Photo: Sinti van den Berg, Senior Logistics Engineer, DSV, accepting the Gold award at the Logistics Achiever Awards.
“Predictability is the key supply chain requirement for BMW,” explains Sinti Van den Berg, Logistics Engineering Manager at DSV in South Africa.
“BMW has eliminated decentralized warehousing which means longer travelling distances with shorter lead times. The challenge was to design a supply chain that that is sustainable and profitable, as well as minimizing total route costs.”
“By applying complex mathematical modelling methodologies, DSV was able to design a supply chain for BMW which meets all these criteria.”
Since implementation in 2016, the new supply chain solution for BMW looks as follows:
• Night time deliveries to dealers
• Rush order lead times as fast as 3 hours from order placement to delivery
• Market-leading track-and-trace technology, which enables full visibility of freight throughout the supply chain
• A 23% reduction in the CO2 footprint
“When I designed the solution”, Van der Berg explains, “I looked at the drivers as being the biggest asset. We needed to minimise their overtime and maximise their job security.”
“As we worked on the new design, we realized companies don't compete - supply chains compete. The solution provides the short lead times needed despite the longer travelling distances – while remaining competitive on pricing, predictable on delivery and agile on capacity.”
“From the outset, it was an ambitious supply chain design but it has been working and running since 2016. Our collaboration with BMW was awarded Gold at the Logistics Achiever Awards 2017 – something I am very proud of.”
DSV won two other Gold awards at the Logistics Achiever Awards for collaborations with Fiat Chrysler Automobiles and Volvo. DSV’s CEO for Africa, Keith Pienaar, said that the awards demonstrated DSV’s deep understanding of the automotive industry and ability to adapt to customer’s special needs.
“DSV is able to turn challenges into opportunities and then deliver significant economic and efficiency outcomes for our customers”, he said.
Photo from the left: Johan Dekker, Managing Director, DSV; Anver Fakir, Manager, BMW; Rod Baxter, Part Logistic Managers, BMW; Altus van Wyk, General Manager, DSV; Greg Saff, Managing Director, DSV; LAA Judge, Vanessa de Jager, General Manager, DSV, Sinti van den Berg, Senior Logistics Engineer, DSV.