DSV China

GLOBAL TRANSPORT AND LOGISTICS

DSV Global Transport and Logistics

Dear customer,

At DSV, we recognise our customers’ needs for flexibility. Using one of

our 135 multi-user warehouses around the globe, which include 23

warehouses in mainland China, will enable you to respond quickly to

market changes by expanding or reducing inventory levels at variable

cost. We help you to identify the optimal location for storing and han-

dling your goods as cost-efficiently as possible.

DSV China offers warehouses in Shanghai, Suzhou, Beijing, Tianjin,

Shenzhen, Guangzhou, Chengdu and other cities. Our warehouses

are managed and run using our own resources, including warehouse

employees, equipment and IT systems, in order to ensure that we con-

tinually maintain full control over operations.

Our organisation is divided into three divisions: DSV Air & Sea, DSV

Road and DSV Solutions, each with their own boards. The DSV culture

is characterised by a flat, transparent organisation in which it is easy to

find the right person. Our customers tell us that we are easy to work

with, and our employees are empowered to provide solutions – wheth-

er on a local or an international level.

We would love the opportunity to discuss with you how we can support

your business growth.

Welcome to DSV!

Warm regards,

The DSV China Management Team.

With offices in more than 75 countries all over the world, DSV

is a truly global supplier of transport and logistics solutions.

Over 22,500 DSV employees recorded annual revenues of

over 6 billion euro. DSV is one of the 20 most-traded stocks

on the OMX stock exchange in Copenhagen, Denmark.

Key figures China

Employees: 1000

Warehouses: 30

Warehouse surface: 150,000 sqm2

Licence: Class A

WMS: DSV CargoWRITE

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Case study

IC Companys is one of Scandinavia’s largest fashion compa-

nies with a turnover of 3.3 billion US dollars and more than

1,600 employees. The company’s well-known brands such

as Tiger of Sweden, Peak Performance, By Malene Birger and

Saint Tropez are sold through over 450 retail and franchise

stores, through e-commerce and through some 8,000 dis-

tributors in more than 35 countries.

DSV e-Services

DSV’s e-Services track & trace system provides detailed

status information at each step during your cargo’s journey,

right up to the moment of delivery. This comprehensive set

of tools offers a full range of functionalities including book-

ing and reporting. The portal is easy to use, and access can

be shared with your suppliers and customers. It significantly

reduces documentation errors and increases communication

efficiency when dealing with imports or exports.

Other Services

• Combined services (sea - air)

• Hazardous and temperature-controlled cargo

• Customs clearance and documentation

• DSV cargo insurance

DSV Air & Sea is a global transport and logistics provider

determined to be your preferred service partner for inter-

national trade. DSV Air & Sea offers alternative routings and

flexible schedules to suit even the most demanding logistical

requirements to and from all parts of the world. With approx.

6,400 employees in over 75 countries, handling more than

770,000 TEUs of sea freight and more than 260,000 tons

of air freight a year, DSV Air & Sea has the market share and

buying power to offer diverse freight-forwarding solutions.

Airfreight Services

DSV Air & Sea is a premier air freight provider offering an

exemplary level of service, which makes us the preferred

partner for some of the world’s most selective international

trading companies and retailers.

Express Services Efficient in terms of both

transit time and price

Daily Flight Services Flexible direct pick-up and delivery

Consolidated Services When cost-effectiveness is

your number one priority

Full and Part Charter We operate our own charter

department with dedicated

employees

On-board Courier Extremely urgent parcels

delivered to their destination

as soon as possible

DSV Air & Sea

Sea freight Services

DSV Air & Sea has the expertise, market share and buying

power to offer comprehensive freight-forwarding solutions.

With our local customer service representatives in almost all

parts of the world, we always keep you up to date, ensuring

that you stay one step ahead of your freight.

