CONTINUOUS INTERNAL ASSESSMENT- I

FUNDAMENTALS OF SERVICE MANAGEMENT

SERVICES MARKETING MIX REPORT

Submitted By:

KADIREEN K SHARAF (2027748)

THANISH SUJAUDEEN (2027716)
ANKITA I S (2027743)
SHARATH CHANDRA (2027719)
VINAY KUMAR BV (2027710)
REETI DHALL (2027736)
EMIL V ABRAHAM(2028019)

Submitted To:

PROF. BARKATHUNISSA A

MBA PROGRAMME
SCHOOL OF BUSINESS AND MANAGEMENT
CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE

JULY 2021
INTRODUCTION

Simply said, services marketing is marketing for the services provided, both as a company
serving a customer and as a business serving another business. Tax and accounting services, the
hotel sector, airlines, telecommunications, hairdressers, tailors, and dry cleaners are just a few
examples. The classic marketing mix was created at a period when the majority of firms sold
items. Service supply was overlooked, and no one saw the link between a happy customer, a
positive user experience, and brand development.

The 4Ps concept is extended to include the services marketing mix. The basic aspects of product,
promotion, pricing, and location remain, but three more factors have been added to the 7Ps mix:
people, physical evidence, and process. Because of the high level of direct interaction between
service providers and their clients, the highly visible character of the service process, and the
simultaneity of production and consumption, the extension is required. Within the 4P paradigm,
it is feasible to address people, physical evidence, and process. This add-on enables a more
in-depth examination of the marketing aspects required for successful services marketing.

COMPANY PROFILE

Deutsche Post is a German postal service. In terms of revenue, earnings, and staff count, DHL is
the world's largest supply chain, logistics, and postal firm. DHL began operations in 1969 and
was acquired by Deutsche Post in 2002. Deutsche Post acquired a number of large corporations,
which were all renamed as DHL. They are a global network of over 400,000 shipping experts
that are connected by a love of logistics. They also work in a unique setting. DHL is as creative
as a start-up, but with the scale of a global corporation. Every day, DHL's 400,000 employees in
over 220 countries and territories work to help customers cross borders, expand their businesses,
or just send a letter to their loved ones.

DHL Mail has introduced Track UK, a new crossborder service for American electronic
merchants and mail-order firms, in response to the booming British network shopping industry.
Track UK, as a personal package delivery service, provides clients with a low-cost, quick,
mail-tracking, and customer-oriented solution that meets the demands of American businesses.
DHL’s recent task is to focus on developing Asian market. DHL has built six distribution centers
in Hong Kong, Singapore, Bangkok, Seoul, Sydney and Toykyo.

In terms of the company's image, DHL is well-known for its competence in worldwide mail,
express, freight, forwarding, and supply chain management. Brand awareness has been steadily
rising across regions and countries.

SERVICE MARKETING MIX

PRODUCT ELEMENTS

Individuals and reputable businesses from all over the world have been utilising the available
delivery and courier services to transmit their best wishes and products to loved ones and
consumers, respectively. DHL seeks to form long-term relationships and offer a varied range of
transportation choices. The business offers solutions in a variety of industries, including
aerospace, automotive, chemical, consumer, fashion, healthcare, retail, technology,
manufacturing, and renewable energy. It is critical for the Logistics industry, in which DHL
operates, to give several options based on the diversity of items to be carried. DHL Logistics
strives to provide a wide range of service choices to its clients.

Their multiple broad divisions consist of:

→ Post and Packet delivery
→ DHL Express
→ DHL Global Forwarding
→ DHL Freight
→ DHL Supply Chain
→ DHL eCommerce

Express, one of the world's major air carriers, provides clients with urgent documents and
product delivery, while DHL Global Forwarding provides customers with air, ocean, rail, and
road freight alternatives, as well as warehousing and distribution solutions. Freight has a fleet of
over 3,000 heavy-duty tilt trucks and contracts over 50,000 external transport providers each
year in Europe alone. The firm has numerous daily train routes linking different areas of Europe
in terms of rail or industrial solutions. DHL Supply Chain offers warehousing, transportation
management, and value-added services. Finally, the DHL Global Mail segment provides
personalized mail and B2C parcel deliveries.

