New AusPost chief comments on the challenge ahead

Christine Holgate, announced last week as the new Managing Director and Group CEO of Australia Post, succeeding Ahmed Fahour, has spoken to the Seven Network’s Sunrise team about the task ahead for the postal service.
Asked about the biggest trial she anticipates Australia Post will face, Holgate noted that utilisation of the company’s workforce as letter sending declines will be difficult going forward.
“Clearly, one of the biggest challenges is you’ve got this army of these fantastic trusted people going out to our homes every day, but the letters they’re delivering are declining,” she said, adding that she is keen to keep the nation’s post workers relevant in the community and in their jobs.
When questioned about her salary expectations when entering the position, after the disclosure of her predecessor Fahour’s excessive pay packet resulted in his departure from the company, Holgate noted that remuneration wasn’t a consideration.
“I know this might sound peculiar to people, but I never asked what the salary was,” she said. “It wasn’t actually a factor in me deciding to do the job, I always said to John [Stanhope, Chairman (non-executive) of Australia Post’s board of directors], ‘you’ll pay me what you think is fair’, and to me, taking the job had nothing to do with pay.”
See the interview below.

Shippit brings Australian logistics veteran on board

Online logistics management platform Shippit has appointed Dominic Culbert as its Head of Logistics.
Culbert joins Shippit from his most recent role as the Group Logistics and Delivery Solutions Manager at Mysale Group, where he oversaw the implementation and setup of OzSale’s international and domestic delivery network, comprising of over 65 shipping lanes across 10 countries.
Prior to this, he was Head of Distribution at BCP Marketing Services and developed supply chain solutions for Microsoft, Novell, Cisco, Palm, and Apple.
With over 18 years of experience in ecommerce logistics, Culbert will be responsible for driving the Shippit’s logistics strategy as it strengthens its position in Australia and expands into the APAC market.
“When it comes to managing the end-to-end shipping process, Shippit is doing it better than anyone else in the space, which is what attracted me to the role,” said Culbert. “I’m excited about further developing and growing their platform.
“I see numerous opportunities to drive improvement in ecommerce shipping around tracking, visibility and cost savings, particularly in the Asian markets, which are growing in leaps and bounds.
“Shippit has the ability to fill a niche in this region where customers want cost effective, seamless international solutions. For us that means expanding our offering such as adding new carriers and new capabilities to cater to the needs of global retailers.”
“Locally, a majority of companies aren’t well informed about how to optimise their shipping. A big part of our role will be educating retailers about the variety of shipping options available and then improving and broadening our service to continue to meet our customers’ needs.”
Shippit Co-founder, Will On, said the hire was a strategic part of Shippit’s vision and would help to drive its growth trajectory.
“This marks a major milestone for our business,” said On. “Dominic’s appointment is amongst a number of strategic positions we have created. He was instrumental in the global success of OzSale and his experience is second to none. We couldn’t be more fortunate to have him on board to join us in driving the vision we have set for Shippit.”

logistics growth illustrated with airliner with a globe and autoloader with boxes in a container

Australian guide to help parcel deliveries in Europe

Following the release of the Australian Freight Labelling Guideline in March 2016, the European Committee for Standardisation (CEN) has also chosen the GS1 Serial Shipping Container Code (SSCC) to help transform cross-border parcel deliveries to and from Europe.
Based on GS1 global supply chain standards and best practice, the Australian Freight Labelling Guideline provides guidance to industry on how to physically identify and label logistics and transport units to support efficient transport management processes from point of origin to destination.
The Technical Specification (TS 17073) for Postal Services – Interfaces for cross-border parcels released by the CEN, and the Australian Freight Labelling Guideline released by GS1 Australia and the Australian Logistics Council (ALC), both use the SSCC as the primary identifier for freight units to provide efficiency, interoperability and visibility across the supply chain.
GS1 Australia has been actively working with the local Trade and Transport Industry for many years to improve the efficiency, security and visibility of freight using GS1 standards,” said Bonnie Ryan, senior manager – trade, transport & heavy industry at GS1 Australia.
“The Australian Freight Labelling Guideline was provided and referenced in the guideline published by the CEN, highlighting that our advanced work in standardisation of freight labelling is ahead of Europe.”
The ultimate goal is to transform cross-border parcel delivery services using a single, common parcel label that includes a parcel identification code.
The GS1 SSCC exists for importing and exporting to Europe and will help to increase value by enabling more delivery options and reduce costs by increasing efficiency in the value network.
The announcement by CEN is the result of a collaborative effort by representatives from postal organisations, online retailers, couriers, express and parcel service providers. It is part of the European Commission’s strategy, Digital Single Market: Bringing down barriers to unlock online opportunities.
“This is a major step forward to truly innovate cross-border parcel delivery services in Europe. One of the main causes of difficulties in parcel delivery is closed standards, leading to proprietary networks and resulting in unfavourable market conditions for online merchants,” explained Walter Trezek, co-chairman of the e-Logistics Working Group of Ecommerce Europe and leader of CEN’s work on the standardised label.
GS1 is pleased the CEN has designated the GS1 Serial Shipping Container Code (SSCC) to uniquely identify parcels and enable interoperability between all parties in the parcel delivery network. The GS1 SSCC is a natural choice since many companies already use it and other GS1 standards in their businesses.
By implementing the new CEN parcel label that uses open global standards, formerly closed networks may now be connected to create an end-to-end delivery network. Senders of parcels will be able to use the same label for all parcels. All handlers of the parcel will be able to use the SSCC to more easily track the parcel’s journey from sender to consumer and, if needed, back to the sender for a consumer’s return.
“The CEN parcel label and SSCC introduces exciting possibilities for online retailers that want to offer consumers an exceptional delivery experience, and at less cost,” said Miguel Lopera, president and CEO at GS1.
Chairman of GS1 in Europe Bruno Aceto added: “By using the same label and the SSCC, parcel delivery companies can easily collaborate to meet their customers’ expectations in terms of service options, flexibility, visibility and reliability. Furthermore, they will eliminate various costly activities that do not add value for their customers.”
GS1 will continue to contribute to CEN’s initiative to transform cross-border parcel management and welcomes the opportunity to collaborate with Ecommerce Europe and other organisations to jointly promote the common parcel label.
More information is available by emailing Bonnie Ryan, senior manager – trade, transport & heavy industry at GS1 Australia at bonnie.ryan@gs1au.org.
 
