DHL Freight wins contract extension with the BMW Group

DHL Freight, provider of road freight services in Europe, has been awarded an extension of its contract with the BMW Group and will continue to manage the vehicle manufacturer’s overland transport in 17 countries covered by the companies’ previous contract.

As a result of the tender, DHL Freight also won an expansion of the collaboration, taking on supply chain management of the BMW Group in seven additional areas.

A new DHL Freight custom-made logistics solution was successfully put in place as part of the contract conclusion.

Uwe Brinks, DHL Freight, said: “With BMW, we set out to create a solution specifically designed for their needs, one that would provide complete transparency throughout the supply chain, allowing the customer a consolidated overview of extremely complex processes.

“This has been achieved with Connected Supply Chain, a solution that gives BMW and all partners the ability to manage potential issues and identify opportunities for further optimisation.”

Connected Supply Chain (CSC), a BMW system, depicts the entire supply chain digitally, delivering real-time, end-to-end visibility and management control to all relevant stakeholders.

Aspects such as order and status data are visible via a central portal, and orders receive a single reference number from beginning to end. Drivers can access the system via a mobile application designed specifically for them.

DHL Freight’s solution was developed together with AXIT, a specialist for in cloud-based IT solutions for managing cross-enterprise logistics processes, in order to feed CSC with the relevant information.

As part of the solution, DHL Freight has established a Control Tower, where all streams of goods in Europe are monitored, providing a unique opportunity to consolidate complex data and identify areas where operations may be optimised. BMW can thereby identify potential for savings and monitor the performance of suppliers and carriers in real-time.

DHL Freight’s new contract with the BMW Group covers the management of about 90,000 shipments per month. Temperature-controlled shipping and dedicated transports are available in all areas covered by the contract.