Source: www.dhl.com

The primary criteria in determining service type are the specifications of the items sent, delivery
lead periods, and the criticality of the freight to final customers. Car logistics, for example, differ
from chemical and pharmaceutical logistics not just in terms of delivery dates but also in terms
of conveyance and warehousing.
PLACE AND TIME

In addition to its own DHL Network of Express Logistics Centers, DHL has other branches all
over the world (8 DHL-operated and -managed facilities located worldwide). The company's
efficiency is improved day by day through DHL's "globally centralised hubs of distribution."
DHL operates 850 ports, warehouses, and offices in almost 150 countries. With more than 250
aircraft, Express operates in more than 220 countries and territories.
DHL Global Forwarding's distribution segment serves more than 100 countries and territories,
while the company's freight sector serves more than 40 nations and territories and operates more
than 190 terminals.
The Supply Chain segment has 2500 warehouses, terminals, and offices across the world and
offers services in about 50 countries and territories. Finally, DHL Global Mail includes 32 sales
offices and 26 processing centres located across five continents, with direct connectivity to over
200 countries.
DHL chooses distribution channel members based on a number of factors:
● service quality.
● prices.
● equipment/facilities.

Some client freights may demand special handling

carriage and equipment When transporting products such as chemicals or food, for example,
shipping companies that offer cold choices are picked, and when transporting hazardous
materials, airlines with hazardous material transportation permission are chosen.

DHL Express has been on a role and has extended to some of the countries where delivery was
nearly impossible before FedEx acquired the surprise success. DHL Express has made it easier
for citizens of many nations to send and receive packages across borders and continents. Here are
just a few of the countries where DHL has expanded and transformed how people send and
receive packages:
 ● Soviet Union
● Iran
● Iraq
● China
● North Korea
● Vietnam
● Cuba

Distribution Channels

Distribution and marketing channels are responsible for a number of functions, including
logistics, product quality assurance, providing customers with product information, providing an
extensive product range using product line – breadth, length, and depth, reducing purchase lot
size to allow individual customers to buy products, after-sales services, and installation services.

Channel Design

Dhl Worldwide decides if it wants to use a direct, indirect, or combined distribution method.
Understanding the customer value proposition, present consumer convenience points, the breadth
and depth of Dhl Worldwide's product line, and rivals' distribution methods are all factors in the
channel design decision.

Direct distribution system-Dhl Worldwide has established its own direct distribution channel,
allowing it to reach out directly to clients. It might be as simple as opening its own storefronts or
online selling.

Indirect distribution system-Wholesalers, retailers, logistics businesses, and distribution agents

are members of DHL Worldwide's indirect distribution system.
Hybrid Distribution System-Dhl can also establish a hybrid distribution system in which the
company manages the core aspects of the distribution system while assigning secondary duties
such as logistics, storage, and retail management to multiple channel partners.

Channel management

Managing numerous power centers within the delivery system and managing them depending on
the negotiating power of each stakeholder in the value chain is what channel management is all
about. From a marketing standpoint, channel management can be accomplished by focusing on
three key factors:

Customer Willingness to Look for and Travel to Buy a Product - If customers are eager to
look for and travel to buy a product, the company gets a strong brand awareness and loyalty. Dhl
Worldwide has the ability to create beneficial channel policies for channel partners.

Per unit cost of stocking- If the cost per unit of stocking is significant, Dhl Worldwide will need
channel partners who can pool resources.Otherwise can handle the operations on its own.

Market Development Requirement - Market development is one of the most important

functions of a channel. If Dhl Worldwide has to increase its market development activities,
channel partners with the know-how and skills to expand into new markets should be included.

