DHL Leverages Technology to Meet Shipping Demands
October 7, 2020
As consumer expectations for shipping and logistics evolve, particularly during the coronavirus pandemic, delivery providers have introduced new solutions to offer more efficient and flexible services.
Consumer Technology Association (CTA)® member DHL has turned to technology to address the changing needs and make delivery operations more efficient, sustainable and safe.
From robotics to quantum computing, various tech advancements are shaping a new era of delivery and logistics at DHL.
Delivering Vaccines on a Global Scale
As the medical world works to develop and trial a vaccine for COVID-19, logistics providers are challenged to establish effective methods to ship vaccines worldwide. DHL, working with McKinsey & Company, published a whitepaper about delivering stable logistics for vaccines and other medical resources during the pandemic.
Strict temperature requirements for vaccines pose challenges to medical supply chains and warehousing. DHL evaluated how the global transport of vaccines on the scale needed for the coronavirus could be managed effectively to combat the further spread of the virus. Technology frameworks could help establish safety measures and supply chain transparency.
DHL aimed to address various pain points, from reliable delivery times to transparency in stock levels and demands.
Robots Speed Up the Supply Chain
In 2018, DHL’s North American wing announced a plan to invest $300 million in robotics and automation. LocusBots from Locus Robotics were already part of DHL’s processes at the time, and the partnership has continued to grow.
LocusBots are autonomous robotics solutions that work alongside warehouse staff to help quickly locate and transport items so that staff pickers don’t have to push carts or carry bins. The robots also help increase productivity and support capacity growth for the shipping giant.
Earlier in 2020, DHL committed to deploying a total of 1000 LocusBots this year across 12 locations.
Artificial Intelligence at Work
To meet the challenging e-commerce needs accelerated by the COVID-19 pandemic, DHL Supply Chain turned to machine learning-based forecasting and analysis tools to optimize warehousing and order processing.
The artificial intelligence (AI)-powered IDEA solution uses algorithmic analysis to optimize routes within the warehouse, more effectively handle workload distribution for warehouse staff and help prioritize time-critical shipments.
DHL foresees that in the future, AI might enable them to anticipate needs and supply goods to customers before they even realize what is needed.
Virtual Delivery Network Meets Demands
The DHL e-commerce unit launched DHL Parcel Metro, a fast service for online retailers to meet consumers’ same-day or next-day delivery. Customized application programming interface (API) technology allows fast processing, label creation and a customizable tracking experience. By creating a virtual network of local and regional couriers and providers, DHL is able to help retailers offer a suite of fast and reliable options.
The solution also allows customized branding and messaging, further enhancing the retailer and customer experience.
DHL continues to explore the possibilities offered by technology. For example, the company sees that quantum computing could maximize the simultaneous packing of millions of parcels worldwide, detect energy waste, and seamlessly reallocate resources in the case of unexpected shutdowns or delays. Though perhaps best known as a shipping powerhouse, DHL is proving that every company is a technology company .
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