Full Container Load (FCL) Services

Door-to-door or port-to-port, to and from locations

worldwide

Less than Container Load (LCL) Services

Own consolidations, guaranteed capacity, frequent

departures

Non-containerised Load/Special Equipment

Overweight and out-of-gauge shipments which are

unsuitable for standard containers

Break Bulk

Our dedicated Project Department employs specially

trained and highly experienced staff

Buyer’s Consolidation Services

Your cargo can be delivered to our facilities

by multiple suppliers

As one of the pioneers in its industry, IC Companys started out

sourcing the manufacturing of goods to China as early as the

beginning of the eighties. As the business, service quality and

visibility requirements in the supply chain grew, the Chinese

logistics operation also increased. In 2008, IC Companys invited

DSV to participate in a tender for the freight operation from

China, India and Bangladesh for its entire store network in

Europe and Canada. DSV is now managing inbound domestic

trucking as well as buyer consolidation and loading & ship-

ping for IC Companys. Through DSV’s Purchase Order Vendor

Management system, IC Companys has a clear overview of

the status of each order and can adequately anticipate any

delays. The DSV online booking system allows suppliers to

proactively book a pick-up as soon as orders are ready, and

they can monitor the progress of each consignment using

the track & trace facility.

In the DSV warehouse facilities in Hong Kong and Shanghai, DSV

optimises the container loading plans, thus reducing the logis-

tics costs per item. DSV builds customised ‘Garment on Hanger’

boxes to optimise the use of space and ensure that the clothes

arrive at their destination in pristine condition. Nete Synnest,

who is responsible for transport and customs at IC Companys,

has been truly content with DSV over the past 5 years. “Not only

has DSV provided us with greater visibility of our supply chain

but it has also done a good job in facilitating the increased volume

and complexity of our business, hence positively contributing to

IC Companys’ growth,” comments Nete.32

DSV started implementation immediately after being

awarded the contract. Danfoss required some products

to be repacked and/or grouped into specific packaging.

A highly customised standard operating procedure (SOP) was

created by a joint team of logistics professionals from

Danfoss and DSV. That team was subsequently responsible

for providing training, and embedding the SOP in the ware-

house operation. Since Danfoss opted to continue using

its own system, the DSV team members familiarised them-

selves with the client system. To cope with the wide

variety of product sizes, DSV proposed a customised racking

solution which significantly increased storage capacity in the

racking locations and resulted in 20% extra warehousing

space.

Danfoss has now been working with DSV in China for two

years, and Dai Jian, Supply Chain Director of Danfoss in

China, looks back on the cooperation with satisfaction:

“We have had no accidents over this period, and important

KPIs such as ‘Goods Received’, ‘Delivery On-Time, In-Full’

and ‘Inventory Accuracy’ are reaching levels of 100 per-

cent.” In recognition of its commitment to Danfoss, DSV

was awarded an ‘Excellent Vendor’ certification by Danfoss

in 2012.

Danfoss is a privately owned, global company employing over

23,000 people in 51 countries. This Danish manufacturer of

climate, energy and power equipment was faced with a situa-

tion in which the supply chain was having difficulty keeping up

with the pace of growth. As a result it was becoming increas-

ingly difficult to provide a consistent service level, especially

to the northern part of China.

At DSV, we recognise our customers’ needs for flexibility.

Using one of our 135 multi-user warehouses around the

globe will enable you to respond quickly to market changes

by expanding or reducing your inventory levels at variable

cost. DSV Solutions helps you to find the right warehouse

location for your goods to ensure that they are optimally

stored and handled as cost-efficiently as possible. Our in-

dustry-specific storage solutions are tailored to your product

and market needs.

Inbound Transport Management

We manage the inbound flow of your goods into our ware-

houses as well as the inspection and registration of the

incoming products. Our inbound services include unloading

and palletising, checking the goods for defects and damage,

recording serial numbers or items, and storing your products

in the assigned racking or bin locations.

