1、1,China Teleflex 2002,Shanghai, PRC 17 August 2002By: Frits de Vroet DHL International,2,Agenda,Service Parts logistics as a driver of competitive advantageThe service parts supply chainDHL Global Customer Logistics Vision Service capabilityCase Study,3,Service Parts Logistics as a driver of competi
2、tive advantage,As we are moving from competing brands to competing supply chains, logistics has become one of the key drivers of competitive advantage. Some companies have recognised this, however they have been focusing on the supply chain driving the production and sales of finished goods. Yet the
3、re is another supply chain within these companies, also heavily affecting customers and business results, which is often largely being ignored:,The Service Parts Supply Chain!,4,Service Parts Logistics as a driver of competitive advantage,5,Service Parts Logistics as a driver of competitive advantag
4、e,6,Service Parts Logistics as a driver of competitive advantage,7,Logistics and economic value added,P&L effect,Balance sheet effect,8,Demand/Supply Characteristics,Plan & execute (lean),Hedge & deploy (hold inventory),Continuous replenishment,React & execute (agile),The Service Parts Supply Chain,
5、9,The Service Parts Supply Chain,Finished goods logistics versus service parts logisticsFINISHED GOODS Just in Time Small number of fixed stocking locations One way traffic:ManufacturingDistribution Centre(Final) Customer,SERVICE PARTSJust in Case(Very) large number of multi-echelon stocking locatio
6、ns Two way traffic:ManufacturingDistribution Centre(Final) Customer,10,The Service Parts Supply Chain,Supply Characteristic: Multi-echelon model,11,DHL Global Customer Logistics Our Logistics Revolution,12,Design & Develop & Plan Product,Make,Buy,Manufacture,Deploy & Deliver,Recognize Demand,Forecas
7、t Demand,Source & Procure Products,Forecast Demand,Store & Deploy Products,Service Products,Return & Dispose Products,Install & Maintain,Customer Install Base,Focus,DHL wants to be recognized as the global quality leader in the management of integrated solutions for the (mission-critical) service pa
8、rts logistics market,DHL Global Customer Logistics Service Parts Logistics Vision,13,DHL GCL Service Parts Logistics,14,Elements of logistics solutions,15,Same-day,deliveries,End-user,request,Repaired items,Repair,Pick-Pack &,delivery request,SPCs,Overnight,deliveries and,returns,Defectiveitems,Orde
9、r,transmission,DHL LCSC,Overnight replenishments,Manufacturing Centers,R,Order,Confirmation,Customer,DHL WEL,DHL Global Customer Logistics Services Offering,16,Asia Pacific Infrastructure,17,CVG,CVG,MIA,MIA,BAH,BAH,HKG,HKG,10 ELCs330 SPCsMulti-tier transportation3 Regional LCSCsOne global Billing &
10、IS capability,JNB,SIN,SYD,BRU,SFO,TYO,DHL Global Logistics Logistics Global infrastructure,18,Case Study,19,Country Logistics Unit,Operator,Repair Center,Regional Logistics Center,Case Study: Mission Critical Services for the Telecommunication industry,: Defective units,: Repaired units,Reverse logi
11、stics flow for Telecommunication hardware,20,Case Study: Mission Critical Services for the Telecommunication industry,Existing situation: Decentralized management of service parts Lack of visibility of inventory Lack of visibility of order fulfillment Lack of control of repair cycle Resulting in: Hi
12、gh inventory level Repair cycle between 40 and 120 days Not meeting KPIs for order fulfillment and order accuracy,21,Country Logistics Unit,Operator,Repair Center,Regional Logistics Center,Our proposal,: Defective units,: Repaired units,Co-located,Integrated IT system - Centralized order handling,22
13、,Process Flow,Principles Solution centre,23,Regional Logistics Solution,Central RMA and order management through Call Centre and Customer Service function Regional inventory visibility through integrated IT system Centralised Supply Chain Planning and Supply Chain Execution capability Logistics Consultancy support and regional/country program management Measure and control lead time Improve supply chain performance Lower inventory levels Lower cost,24,THANK YOU,Frits de Vroet fvroetsin-,