PRICE AND OTHER OUTLAYS

Pricing aids customers in making better decisions when it comes to delivering items. The
emergence of the e-commerce business has had a positive impact on logistics prices. Because of
the rivalry among logistic companies to be the best partner, they have been driven to enhance
accountability while simultaneously lowering rates. Today, the entire world benefits from lower
product shipping costs. Small businesses and individuals alike are glad and pleased with the
high-quality services provided by these logistic companies.
DHL Logistics chooses to use a cost plus pricing method for standardised freight services, which
involves determining the final price by adding a percentage to expenses as a profit margin. If
necessary, DHL Logistics executes a competitive pricing strategy and determines the final price
in contrast to its rivals, depending on the situation of the market. Furthermore, because channel
members establish various fees for different locations, the cost of the given transportation service
varies according to the distance travelled.

When compared to the company's standardised transportation services, charges for customised
services are considerably costly. To put it another way, the firm uses a premium pricing model
for custom-designed service alternatives. DHL does, however, offer exceptional pricing to its
loyal clients and the market's most significant firms through special arrangements.
“
The pricing depends upon a lot of factors including:

● Weight of the product

● Nature of product: if the product is glass or electronic device then additional
insurance charges are applied.
● Nature of delivery selected; instantly delivery, regular delivery or speedy delivery
● Distance to be covered by the package
● The consignment size: only matter in case of e-commerce or entrepreneurial
transactions “

The technique adopted by DHL to price the parcels that customers ship worldwide is given by
the parcel’s volumetric weight. The formula to calculate the volumetric weight has been shown
below. After the calculation the weight of the parcel is rounded off to the nearest half kilo. The
greater value amongst those is chosen for which the price will be calculated.

(Formula to calculate volumetric weight)

 Diagrammatic representation of calculating volumetric weight

DHL costs are based on the higher of the actual or volumetric weight per component, and each
piece may be re-weighed and measured by DHL to validate this computation. All shipping or
other charges due, as well as any custom duties payable for services supplied by DHL or incurred
by DHL on account of the shipper or receiver, must be paid or reimbursed by the shipper or
receiver. Prior to delivery, payment of customs duties may be asked. If DHL utilises its customs
credit or advances any customs taxes on behalf of a recipient who does not have a DHL account.

PROMOTIONS

Traditional media

DHL uses traditional media, which includes advertisements of mediums like television, radio and
the newspaper. This works in their favor, as they are able to reach a wider audience and attract
more customers. The reach of traditional media depends on the demographic that the company is
trying to cater to, their personal preference and their budget. In the case of DHL, up till 2015-16,
their marketing campaigns were limited to just traditional. For example, DHL came up with an
ad campaign where they tried to develop a deeper connection and bond with the consumers. In
its ad campaign during the Indian Super League (ISL), the brand spoke right to the end consumer
to highlight how DHL not only delivers shipments but also delivers joy, delight and most
importantly hope. Since DHL is a service management company, and doesn't have products to
sell, thus they wanted to develop an ad campaign, which would give their consumers an
experience.

Along with that, as an extension of their previous campaign, ‘Where there is will, we are the
way’, they have come up with ‘Excellence, Simply Delivered’. They are trying to emotionalize
their brand and connect with the real and basic human emotions and instincts through their
advertisements on television, newspaper and other such platforms.

Screenshot of a DHL Advertisement

Advertisement based on their motto ‘Excellence, Simply Delivered’

Digital Media

DHL is one of the largest mail and logistics groups, with more than 470.000 employees in more
than around 200 countries. They deliver millions of packages in a day, which makes reaching the
customers a little difficult. They have based their social media platform on three aspects- The
first being governance- which is building a framework and the know-how within the company,
intelligence- which basically means monitoring and reporting and lastly- interaction with the
customers.