Storage

We operate a continuous cycle-counting process to en-

sure that the stock levels in your system match the levels

shown in our warehouse management system (WMS) and

the physical stock levels in the warehouse. We can integrate

our WMS with various client-based ERP systems including

SAP and Oracle. We offer multiple storage possibilities such

as bulk storage, shelf and bin locations as well as conven-

tional rack storage for a wide variety of pallet sizes. DSV runs

a number of bonded warehouses throughout China which

DSV Solutions

eliminate the need for local customs clearance. Hence, DSV

is an excellent partner for trans-shipment platforms or dis-

tribution centres located elsewhere in Asia or globally.

Pick and Pack

We can handle your sales orders, which you submit to us in

a pre-agreed format and frequency, according to a selec-

tion of picking principles including ‘First In, First Out’ (FIFO),

‘First Expired, First Out’ (FEFO) and ‘Last In, First Out’ (LIFO).

We always check the accuracy of each sales order, includ-

ing the packing list and parcel label, before dispatch, and

sub-sequently load the orders into delivery vans or trucks.

We can draw on a flexible pool of dedicated warehouse op-

erators and are therefore able to handle seasonal peaks.

Value Added Services

In addition to our core services, we offer a wide variety of

Value Added Services which are performed by experienced

teams striving for flawless execution. The range of Value

Added Services offered by DSV Solutions in China includes:

• Kitting/assembly

• Testing

• Packaging/repackaging

• Configuration/customisation

• Labelling

• Repairs

Consultancy

• Network optimisation – improve your national,

regional or global distribution model

• Management reporting – best-practice reporting

principles for maximum control

• Warehouse design – construction and location

• Standard Operating Procedure – design and

enforcement.

DSV CargoWRITE

DSV Solutions offers a comprehensive IT suite called

CargoWRITE, which includes:

• Warehouse management system (based on Red Prairie)

• Freight management system

• Duties management system

• Integration gateway

• e-Visibility

DSV Solutions China employs a dedicated team of engineers

for solution design. Their services include the configuration

of warehouse management systems, development of EDI

interfaces, and implementation of operational and customer-

service processes.mentation.

Case study

54

Case study

Domestic Distribution

DSV is currently managing the specialised domestic distri-

bution for a well-known, US-based global manufacturer of

electronic and mechanical equipment. The company imports

and distributes train components and spare parts, and has a

widespread customer base throughout China. Due to its large

network of regionally located distribution providers, the man-

ufacturer was struggling to manage its operation efficiently.

Road-based transport in China falls under the responsibility

of the DSV Logistics organisation. DSV offers attractive and

flexible distribution management solutions with short deliv-

ery times for groupage cargo as well as part and full loads.

We specialise in designing solutions to fit each individual

customer’s needs, and we deliver to any part of China.

Groupage Efficient in terms of transit time and price

Part Loads Flexible direct pick-up and delivery

Full Loads Optimised capacity utilization, lowest

cost per Kilogram.

Distribution Management

We are committed to finding the most suitable distribution

solution for you in terms of lead time, quality and cost.

We handle the planning, execution and administration of

all transport operations. DSV Solutions always selects the

most favourable distribution solution depending on the size,

weight and destination of your sales order. Our track & trace

system allows you to monitor the progress of the shipment

from pick-up to final delivery. Our state-of-the-art trans-

port management system (TMS) connects our network of

dedicated subcontractors who are specialised by lanes or

products. DSV Solutions is currently managing the transport

activities for over 20 companies in China, thus providing the

critical mass for a highly efficient customer services opera-

tion.

DSV Distribution Management

Other distribution management services include:

• Order management

• Shipment planning

• Freight execution and monitoring

• Exception reporting and proof of delivery

• Freight settlement (incl. freight invoice audit & client billing)

• Performance reporting

Carrier Selection and Management

As we are a licensed provider of trucking services, you will

benefit from the transparency and the VAT policy of a single

transport invoice for your combined distribution throughout

China. By leveraging our global buying power, we are able

to negotiate competitive rates and always ensure sufficient

capacity. We select the most suitable carrier from our ex-

tensive carrier base or use your preferred carrier if you wish.

