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Rolf Habben Jansen, Damco on 'Maximising 3PL Customer Service Levels'


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Rolf Habben Jansen, CEO of Damco speaks at a session on 'Maximising 3PL Customer Service Levels' at the 7th European 3PL Summit in Brussels, November 25th 2009.

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Rolf Habben Jansen, Damco on 'Maximising 3PL Customer Service Levels'

  1. 1. Improving the customer experience… with competitive costs… Rolf Habben-Jansen, CEO Damco, November 24 2009
  2. 2. l1 Who is Damco? A top 10 global provider of Forwarding and Supply Chain solutions, part of the AP Moller Maersk Group More than 100 years experience 10,500 employees Move 2,5 Mill TEU ~275 offices in Lift 60,000 tons ~100 countries of air freight ~3 bill USD Operates 1.3 Mill company m2 warehouses * Graphic does not illustrate exact location, mode, corridor or lane 2
  3. 3. Slide 2 l1 slide confirmed ok by cco team lbs002, 09/09/2009
  4. 4. The customer experience has many different aspects… Consistently above 97% performance on KPIs Delivery capability In 2008, 250 supply chain projects Innovation capability created 117 mill USD savings for our customers Account Management Servicing more than half of the Global Customer loyalty across Fortune 100 Companies through own industries offices in almost 100 Countries More than 97% retention with our top Coverage across all markets 150 customers over the last 3 years (incl the difficult ones) Well over half of our top 50 customers Systems and visibility have been with us for more than 8 solutions years 6.5 mill. EDI transactions/month; Passion for customers +500 partners; +1500 EDI maps; 1.2 mill. E-bookings & 14,000 shippers 3
  5. 5. Increasing efficiency, raising customer satisfaction and being innovative at the same time is critical Efficiencies Innovation Benchmark your Focus on the ´ease performance and of doing business´ business External customer service and invest in versus peers customer facing IT Simplify and Reduce IT running standardize the costs and improve Internal organization & take in customer facing out unnecessary applications cost 4
  6. 6. In 2009 a variety of measures were taken to improve efficiency and become more responsive… The entire Logistics Business has been united under the new Damco brand On average 2 layers of management have been removed throughout the organization since January 1 this year Overall H/C has been reduced with 1.400 FTE´s since September last year We close the books more than 5 days quicker every month in 2009 versus 2008 Our total corporate cost will in 2009 end up over 30% below our 2009 budget Projects launched and in implementation to further off-shore back-office activities (more than 25% of H/C by end of 2010) 5
  7. 7. …which included specific measures to improve and standardize the customer experience… - New Global Key Account Program launched for initially 35-40 customers, with similar initiatives rolled out in every Region - Project Ying: 900 back-office and customer service functions are relocated from Chinese coastal cities into Chengdu - Improved Customer service/ process standardization - Reduced cost to serve - Focused investment in customer facing IT-applications - Integrate all back-end applications into one front-end across all major Products (SCM, Oceanfreight, Airfreight) - Single sign-on, web enabled, near real-time visibility across all products - Significantly enhanced self reporting capabilities through upgraded Spective visibility portal 6
  8. 8. …and the initial results of our efforts are encouraging… Our Employee Engagement and Customer Satisfaction are both up significantly Ocean Freight volumes are since July on par/ slightly ahead of last year Airfreight volumes are since July well ahead of last year Damco´s operating result in 2009 is YTD September slightly ahead of last year and our Full Year 2009 operating result will be better than 2008 Our operational cashflow in 2009 is very healthy and much better than in both 2007 and 2008 7
  9. 9. ….so in closing – our advice Simplify & ? Innovate Does this activity drive customer value & satisfaction? Why should we keep this activity local or can we consolidate/ standardize? Which capabilities are needed when recession is over? Do we have enough passion on our organization & teams? 8