Analytics for DHL’s Facebook, Twitter and Instagram

Public Relations

Public Relations is the bridge between the organization and the public, and the activities and
initiatives that are undertaken by the company to affect public perception. Public relations is very
important to DHL to promote their company and their services. Corporate Social Responsibility
plays a vital role in their Public Relations. They come up with CSR activities and ambitious
programs, which have a global impact so as to portray the company as a responsible and
supportive company, which is active in solving problems of utmost importance.

Their CSR activities have three main programs namely, Go Teach, Go Help and Go
Green. Out of these three, the most ambitious project is that of ‘Go Green’. The goal of this
program is to ensure that the company has 0 carbon emissions by the year 2050. In 2019, DHL
was successful in reducing their carbon emissions by 32% in comparison to 2007. Along with
that, DHL has heavily invested in research and development of eco-friendly and environmentally
friendly means of transport, which will make it sustainable in the long term. In the last few years,
DHL has replaced over 10,000 vans with electric ones. DHL has been supporting local NGOs
and social entrepreneurs to provide sustainable energy solutions specifically in the rural areas.

Along with that, they are also trying to build an emotional relationship with their customers. As
mentioned above, they don’t sell products, but services, hence it becomes relatively difficult to
build that rapport with the customers. With the help of e-commerce, the customers are connected
with the delivery experience as they are awaiting their packages. This helps them to connect with
the e-commerce consumers. This forms a part of their public relations, where they are trying to
build a relationship with their customer base.

Promotions

The DHL services promotion policy is largely based on brand awareness and not on the
Individual promotion of a division or product. DHL is a specialist for sponsoring global events
around the world. As the ‘Official Logistics Partner’, they are proudly committed to their
partners and dedicated to provide new and innovative logistical solutions to their partners. Such
events contribute to their brand, and enhance their profile of being a logistic company, and also
provide a platform for people to experience their logistical support ‘live’.

In terms of sponsorship contracts, DHL has Partnerships with some of the most exclusive
worldwide events, such as: ESL One (e-sport event), Rugby World Cup, big football clubs and
national teams (Manchester United, Bayern Munich, Romania and others), Fashion and Culture
and motorsport (Formula E, Formula 1, World Touring Car Cup, Moto GP). DHL India has come
on board to be the official sponsor of the IPL team Mumbai Indians. This sponsorship marks the
first cricket sponsorship for DHL. Cricket being loved by people all over the country, is a good
way to gain traction among the masses. And backing a powerful team like Mumbai Indians,
would help the brand reach every customer’s living room far and beyond age, gender and
geography.
PROCESS

The service industry process in which HCL plays a significant part includes all of the systems
that allow services to be provided efficiently and on schedule. These include administration
linked with Enterprise transformation, and the administrative portfolio in this class includes
innovation change, business knowledge and information warehousing, IT administration, SOA,
and middleware. A portfolio that includes the creation of equipment items, R&D Services and
Engineering, programming advancement, mechanical design, and programming item design.
HCL provides services in the areas of telecommunications and systems, mechanical assembly,
administration, capacity, and server. As a result, the HCL marketing mix is complete.

DHL prioritises the integration of computer tools for assessing customer satisfaction and
informing consumers about procedures. The firm monitors freight handling duration using the
Soft Trans software. During specific time intervals, freight handling issues are monitored using
questionnaires. Complaints and consumer feedback are frequently documented.Received
complaints are grouped according to related topics, and the firm strives to find solutions to meet
customers' needs as quickly as possible in order to avoid client losses. In a similar vein, the I-sell
programme is used to keep track of sales in terms of client visits and sales statistics.

DHL Logistics offers several customer care techniques depending on the kind of customer. For
example, DHL provides 7/24/365 customer service for certain businesses such as the aerospace
industry, where deliveries are made throughout business hours. Various delivery strategies may
be preferred by different people depending on the severity of the situation in industries.

