Logistic Management DHL Australia †Free Samples for Students

Question: Discuss about the Logistic Management DHL Australia. Answer: Introduction Logistic operation is a complex chain, which has further become complex because of the globalization. Globalization has helped connect different cities and countries with each other. These things are in practice because several companies have shown their interest in the logistic industry. The highly growing international and domestic business has made the supply chain operation more complex. There are different modes of carrying the freights, which are composed within a single body such as the intermodel. The intermodel contains every single mode of transportation, which could help carry the freights to the desired place (Tseng, Yue and Taylor 2005). DHL is one of the biggest names in the list of logistic companies, which is operating in more than 200 countries. The company is providing solutions to the rising freight demands with the help of different available modes in intermodel such as road, rail, air and sea. The intermodel in Australia is facing some critical issues, which is affecting the business operations of different logistic companies such as DHL. One of the major issues is the increasing numbers of road accidents. The outback road trucks have become a high challenge to the country as the cases of accidents are growing with the rising demands of freight business (Ft.com 2017). The main purpose of this assignment would be to analyse the intermodel in Australia and one biggest challenge to the intermodel. Analysis: Supply Chain management of DHL Figure 1: DHL Supply Chain Process Source: (Dhl.co.in 2017) The above diagram shows the diagrammatic representation of the international supply chain process of the DHL Company. The first process is about the planning for the entire process, which is then followed by collection of materials from the suppliers at the required time. Different manufacturers are then used for the manufacturing of the products, which is again sent by the logistic operation of the company. The manufactured products are then sent to the different distribution centres, which hire DHL for the shipment of the products. DHL now customize these accordingly to roll out the required products on the committed time. The next stage includes the shipment of the products to the mentioned locations anywhere across its global network. The company then uses the different kinds of freight movement modes such as Road, Rail, Air and Sea depending on the requirement. The last part of the process is a very complicated one, which is troubling most of the logistic companies. Moreover, Re verse Logistics (RL) is the last process, which it governs with the help of same supply chain process. Current problem in the chosen intermodal It is expected that the next 15 years in Australia would see the doubling of the freight tasks. This is creating some kinds of urgency for the country to have a robust transport system, which could respond to the homogenous rising demands (SCT Logistics 2017). However, the rising cases of accidents on the roads such as above are causing severe problem to the supply chain operations. Nevertheless, the rising cases of accidents are putting some indirect effects on the different logistics companies. The logistics companies are under direct monitoring of the local government of Australia. The Australian Road Safety Tribunal, which is responsible for regulating the system on the payments and the selection of drivers, has also felt the necessity to diagnose the issue. This is for such mentioned reasons that the mentioned governing body is heading towards the International Labour Organization, which is a UN Body. The issues have been taken to the international level to attract some internat ional code of conduct on the payment and the selection of drivers. The situation is getting worsened as the numerous supply chain companies are being held liable for the rising challenges in the form of road accidents. They have also felt that the rising numbers of independent contractors are enhancing the problems even further. The hired drivers by such contractors are preventing the drivers from any international code of conduct (Ft.com 2017). Sustainability is a broad topic, which is very important from the business perspectives. Business sustainability depends on various factors such as environmental performance. Nevertheless, in the era of globalization different companies have become more inclined towards sustainability related activities (Environmentalscience.org 2017). This is because of the fact that common people are getting equipped with various factual things, which they gather from different resources such as online contents. The different online contents are developing the educative atmosphere in them and this is for such reason that they are increasingly becoming equipped with the importance of the environmental sustainability. The rising concerns have made them highly choosy when it comes for selecting their choice of brands. However, the rate of interference of sustainability factors has less importance in decision making for the purchasing. Nevertheless, some cares for the environment sustainability. This i s for such reasons that the existing Prime Minister of India has initiated the Swatch Bharat Urban Project addressing the problem of environmental sustainability (Swachhbharaturban.in 2017). The rising concerns for the sustainability of the common people have been coupled with the lessening performances of several companies in the environmental sustainability. The rising cases of road casualties on the Australia roads have brought different logistic companies such as DHL under some kinds of inspection. They are highly dependent on the different modes of freight transportation, which require some workers to support the process. This is where the problem arises as these logistic companies are hiring private contractors for the fulfilment of transport requirement. These private contractors have no such strict international code of conduct on them, which have allowed them to practice such unethical things. They hire private drivers who are less associated with the rules and regulations of the international code of conduct. The negligence of code of conduct in such cases has given birth to the ongoing problems. The Australian Local Government has initiated many such features such as surveillance cameras on roads to inspect the movement of the Road Trucks (Hannaford 2017). However, even this is not solving the issue as the cases of accidents are still making headlines in different news channels. Sustainability issues Sustainability is widely becoming popular from different perspectives such as from the business perspectives. The business in the contemporary world has been adjoined with the different perspectives, which has created some potential challenges to the different organizations for their survival. In the ongoing discussions on the transport related problem in the existing inter model of Australia, it has widely questioned the CSR and the Sustainability related approaches of the different logistics companies in Australia. The theory of CSR states that, different corporate have some other responsibilities such as for the social wellbeing of the common people (Madu and Kuei 2012). This is for such reason that different kinds of companies are actively involved in doing various CSR related works. Different companies have kept them engaged with the different kinds of CSR related works such as giving donations to some NGOs. Apart from CSR, Sustainability is another big factor, which has influen ced different companies towards it. The theory of Sustainability states that, every business should also accomplish the basic environmental factors that surrounds the common people (Madu and Kuei 