air express market for dhl express in ludhiana

7/29/2019 Air Express market for DHL Express in Ludhiana

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Air Express market for DHL Express in

Ludhiana

Presented By:-Gagandeep Singh

MBA-2(A)

Under the Guidance of :-Mrs. Shilpa Jain

(Faculty, PCTE)


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Origin of Logistics

Logistics is considered to have originated in the

military's need to supply themselves with arms,

ammunition and rations as they moved from their base

to different positions.In ancient Greek, Roman and Byzantine empires,

there were military officers with the title Logistikas

who were responsible for financial and distribution of

supplies.


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Logistics-An introduction

Logistics is concerned

with getting the products

and services where they

are needed and whenthey are desired. It is

difficult to accomplish

any marketing or

manufacturing withoutlogistical support


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Components of Logistics

Information

Transportation

Inventory Warehousing

Material Handling

Packaging


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Introductionof the Group

Deutsche Post DHL brings two powerful brands

to the marketplace.

Deutsche PostDHL


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Vision and Mission

DHLs mission is to be the first choice worldwide.

DHLs visionis to transform the logistics industry

and to deliver beyond customers expectations.


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DHL- An Introduction

DHL are the first letters of the last names of thethree company founders - Adrian Dalsey, Larry

Hillblom and Robert Lynn.

There are 4 divisions of DHLoDHL Mail Division

oDHL GLOBAL Forwarding(DGF)

oDHL SUPPLY CHAIN Division

oDHL Express Division


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DHL Express India Pvt. Ltd

An elite international air express service provider in

India.

Provide services from international air express to high-end logistics solutions including repair and return.

First to provide track-and-trace services in India via

email, SMS, Internet.


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Services of DHL Express

DHL

Services to Another Country (Exports)

Services to India (Imports)

BLUE DART

Domestic Services within India.


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Export ServicesInternational Express

Delivery

Time DefiniteTime-Critical Pickup and Delivery.

Day DefiniteLess Urgent, Cost-Effective Delivery.


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Service Delivery Commitment

DHL EXPRESS 9:00 Time-critical: guaranteed next

possible day by 9:00 a.m.

DHL EXPRESS 12:00 Time-critical: guaranteed next

possible day by 12:00 noon

DHLEXPRESS WORLDWIDE Time-sensitive: delivery by end of

next possible day

Time DefiniteTime-Critical Pickup and Delivery


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DHL EXPRESS 9:00

Time-critical International shipping needs.

Money-back guarantee and proactive delivery

notification.

Standard booking procedure and customer support.


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DHL EXPRESS 12:00

Guaranteed door-to-door delivery before 12:00 noon

on the next possible business day.

Time-critical international shipping needs.

Money-back guarantee with proactive delivery

notification available on request.

Standard booking procedure and customer support.


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DHL EXPRESS EASY STUDENT

Time definite express.

Multiple Shipment Tracking.

24-Hour Customer Service Helpline.


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Day DefiniteLess Urgent, Cost-

Effective Delivery

For international door-to-door delivery within a

certain number of days.

Less urgent and typically heavier shipping needs.

Limited pickup and delivery locations.


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OPTIONAL SERVICES

SII (Shippers Interest Insurance)

Packaging

Dangerous Goods

MSDS

Fumigation

Non-Standard Pickups & Deliveries

Remote Area Service


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STRENGTHS WEAKNESSES

Strong Brand Image

Globalism

eServices and

technology

Corporate symbiosis

Tie up with BLUE DART

High Prices

Not as well known as in USA as

UPS and FedEx

OPPORTUNITIES THREATS

Expansion Globally

Joint-Ventures

Increase In The Number

Of Manufactured Goods

Relations With Foreign

Countries

Economic Slow-down

Fuel prices can go up

SWOT ANALYSIS


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Financial Ratios Analysis

Current Ratio = Currents Assets

Current Liabilities

Ratio

2007 2008 2009

Current

Ratio

1.048 1.016 1.308

Year


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Liquid Ratio = ( Current Asset Debtors Bills receivables)Current Liabilities

2007 2008 2009

Liquid

ratio

1.048 0.9823 0.57

Ratio

Year


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Absolute Liquid Ratio = ( Liquids assets stocks Prepaid Expense)

Current Liabilities

2007 2008 2009

Absolute

Liquid

ratio

1.048 0.981 0.548

RatioYear


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Earning per share = Net profit for equity shareholdersNo. Of equity share

2007 2008 2009

Earning

per share

1.15 -1.40 0.53

Ratio

Year


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Pay out ratio = Dividend per equity share *100Earning per equity share

