DHL has been selected by Johnson Controls, a $27 billion global market leader in automotivesystems and facility management and control, as its US express service provider. The three-year,
multi-million dollar agreement comes on the heels of a recent DHL announcement of enhanced airnetwork and service offerings.Johnson Controls will consolidate all of its domestic air shipping to DHL as its US domesticservice provider, as well as rely on DHL for international shipping solutions. All Johnson Controlsbusiness units (interior experience, building efficiency and power solutions) will use DHL’s NextDay Air products to transport time-sensitive customer material such as emergency parts for vehiclesand control equipment, including heating and cooling systems and parts to and from vendors andcompany facilities throughout the USA. Johnson Controls will also use DHL for urgent inter-officematerial, including the full company payroll distribution.
The automotive supplier, which had used a combination of carriers for several years, noted thata $1.2 billion DHL network infrastructure investment and recent enhancements to DHL next day airproducts have been providing measurable returns, including faster transit times and enhancedoverall operational flexibility. In April, DHL announced significant enhancements to its suite ofdomestic Next Day Air products though a major expansion of service coverage across the USA, and amoney-back guarantee for DHL Next Day 10:30 AM and DHL Saturday Delivery services.
Johnson Controls will also leverage DHL’s global expertise in international shipping to developintegrated regional solutions, speed transit times, and minimize customs clearance delays. DHL iscurrently working with Johnson Controls to develop cross-border, break-bulk solutions from Mexicoto the USA and from the USA to Canada for the transport of automotive parts and heating and coolingsystems. Both companies are also evaluating joint procurement and reseller alliances.
“DHL’s scope of offerings, network capabilities, operational flexibility, and overall value bestmet our shipping needs,” said Carolyn Woznicki, Vice President and General Manager of GlobalProcurement at Johnson Controls. “DHL’s ongoing commitment to innovation, quality, and to thecustomer experience provides us with a best-in-class transportation partner that is willing andable to support our strategic initiatives and business goals,” she added.
DHL is also engaging its Partnership CARE team (Customer Activation Resolution and Enhancement)for Johnson Controls, designed to identify and tailor solutions to specialized customer needs. Theprogram ensures that customers with complex shipping and logistics needs have dedicated expertiseand support at activation and during the start-up process, as well as throughout their relationshipwith DHL. Already in place are tailored solutions for Johnson Controls, such as customized customerservice support and late pickup service at key Johnson Controls distribution facilities.
“With our new network enhancements, customers are reaping the advantages of sourcing with DHLfor air services as well as our entire portfolio of services,” said Charles Brewer, Executive VicePresident of US Air Products and Services. “DHL is well-positioned to make significant in-roads tooffer premium air services to diversified companies like Johnson Controls. We see our relationshipwith Johnson Controls as a partnership where we can provide customized shipping and logisticssolutions, and also look for ways where we can work together to enhance our respectiveoperations.”