DHL supports entire automotive product cycle

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DHL, the world’s leading logistics company, introduces new services to facilitate the development, production and launch of new vehicles. While most logistics companies focus on inbound to manufacturing and after sales logistics, DHL’s product comprises the entire go-to-market process. The set up DHL developed is based on three logistics, which customers can combine or implement individually.

“Product launches in the Automotive sector are complex and cost-intensive. The feedback we receive from our customers shows that improvement is in strong demand. With our worldwide solution, companies will benefit from minimized supply chain risks, lower third party costs and higher efficiency, all of which can be tracked via a set of visibility tools we provide. The average time from the first sketch of a car to market entry is 2 to 3 years and requires precise synchronizations amongst several involved parties more often not located even in the same continent. We can reduce at minimum the supply chain incidents which may happen during this challenging process and that can cause cost increases and final delays in development”, said Fathi Tlatli, President Global Sector Automotive, DHL Global Customer Solutions & Innovation.

DHL’s new service focuses on three stages of vehicle evolution and marketing: In the research and development phase, DHL supports the preproduction of model developments such as specialized packaging of prototypes, customs clearance and transports with a high degree of security and confidentiality. In the manufacturing phase, DHL organizes in-bound material and in-plant logistics, mitigating supply chain risks and securing a seamless production process. Finally, in the launch phase, DHL covers launch communication, such as the cost-effective distribution of direct mailings or parcels, movement of exhibition cars for test car events or official press presentation.

High research and development costs as well as shorter product life cycles are common issues car manufactures have to cope with. In this competitive environment speeding up development and production processes as well as market entry by improved marketing helps manufacturers to stay ahead of the game. While customers can build their individualized service based on the independent modules, the service’s real strength is in the combination of all modules: a seamless solution for every step of vehicle development ensures cost-effective and fast procedures, strengthening planning security and allowing manufacturers to go to market earlier.

DHL is the leading logistics service provider for the Automotive industry, serving almost all vehicle manufacturers and suppliers worldwide. The company is in access of 200 Automotive facilities worldwide with a special focus on the U.S.A., Europe and Japan, which are traditionally the biggest markets. Sector studies like IHS Automotive show that estimated cumulative global sales will rise from 81 million units in 2012 to approximately 102 million units in 2018.

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