2012). Sustainability is getting violated in the freight transportation process in Australia. Different logistic companies that are involved in the supply chain process; they are selecting more to the private contractors for each different project. Those contractors does their very best to hire some drivers. However, these drivers have hardly any interference in their driving process from the international codes of conduct. This has contributed in the high numbers of drivers, which are less guided under the international codes of conduct. In addition to this, they are even put on some additional pressures and they at sometime do not have adequate payment facilities. The intermediary contractors are making this happen to some extent. The sustainability of the highly incrementing logistic operations has been drastically hit by the lowering standard of road safety. The series of accidents are challenging the CSR and the Sustainability related approach of the different logistic companies. Now, the logistic companies such as DHL need to have some serious remedial actions against the rising problem. They are doing their jobs as they have their presence in more than 200 countries; however, they are seriously lacking in terms of sustainability, which is of utmost urgency for the company. Moreover, logistic companies are not only expected to be just a medium of transportation for the required products but they are also expected to be equally responsive in the safety of the goods and the common people. The rising problem is a serious issue for the logistic companies (Wang, Jie and Abareshi 2014). The situation would remain out of the control of the Australian Government if they do not consider some robust solutions for the cited problems. They have concerns for the ongoing problems and this is because of such reasons that the local government has felt the necessity to opt some initiatives, which the local government has also addressed in a conference held in the year 2014 (The-linc.com.au 2017). The existing system is disturbing the sustainability of the environment as it is becoming widely evident in the series of Road Truck accidents. A business according to the CSR and the Sustainability theories needs to maintain the highest standard of sustainability. However, the rising cases of road accidents and the absence of internal codes of conducts on the hired drivers have collectively attracted numerous criticisms for the business. The logistic companies are getting bombarded from some experts for the rising cases of accidents. This is because that the freight system of existin g logistic operations in Australia and across the globe does also include the road transportation. Moreover, in Australia, the system of supply chain, which the different logistic companies are using, has allowed many such drivers who are have hardly any guidance of the international codes of conduct (Bichou, Bell and Evans 2013). In addition to this, they do not have an adequate system, which could set the minimum payment structure for the drivers. There is some serious problem in the system, which is enhancing the number of casualties on the roads. The rising demand of freight in the next 15 years is giving a clear indication tom logistic companies such as DHL to modify their existing logistic management system. This is because that the local government of Australia has already taken the issue at the international forum such as to UN body. They have approached the UN body to have some international codes of conduct, which the local government could impose on the logistic operation process in Australia (Ft.com 2017). Recommendations Following are some of the recommendations, which could well prevent the road accidents and improve the logistic operations of the different logistic companies such as DHL: Point-to-point cameras This is very effective in controlling the speed of the fast moving heavy vehicles. The speed limit machines are already installed across the different cities in Australia; however, the drivers were not monitored, as the system has no such system before. After the implementation of the point-to-point cameras, this would help reduce the rising cases of accidents. This is because that the incepted system would then capture each movement of the vehicle drivers. This would help the local police in imposing some serious penalties on the drivers after being caught in the camera (Journal of the Australasian College of Road Safety 2011). Reliable works for the drivers Fatigue was identified as the primary cause behind some of the road accidents cases. It brings some level of dissatisfaction in drivers with the system, which grows in its maturity as the day passes on. It is also contributed by some non-standardized minimum payment system. Moreover, this is one of those reasons, which is acting behind the unprofessional driving. The problem can well be solved if the Australian government changes the system of operation of the different logistic companies. There is a need of an indirect control on the system with the use of some international codes of conduct, which could guide towards an ethical practice (Journal of the Australasian College of Road Safety 2011). Cooperating with the government legislations The third point of recommendation would be for the adherence of the local government rules. The Australia government has identified the rising threats and this is because of such reasons that the government has approached the UN body. DHL Company should cordially accept the legislations and the rules, which the government put on the existing logistic process. This would also help redefine its sustainability approach, which is very important for a sustained business performance. Conclusion The rising cases of accidents have enhanced the worries for the logistic companies such as DHL in Australia. They have now come under strict of the local government. The rising cases of accidents have also affected the reputation of the DHL Company, which is operating in more than 200 countries. The system has become such that it is difficult to completely nullify the problem. The operations are handled with the help from the numerous contractors. Moreover, this is very difficult to completely uproot the system. However, it is more advisable that system comes under the surveillance of some powerful regulative body, which could impose some strict rules on the drivers and the contractors. The existing intermodel in Australia needs to be given some modifications under the governance of some codes of conduct. This is utterly required, as the next 15 years would see a doubling of freight business in Australia. The existing operational issues in the logistic operation needs an urgent recti fication as this is highly required in responding to the rising opportunities in the near future. The existing system of logistic operations of most logistic companies such as DHL is complicated in a sense that it is more reliable on the contractors. The one potential harm in such kinds of process is the loss of dominant control on the surveillance of the drivers. Another problem is the minimum payment, which the contractors might decide accordingly. This is very embarrassing because the drivers might not be able to get the full justice for their works. This is why it is important that some regulative system be imposed on the contractors and the entire transporting system. This would help maintain a balance system comprising of a secured logistic operation and a standardized minimum payments to the drivers. References Alderton, P. and Saieva, G., 2013.Port management and operations. Taylor Francis. Bichou, K., 2014.Port operations, planning and logistics. CRC Press. Bichou, K., Bell, M. and Evans, A., 2013.Risk management in port operations, logistics and supply chain security. 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