DOUBLE D DRUCKING

By : SAMEER KAPUR (A28)

Present Scenerio for trucking industry as per Mr. Dean

Strengths Double D has adopted new equipment technology, computer systems, and management techniques- resulted in customer loyalty and employee allegiance Never lost a customer and never lost a day to labor disputes

Competition Long-haul trucking has come under severe competitive pressure from rail piggyback Expediting carriers, trucking companies that provide rush deliveries, have made significant inroads into the automotive industry, Vertical integration of trucking companies into other logistics services A number of regional trucking companies have started warehousing divisions to provide sorting, kitting, (putting pieces together to make up a kit), and cross-docking (moving freight across a dock to a waiting truck) Adding third-party logistics divisions to manage a shipper/receivers transportation and storage activities Few trucking companies have started air carrier divisions, freight-forwarding services, and logistics information services

Do you agree that the logical strategic thrust for Double D is to vertically integrate and provide other logistics services? Why or why not?

YES, because
Competition Sub contractor to logistics company
Growth potential low

Companies focusing on core competencies and would like to outsource most of the logistics

Describe the analytical process you would use to evaluate alternative logistics services being added to Double Ds market offering? Goal : Sustained earnings and Growth Analysis : Qualitative
Corporate Strategy aligned
Vertical integration

Quantitative
Revenue Growth
New Clients

Revenue expected to grow more vis a vis cost as the services are added

Value-added services - recommendations that the strategic planning team should consider for Double D
Consultancy Purchasing / Order Consolidation / Shipping Storage and distribution Gradually move to Export / import air freight and sea freight Customs brokerage

THANK YOU!!!