through its sorting/distribution centers. The automated sorting
system is programmed with shipping information so it recognizes each package as it
comes through and routes it to the appropriate outbound flight. It also provides a backup
to ensure that all packages have been properly received by the sorting/distribution
centre.
c) Customs Clearance
DHLNET also forwards shipping documentation to customs officials at the destination
country so goods can be cleared before they arrive and delivered immediately.