DHL provides new services in a contract extension with Telefnica UK
Aug 16, 2011
DHL Supply Chain has been awarded a three year contract extension worth 40M by Telefnica UK, the communications operator, which uses O2 as its commercial brand.
DHL Supply Chain will provide enhanced services covering the full lifecycle of the product to Telefnica's retail stores, distributors, business and consumer users. This includes the distribution of mobile devices, SIM cards, modems and other accessories. DHL will provide product and package customisation to meet retail stores' special feature / promotional requirements. In addition, DHL will carry out reverse logistics services for managing and processing returns and recycling. The agreement also includes second line customer service covering retailers' enquiries and operational support for Telefnica's supply chain activities.
DHL will support Telefnica in broadening its service offering and improving customer satisfaction across its aftermarket services.
At an operational level, DHL has taken an innovative approach to managing the efficiency of Telefnica's site operations. By implementing Premis, a proprietary labour management system, combined with DHL's continuous improvement programs, site productivity has improved by 25% over the last 12 months, helping drive down Telefnica's operational costs significantly.
As a core pillar of its strategic agenda, DHL Supply Chain has invested heavily in the Mobile Communications Devices (MCD) market across EMEA, establishing industry partnerships and tailoring its solutions and product range to the needs of the market.
Nick Lefever, Head of Business Operations at Telefnica UK commented: "The range of innovative services that DHL has implemented and its clear understanding of our company objectives were key to our extending the contract."
Paul Richardson, Managing Director, Fashion, DHL Supply Chain commented, "We're delighted to extend our relationship with Telefnica. The natural cultural fit between our organisations and shared objectives have been crucial to the success of the partnership. By focusing on constantly improving the end customer experience, we're not only in a place to better our own business processes, but also those of our partners."