Moreover, we monitor and measure all carriers on a day-to-

day basis using key performance indicators (KPIs) and score-

cards based on your requirements.

Invoice Settlement

DSV Solutions’ freight management system supports a

range of invoicing formats and methods. We check and audit

carrier bills, and we can flexibly invoice you in line with your

administrative processes (match and pay, self-billing, etc).

We can also handle cost-plus pricing and consolidate invoic-

es per agreed period.

Cross-Docking

We offer short-term storage and consolidation of shipments.

In that case, goods for a specific sales order are placed in the

cross-docking area to await the arrival of the other compo-

nents for the same order. They are then consolidated into a

single shipment and prepared for delivery.

Track and Trace

Clients can book and manage their shipments online through

DSV e-Services. The track & trace data can be accessed

through a web portal or directly integrated into the client’s

own planning systems using electronic data exchange (EDI).

Our customers’ suppliers can also access the e-Services

portal in order to arrange a pick-up as soon as the goods

are ready to ship.

Now, three years after DSV took over the management of

the distribution activities, volumes have more than doubled

and the scope of services has increased dramatically. DSV’s

transport management system (TMS) gives the customer

visibility of the entire operation and a single point of contact,

which has improved customer service.

In addition to ensuring that all the orders are delivered on

time and in full, DSV also provides a range of Value Added

Services. Upon receipt, all goods are quality-checked and

then re-packed into customised packaging if necessary.

Most of the train components and spare parts only stay in

the DSV warehouse for a short period. On the cross-dock

platform, the goods are sorted and consolidated into com-

plete orders before being dispatched. They are monitored

through the track & trace facility right up to the moment of

final delivery.

“The distribution operation is truly unique in China. It clearly

demonstrates our flexibility and underlines our commitment

to shaping our service offering around the client’s needs,”

says Landy Yao, Contract Manager for DSV Solutions. “Our

client has a global reputation for second-to-none profes-

sionalism. Despite the extremely high service-level require-

ments, I am proud to say that we are consistently meeting

– and exceeding – the customer’s expectations,” continues

Landy.

76

Key figures Asia

Employees: +2000

Countries: 11

Locations: 63

In operation: +30 years

Warehouse surface: +200,000 m2

DSV AsiaLogistics & Transport hubs

Extend Your Reach into Asia

Whereas Asian hub locations were previously mainly limited

to Hong Kong and Singapore, the opening up of the Chinese

market has facilitated the emergence of Free Trade Zones

with bonded warehouse facilities on mainland China.

Shanghai and Shenzhen are becoming increasingly popular

as hub locations for intra-Asian freight management as it

is often conveniently located with respect to production

facilties, which in turn significantly reduces distribution

costs and transit times. Our rapidly expanding presence in

the region includes offices at major ports as well as logistics

operations in major markets and hub locations.

Local Expertise

You can depend on our knowledge of local customs regu-

lations and our extensive distribution networks to get your

products to your clients and distributors on time and in

perfect shape. DSV’s regional presence can support your

growth into new Asian markets. With the financial strength

of a global player, DSV is a reliable long-term logistics

partner.

Intra-Asian Network

Dedicated Intra-Asian Team

All intra-Asian cargo flows are handled by a dedicated regional

team of commercial, operational and customer-service

employees. This set-up allows us to communicate efficiently

and deal swiftly with any commercial or service issues that

may arise.

A Unique Service Offering

The DSV network offers door-to-door visibility of your

shipments, with the possibility for our track & trace data to

be interfaced with your system using EDI or to be accessed

through our online portal. For air cargo DSV even offers a

same-day uplift service and a next-day delivery service

throughout Asia. Our central billing department provides you

with a standardised invoice for all your freight flows.

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GLOBAL TRANSPORT AND LOGISTICS

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