DHL incurs additional expenditures to alleviate and retain customer loyalty in the event of an
operational breakdown. Every problem that occurs is logged in the system, and consumers are
kept informed of the resolution process. They may follow the status of the freight or the stage of
the solution procedure using this technology.They may follow the status of the freight or the
stage of the solution procedure using this technology. Even if the fault is the client's, DHL strives
to resolve the issue as quickly as possible with the least amount of additional expense to the
customer. If an issue arises after DHL delivers its customers' freight to an air freight service
provider, the firm files a claim, and any damage or loss is handled through the legal process
outlined in the back of the bill of lading.
PEOPLE

Customers today provide more feedback than at any other period in history. They now have a
quick, public, and worldwide forum for their opinions on the services and products they purchase
thanks to social media and other technology. DHL believes that businesses may build positive
brand distinction by focusing on three areas: happy and motivated employees, a customer-centric
mentality, and understanding consumer expectations. We call it the Insanely Customer-Centric
Culture (ICCC) at DHL, and we make sure it pervades the whole network. If the C-suite and
management team are committed, this customer-centric attitude can be realised.

DHL's brand personality determines how the company appears, communicates, and acts. It
informs our designs and messaging, bringing the brand closer to our target audience. DHL
champions the kind of bold ideas that will make our customers more successful and improve
people’s lives. We believe that it takes a team to achieve this, therefore we attract smart people
with our positive and open attitude.

In order to appeal to the target audience, DHL maintains a certain list of character traits and
tonalities when it comes to reaching out to the right audience they want the brand to engage with.
They are listed below as follows:

Character traits:

● Innovative and skillful

● Optimistic and courageous
● Responsible and empathetic

Tonalities:

● Bright
● Focused
● Energetic
 Source: www.dhl.com

DHL has clients all around the world. DHL accepts every type of delivery request, regardless of
who the client is. In order to know the customer life cycle deeply, DHL segments its customers
into different groups. According to different customer needs, customers are segmented as:
strategic customer; long-term relationship customer; and normal customer. A strategic customer
is someone who demands a significant volume of logistics or a complicated supply chain. The
top 250 customers in the globe usually make up a strategic customer group. A long-term
relationship client is someone who requests DHL's services on a regular basis, although their
logistical requirements are less complex than those of a strategic customer. Normal customers are
not loyal, which means they can select another 3PL provider if they so choose. In general, DHL
strives to deliver the finest technology and service to strategic customers in order to foster a solid
working relationship. However, DHL's primary goal is to maximise profit by focusing on
long-term relationships with customers. DHL may also do something for regular customers to
make them loyal.

DHL cultivates strong client relationships in order to comprehend and comprehend customer
perspectives. The firm can adjust the specific service to meet consumer demands if it has a
strong knowledge of the client. When a customer requires DHL, it usually performs the role of a
trustworthy partner. The company's outstanding personal approach ensures that their services are
always completed to the highest standard.
PHYSICAL ENVIRONMENT

Physical environment or evidence is nothing but the service which is catered to the customer
where the service is tangible it can be easily assessed. It also goes by the meaning when the
company provides the product or service and more importantly the physical presence of the
layout and the interior of the plant and the company.

DHL Warehouse

The company which is under the scope of the study is DHL. As we all know DHL is a worldwide
logistics and courier service company where it not only stores the courier but highly specializes
in express delivery of the goods in a very little time. The type of transportation commuting the
company has is Airways, Ships and Roads which runs on a timesheet which is it’s USP. For
accommodating these many transportation assets, storage and warehouses, the company needs to
have huge physical space with an organised layout for effective functioning and reducing idle
time. It will have to become a compulsion and a necessity to have a big physical space to cater to
a lot of demands in the market which is arising everyday. So DHL being a dynamic business is
giving timely solutions to all the new needs which are arising in the market. To provide services
the DHL facility provides :
 ● Management of Raw Materials
● Supporting customer service
● Mode and Management of Payment
● Cross-docking
● Inventory and storage management
● Order fulfillment, E-management
● Green warehousing
● Implementation of inventory visibility , order tracking and automated warehouse
management.
● Finished supplies and goods.