2007 2008 2009

Pay out

ratio

78.25 - 112.6

Ratio(%)Year


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Trend analysis of Net profit of Deutsche Post DHL (in m)

Year Net

Profit(m)

Trend

2005 2,448 100

2006 2,282 93.22

2007 1,873 76.51

2008 1,979 -80.84

2009 693 28.30


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-100

-80

-60

-40

-20

0

20

40

60

80

100

120

2005 2006 2007 2008 2009

Net Profit- Trend

Net Profit- Trend

GraphicalRepresentation


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Trend analysis of Revenue Deutsche Post DHL (in m)

Year Revenue( m) Trend

2005 44,594 100

2006 60,545 135.77

2007 54,043 121.19

2008 54,474 122.16

2009 46,201 103.60


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Graphical Representation

0

20

40

60

80

100

120

140

160

2005 2006 2007 2008 2009

Revenue- trends

Revenue- trends


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Year Earning per

share()

Trend

2005 1.99 100

2006 1.60 80.40

2007 1.15 57.79

2008 1.40 -70.35

2009 0.53 26.63

Trend analysis of Earning per share Deutsche Post

DHL (in)


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-80

-60

-40

-20

0

20

40

6080

100

120

2005 2006 2007 2008 2009

Earning per share()

Earning per

share()

Graphical Representation


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Introduction to Project


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EXPRESS INDUSTRY

Signifies the value addition made through the timedefinite delivery

It is totally a new age service

The Express division transports via fixed routes and uses

standardized workflows.

The quality of their services and the satisfaction of their

customers are crucial in determining their success.


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DHL Express(Global)

Head Office: Bonn, Germany

Revenue: Approx. 10.3 billion euros (as

stated in the annual report 2009)

Shipments: Approx. 842 million

Network: 120,000 destinations served in

more than 220 countries and

territories

Employees: Approx. 100,000

Customers: Over 8 million

Vehicles: Approx. 62,000

Facilities: Approx. 4,500

6 Major DHL Air Hubs: Hong Kong, Leipzig, Bahrain,

Lagos, Miami, Cincinnati/

Northern Kentucky Airport (CVG)Source: -www.dhl.com


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Head Office: Mumbai, India

Year of Establishment: 1979

Ownership: DHL is 100% owned by

Deutsche Post

Domestic Business: DHL has 81.03% stake in Blue

Dart Express India

Shipments: Over 7.7million [2008]

Network: International 220 countries &

territories

Employees: 1500

Customers: 35000

Vehicles: 300

Facilities:

353 Retail Express Centres &30 Offices across India

Hubs/Gateways: 5 [Bangalore, Chennai, Delhi,

Kolkata and Mumbai]

Commercial Flights: Close to 75 flights utilized per

day

DHL Express (I) Pvt. Limited


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Industry Trends

1991 3.5% Market Share (International Air

Cargo)

2005 11.0% Market Share

International

81.4% of the worlds freighters are used by Air Express Operators

Source: Boeing: World Air Cargo Forecast

2007


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Size of Industry 4,175 cr

Average Annual

Growths

17.2% (Estimated)

India

Source: Blue Dart internal estimation


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Major Players in India

DHL Express

FedEx

UPS

TNT

ARAMEX

PAFEX

Blue Dart etc.


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Need of the Study

To describe the characteristics of Air express market

in the region under study.

To increase the market share of DHL express in the

region.


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Objectives

1) To identify the business prospects for DHL Express

in Ludhiana City.

2) To study the factors which affect the choice of theservice provider.

3) To know the level of satisfaction provided by DHLExpress service in Ludhiana


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Research Methodology


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Research design

The research design of this research is descriptive.

Universe : All the exporters or importers using Air Express

service in the world.

Population : All the exporters or importers using Air Express

service in Punjab.

Sampling unit : In this study the sampling unit is every single

exporter or importer experiencing air express

services in Ludhiana City.

Sample size: The sample size for this research is 70

.


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Sampling techniques

In this research study, convenience sampling is opted.


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Data Analysis and Interpretation


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70

00

10

20

30

40

50

60

70

80

Yes No

Aware of DHL, as a Service Provider in Air

Cargo

Aware of DHL, as a Service

Provider in Air Cargo

Fig 4.2 - Awareness of DHL as a service provider in Air Cargo.