 

Leadership change at ANC

Fleet home delivery company ANC has announced two new senior management appointments – Stephen Sloane has recently taken up the position of NSW State Manager, Operations, while internally, Brett Randall has been appointed National Manager, Innovation and Improvement.
ANC provides last-mile delivery for Australian and international brands such as Bunnings Warehouse, IKEA, Fantastic Furniture, Telstra, Australian Cement and Fuji Xerox.
Stephen Sloane joins ANC following a 19-year tenure at Startrack, most recently as National Fleet & Facility Manager, having started as a contracted driver.
“I’m impressed by ANC’s growth over the past two years, and its plans for the future, so am excited by the opportunities this role will afford everyone,” said Sloane.
He will oversee the state-wide delivery of dedicated fleet management, client and customer services and report to the National Manager Operations, Roger Cengarle.
Brett Randall has been with ANC for over 30 years, starting out in the business as a contracted driver, progressing through sales and operational ranks to his current role overseeing strategy through innovation and improvement programs nationally.
Randall is a member of the National Executive Team and reports directly to CEO Don Mills and MD James Taylor.
“This new role in innovation and improvement is testament to ANC’s focus on future leadership for the sector, ensuring that we’re providing the best efficiencies and service possible for our clients and their customers,” he said.
“I’ve seen this organisation grow from 20 vehicles dealing with small packages to a $69 million national business and I am excited to be part of the next strategic phase in a dynamic industry.”
Taylor commented on the new appointments, “We have recently redesigned our senior leadership structure to reflect our national approach, and welcome these two new roles which are part of a larger strategy. People are our biggest asset and we know that these new internal and external appointments are going to give us the edge in the delivery sector, which is changing at an extraordinary pace.”

