DHL, Nokia Siemens in supply chain deal
Riyadh, November 22, 2011
DHL Express, a leader in international express shipping, has partnered with Nokia Siemens Networks (NSN) to enhance the supply chain management model for a Saudi telecommunications provider.
Under the three-year agreement, NSN will leverage DHL's extensive footprint and network in Saudi Arabia to establish a Kingdom-wide domestic express distribution of telecommunications and mobile spare parts.
As the third-party logistics partner, DHL will provide storage and inventory management solutions for NSN, by consolidating inventory from 10 existing locations in the Kingdom hosting spare parts operations, and repositioning these to DHL Express multi-user facilities in strategic locations at Riyadh, Jeddah and Dhahran.
In addition, DHL will also take on value-added services such as the co-ordination of customer service activities through the management of the NSN call centre based in Dubai.
"Given the complexity and geography of service required, DHL has demonstrated tremendous experience and knowledge in ensuring the success of a robust distribution system for Nokia Siemens Networks in Saudi Arabia," said Andres Fuentes, Hardware Services Operations Manager (ME Centre), Nokia Siemens Networks.
"Over the last five months, the team has truly embodied the Can-Do spirit despite various challenges, and maintained clear lines of communication throughout the process," noted Fuentes.
"We are heartened to partner DHL whom we are confident would continue to enable us in delivering the most cost efficient results and quality for our customers," he added.
Nour Suliman, CEO of DHL Express for Mena said, "We see a growing trend of companies in the IT and telecom sectors outsourcing their spare parts logistics operations, so they can focus on their core business."
"With strong domestic network coverage in Saudi Arabia, DHL is well-positioned to deliver an efficient and effective distribution system for Nokia Siemens Networks," he added.
The Nokia Siemens Networks' mobile spare parts are manufactured and shipped from Eastern Europe and China to Saudi Arabia through DHL's global network.
To monitor whether the spare parts are in stock and in transition, DHL will also implement a highly-efficient warehouse system which will ensure inventory accuracy, visibility into stockpile and asset value accountability, said Suliman.
Dirk van Doorn, VP of Multi-National Companies, DHL Express, Eastern Europe, ME and Africa said the key objective of the partnership was to enable NSN and their telecommunications client to focus on core business expertise and competencies.
"The partnership is a strong endorsement of DHL's network capabilities in Saudi where we have unrivaled local coverage and a dedicated workforce on the ground that is fully committed to the success of this partnership," he added.-TradeArabia News Service