DHL not only sticks with the same company, but they are industrial experts. When they are the
industrial experts they venture out designs and develop real estates for logistical facilities which
would have possible upside benefits for the DHL company as well. DHL develops and constructs
the logistic design and scenario analysis for the Real estate who wants to venture out of DHL
where they strategically place it in network places for making their logistic movement easier and
quicker. Then after designing the framework and the skeleton of the facility, they indulge in
construction and ensign the logistic facility. They do this as a part of easing down the process. A
well planned process takes 21% less dispatch time, by the process it is meant the floor layout.
Planning the floor layout out till delivery helps a lot in terms of logistical movement as every
minute counts in this industry.
 Warehouse Operations in action

The above mentioned image and the floor facility is called Pallet racking and Mezzanine flooring
which is DHL’s pioneering floor plan which helps to coordinate and send the packages on a short
notice.

Here we can see that even though the competition is thrift among the competitors, DHL’s
distinctive strategies have helped the company to locally place the company in many localities in
India and around the world. This has made the company to achieve success in the pandemic by
successful collaboration by working with the government by helping them in the pandemic
which would have a long term implications in the future. This above figure is the global
performance of DHL and other competitors where we can see the DHL topping the charts in
terms of the performance.

Due to DHL’s promise and excellent service and for the excellent tangible service put forward by
the brand , it has now partnered with one of the most costliest motorsports which is Formula 1.

DHL is the official partner of the global sport Formula 1. The sport does not happen in one
single place, but this sport is played around the world as every track is different from one other.
So this being the matter it needs a lot of commuting in the perspective of logistical movement,
The cars and the equipment needs to be delivered across the nation in a window of a week. The
service required would be Air, Shipment and land transportation. They have been delivering with
zero discrepancy and delivering on promises for a long time. There will be instances that the
logistical movement happens across the country in Europe, So the company will commute by
land and make sure it is delivered on time.
PRODUCTIVITY AND QUALITY

In order to increase productivity, DHL has been investing in technology and digitalization to
make its processes efficient. The major reason for this shift in investment is to keep up with the
increasing volume of shipments and to cater the highest level of services for its customers
worldwide.

In June 2020, DHL partnered with “Dorabot” which is an AI powered solutions provider for
logistics. Keeping productivity in the forefront, the company decided to automate processes
which also helped to cut down costs, reduce time consuming tasks and speed up operations at
their service facilities. With the help of Dorabot, a robotic arm was installed in the service
centers for package sortation purposes which helped increase courier pick up and delivery up to
30% while also managing the sudden boom of online shopping and e-commerce growth due to
the pandemic. After implementing the robotic sortation arms by Dorabot, DHL reported 35%
additional packages sorted in a period of two hours. Owing to this success, the company has now
installed two robots in their facilities across The United States of America, which are able to sort
1000 parcels each hour.

To deliver the optimum results with bots, the floorplan is made such that the least amount of time
is taken to sort out the packages into their courier route groups. The robotic arms are surrounded
by delivery bins, each representing a particular courier route. The delivery bins have unique
barcode stickers on them while the end of the robotic arm has a barcode camera scanner, this
helps in segregating the packages efficiently. With its ability to sort thousands of courier
packages quickly, the operations team can focus on other important tasks and speed up the
delivery process with highest serviceability to their customers.
 Automation in sorting packages with Dorabot

Although Dorabots have been used in American DHL centres, in India the company has
implemented self driving robots which pick up packages in Discreet order, multi-order batch,
multi-order/multi-bin, singles 54.4kg. The self-driving robots are ideal for carrying, transporting,
sorting and shifting big packages within the warehouses which would otherwise consume a lot of
time. To maximise overall pick efficiency, the self-driving robot automatically learns and
communicates the most effective trip paths. By travelling autonomously to workers and
minimising picker travel time, the self-driving robot boosts outbound picking productivity.With
the use of self driving robots, DHL has reported:

● 50% reduction in order time

● 2 folds increase increase in productivity
● 80% reduction in picker training time
● Facilitates staff to support the peak periods on e-commerce orders
 Self-driving robots used by DHL

DHL is a pioneer in delivering quality services to their customers by exceeding customer

expectations and complying with quality system requirements. The company's beliefs, culture,
values, mission, policies and procedures form the foundation for their exceptional quality
management system (QMS). The QMS lays down procedures and actions which are to be
implemented in order to maintain and improve overall quality and also focuses on the
measurement of performance in compliance to quality requirements. The performance and
operations of various departments are analysed thoroughly in order to attain the desired results
and improve processes continuously.

Most logistics companies exist because of our customers, and the quality policy is to "meet or
exceed customer expectations." In order to determine how well they are working against this key
objective, they collect, monitor, and evaluate information on customer needs and stakeholder
satisfaction. The goal is to be especially attentive to customer discontent or concerns. Anyone
who receives a complaint is responsible for properly documenting it in accordance with
procedures. Furthermore, the person who receives the complaint will make every effort to
resolve the issue as soon as possible. If that person is unable to handle the issue, it will be
forwarded to a suitable employee for resolution for packers and movers or relocation services.

Internal audits are important to DHL’s Quality Management System's effectiveness. They aid in
determining the system's effectiveness as well as identifying areas for improvement. Internal
audits can help find additional chances for improvement if the system is working well. Internal
audits will help evaluate the scope, type, and source of the problem, as well as probable remedial
steps needed to restore efficacy, if the system is ineffective. The findings of these audits are an
important component of the process of continuous improvement. The annual assessment is the
most thorough method for measuring the effectiveness of a QMS and finding areas for
improvement. They will conduct a self-assessment once a year. They then use the evaluation
results to determine existing strengths and shortcomings, as well as areas for continual progress.

For their quality management, DHL has also been acclaimed with the following international
quality certificate accreditations:

● ISO
● Jas- Anz
● Federation Internationale des Demeanours International
● Pan American International Movers Association
● International Association of Movers
● Employee Relocation Council
● European Relocation Council
● WeConnect International
● Federation of Freight Forwarders’ Associations in India
 Certificate Accreditations of DHL

CONCLUSION

The way in which DHL’s hierarchy is set out is suited to the nature of the logistics industry.
Information can be cascaded down quickly and efficiently, before eventually falling into the
hands of those to whom it is relevant, saving time. Internally, mobile phones act as a good link
between managers in the warehouse and couriers. These work well as drivers are able to be
redirected as soon as managers know there is a problem. One point that could be improved
however is for couriers to contact each other so they do not have to go through the manager.
Mobile phones also allow for the couriers to contact managers to warn of any
uncharacteristically large pick-ups, so the warehouse staff can then make room for them. In
offices, the use of an internal email system means that any member of staff can be searched for in
a company address book. This allows for users to quickly find an address for somebody they
need to contact in order to save time. The feedback I have gained is that this system works well
and is easy to operate. Also, this ensures that there is no mistranslation of the original message as
there might be if phones had to be used. However, there is no way to email more than one level
up the hierarchy, something that could be looked at.

One way that internal communications could perhaps be improved, is for lower levels of staff to
be given more information on how the service centre is operating. Despite being given plenty of
information on schemes used by DHL on the canteen wall and on the board, performance figures
are not openly published. Staff may feel more immersed in the company, feel a sense of pride,
and more importantly, trust what the managers are doing if they have such insight. DHL has been
successful in creating an identity that has been transferred to a public image. This is undoubtedly
a major reason for their success in the market.
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