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25

45

0

5

10

15

20

25

30

35

40

45

50

Yes No

Used DHL as a Service Provider

Used DHL as a Service Provider

Fig 4.3 - Have you ever used DHL

Fi 4 4 Y t i id


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25

31

27

30

4

0 0 0 0

15

0

5

10

15

20

25

30

35

Existing Service Providers

Existing Service Providers

Fig 4.4 - Your present service providers


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62

10

2

0

10

20

30

40

50

60

70

Door 2 Door Door 2 Airport Airport 2 Airport

Type of Services

Type of Services

N=68

Fig 4.5 - Which type of services do you use


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38

46

17

12

0

5

10

15

20

25

30

35

40

45

50

USA Europe Asia Rest of World

Lanes of Trade

Lanes of Trade

N=68

Fig 4.6 - Which are your major lanes of trade


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68

12

0

10

20

30

40

50

60

70

80

Air Sea

Mode of Logistics

Mode of Logistics

N=68

Fig 4.7 - Which mode of logistics you opt for


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10

28

14

22

12

16

0

5

10

15

20

25

30

Doc's 0-10 kg 10-20 kg 20-100 kg 100-300 kg >300 kg

Weight Category of Shipment

Category of Shipment

N=68

Fig 4.8 - What is the weight category of your shipments


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5

1

00

1

2

3

4

5

6

Door 2 Door Door 2 Airport Airport 2 Airport

Type of Services Used

Type of Services Used

N=6

Fig 4.9 - Which type of services do you use

i hi h j l f d


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2

3 3

2

0

0.5

1

1.5

2

2.5

3

3.5

USA Europe Asia Rest of World

Lanes of Trade

Lanes of Trade

N=6

Fig 4.10 - Which are your major lanes of trade


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6

1

0

1

2

3

4

5

6

7

Air Sea

Mode of Logistics

Mode of Logistics

N=6

Fig 4.11 - Which mode of logistics you opt for


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0

2 2

1 1 1

0

0.5

1

1.5

2

2.5

Doc's 0-10 kg 10-20 kg 20-100 kg 100-300 kg >300 kg

Weight Category of Shipment

Category of Shipment

N=6

Fig 4.12 - What is the weight category of your shipments

Fi 4 13 Wh t f t d id th t i t t hil h i


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1.08

2.74

3.23

3.833.97

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

Price Transit Time Clearance

Formalities

Paper work Personalized

Service

Factors for choosing a Service Provider

Factors for choosing a Service Provider

N=70

Fig 4.13 - What factors do you consider the most important while choosing a

service provider

Fig 4 14 - Rate your experience for the accessibility and responses through


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5

12

8

0 00

2

4

6

8

10

12

14

H Satisfied Satisfied Neutral Dissatisfied H Dissatisfied

Experience to accessibility and responses(through phone and E- Mail)

Experience to acessibility and

responses

N=25

Fig 4.14 Rate your experience for the accessibility and responses through

phone and E- Mail

Fig 4 15 Rate the representatives ability to resolve the issues


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3

15

7

0 00

2

4

6

8

10

12

14

16


Representative s Ability to resolve the issue

Representative Ability to resolvethe issue

N=25

Fig - 4.15 Rate the representatives ability to resolve the issues


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32

20

0 0

0

5

10

15

20

25

H Satisfied Satisfied Neutral Dissatisfied H

Dissatisfied

Overall Experience about Clearance Dept.

Overall Experience about Clearance

Dept.

N=25

Fig 4.16 - Rate your overall experience about clearance department

Fig 4 17 Rate the experience about shipment delivery at your doorstep


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16

8

1

0 0

0

2

4

6

8

10

12

14

16

18


Experience about Shipment Delivery

Experience about ShipmentDelivery

N=25

Fig 4.17 - Rate the experience about shipment delivery at your doorstep


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Results

The heavy parcel and sample shipments are important frombusiness point of view

TNT, UPS & FedEx are most preferred brands along with

DHL

Price is the most important factor for the selection of service

provider.

Present customers of DHL are extremely satisfied with the

services. Besides Air Express service being costly the people are

ready to avail it


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Recommendations

DHL should work on pricing strategy in this region.

The field sales managers may be given more

authority in offering flexible prices

Skilled management graduates should be hired to make the reputeof the company

Effective advertisements should be there to promote DHL more

and more amongst the potential users


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Conclusion

According to the survey findings DHL has huge

potential in Ludhiana. The annual expenditure on air

services is significant and DHL can capitalize on this

by following potential customers.The study also concludes that those of whom have

used or are using the Services of DHL rate DHL Air

Express as one of the best in the industry.


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Queries


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THANK YOU

air express market for dhl express in ludhiana

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