DHL Supply Chain "Non Food Retail" has installed an innovative logistics software solution from Paragon Software Systems that is set to deliver substantial annual savings while maintaining service excellence. The system optimises DHL’s routing and scheduling for its Staples office products operation based at Watford Gap. The software was up and running within eight weeks and is already producing significant benefits. With such rapid results, DHL says the software has already paid for itself.
"We are very pleased to report significant success with the Paragon software for our Staples account. The system was installed and operational in a short space of time thanks to Paragon’s support team and the benefits have been immediate," says Craig Holmes, General Manager, DHL Non Food Retail. "Our target is to reduce our transportation costs by a six figure number in year one of using the software and then double it going forward."
"The system will help us achieve these long-term savings by producing optimised daily plans with accurate routes and schedules that will provide savings on fuel and assets. This will also help us to ensure maximum use of our fleet capacity, giving us the flexibility to deal with up to 60 store deliveries per day across the UK, plus supplier returns and waste collections. This all adds up to tremendous savings for our customer while maintaining our current service levels," he adds.
DHL selected the software to replace a legacy system, centralising planning at its Watford Gap national delivery network site. Planning is performed daily for multi-drop deliveries of six to 10 pallets per store. These fluctuating loads correspond to consumer demand. Paragon provides the flexibility and accuracy to enable DHL to quickly optimise delivery schedules and achieve a minimum 87 per cent load per vehicle – in essence allowing the company to maximise service, while keeping a tight rein on resources.
Staples is the world’s largest office products company offering a wide range of office products, including supplies, technology, furniture and business services. With £16 billion in sales, Staples serves businesses of all sizes and consumers in 27 countries throughout North and South America, Europe, Asia and Australia.
DHL Supply Chain is the global market leader of the international express and logistics industry, specialising in providing innovative and customised solutions from a single source. The Supply Chain business unit provides warehousing and warehouse transport services as well as value-added solutions along the entire supply chain for customers from various sectors of industry.