Amazon to grab 90% of online shoppers: study

With the impending arrival of Amazon in Australia, a new study has revealed how much strain the e-commerce company is likely to put on local online retailers: 90 per cent of Australian online shoppers think they will purchase from Amazon if it fulfils its promise to deliver low prices, vast selection and fast delivery.
The results come from an independent survey of 1,001 Australian adults who have shopped online at least three times in the last six months, commissioned by parcel delivery service CouriersPlease (CP).
The survey initially explored whether online shoppers currently prefer purchasing from retailers that specialise in a single category (such as fashion or technology) over online ‘marketplaces’, where they can shop across multiple categories from the same site. More respondents (58%) admitted they prefer to shop from a specialist online retailer than a marketplace (just 42% of respondents).
However, when told that Amazon in Australia will focus on providing low prices, vast selection, and fast delivery, 90 per cent of respondents said they would shop from Amazon.
The survey separated Amazon’s three focuses – prices, selection and delivery – to gauge what was more important for Australian shoppers. Lower prices is the main reason shoppers would purchase from Amazon: 68 per cent of respondents cited prices as the most common reason. A wider range of products is the second most common reason – important to 55 per cent of respondents – while just 30 per cent of respondents said fast delivery times is the reason.
Prices were more important for younger age groups than older generations. Millennials in their 20s and 30s cited lower prices as the main reason for shopping on Amazon, 71 per cent and 70 per cent respectively. This reduces with age, with 63 per cent of 50-somethings and 64 per cent of people over 60 years concerned about prices. Vast selection was more important for older generations than younger generations, with the level of importance decreasing with age. For people in their 50s, a wider range of product choice would be the reason 58 per cent would shop on Amazon, whereas this was only important to 46 per cent of people in their 20s.
Currently, 18 per cent of respondents said they purchase from Amazon and will continue to do so when it launches in Australia. Surprisingly, only 11 per cent of 20-somethings currently shop on Amazon, the lowest of any age group. This jumps up to 22 per cent of people in their 30s, 16 per cent of people in their 40s, and 19 per cent of over-50s.
Recently appointed COO of CP Hoy Yen Hooper said: “Amazon’s promises of lower prices and faster delivery times may put pressure on existing local retailers and the supply chain, but I believe we will become better at what we do. In the US and UK markets, where Amazon has a large share of the retail market, one-hour delivery through Amazon Prime and competitive prices are being offered. In our survey, fast delivery was the least important reason for shopping on Amazon, which may indicate that consumers in regional and country areas know that delivery may take longer as it is not commercially viable for many providers to have that sort of reach.
“Amazon will be attracted to delivery services that provide consumers with flexible delivery choices – such as enabling them to pick up at retail outlets such as newsagents, grocery stores and petrol stations – consistency in delivery, and reliability in keeping with expected delivery transit times. Consumers really value consistency and reliability: an item that is due to arrive within three days will arrive within three days 90 per cent of the time.”
 

Nine in 10 online Australian shoppers to purchase from Amazon

A new study has revealed how much strain the arrival of Amazon in Australia is likely to put on local online retailers – 90 per cent of Australian online shoppers state they will purchase from the e-commerce giant if it fulfils its promise to deliver low prices, vast selection and fast delivery.
The results come from an independent survey commissioned by parcel delivery service CouriersPlease.
The survey separated Amazon’s three focuses – price, selection and delivery – to gauge what was more important for Aussie shoppers. Sixty-eight per cent of respondents noted that ‘lower prices’ would be the main reason they would purchase from Amazon.
“Amazon’s promises of lower prices and faster delivery times may put pressure on existing local retailers and the supply chain, but I believe we will become better at what we do,” said Hoy Yen Hooper, Chief Operating Officer, CouriersPlease. “In the US and UK markets, where Amazon has a large share of the retail market, one-hour delivery through Amazon Prime and competitive prices are being offered.
“In our survey, fast delivery was the least important reason for shopping on Amazon which may indicate that consumers in regional and country areas know that delivery may take longer as it is not commercially viable for many providers to have that sort of reach.
“Amazon will be attracted to delivery services that provide consumers with flexible delivery choices – such as enabling them to pick up at retail outlets such as newsagents, grocery stores and petrol stations – consistency in delivery, and reliability in keeping with expected delivery transit times.”

Clorox outsources supply chain to DHL

Family supplies brand Clorox has chosen to outsource distribution of its products around Australia to DHL Supply Chain.
According to a statement, the partnership reflects Clorox’s focus on customer service, innovation and consistency.
Clorox’s decided to outsource its warehousing operation to achieve a more standardised and customer-centric approach, allowing the company to meet customer demands while removing the stress of distribution.
“We were looking for a partner who understands its customers’ business and responds quickly,” said Mike Fraser, Regional Logistics Manager, Clorox. “DHL Supply Chain has enabled us to maintain high levels of speed, reliability and quality control in our logistics processes, allowing us to stay competitive in the industry and help transform our end-to-end logistics operations.
“Our goal is that when a customer reaches for a product at the supermarket, it’s there. With DHL Supply Chain, we are confident that all of our products will be delivered on time and in full. We continue to look to them as a logistics partner of choice for future growth.”
DHL Supply Chain implemented a range of warehouse and supply chain improvements to Clorox’s operations across Australia, including warehousing, value-added services and inventory reduction, helping Clorox improve productivity by developing a more flexible operating model.
“The implementation of the 3PL (third-party logistics) service provided to Clorox has been achieved in just over three months, a process that would traditionally take six,” said Saul Resnick, CEO, DHL Supply Chain Australia and New Zealand.
“For fast moving consumer goods (FMCG) businesses, the logistics process is critical as consumer purchasing decisions are largely based on availability. We ensure all stock is delivered to stores when promised and with as little manual intervention as possible,” he concluded.

DHL and Ford to manufacture electric van

Germany’s Deutsche Post DHL Group is planning to collaborate with Ford on the design of a new electric van.
According to DHL, the chassis of the existing Ford Transit will serve as the basis for the project. It will be equipped with a battery-electric drivetrain and fitted with a special body construction based on DHL specifications.
“The start of production is scheduled for July 2017,” DHL said in a press release.
“Before the end of 2018, at least 2,500 vehicles will support the urban delivery traffic of Deutsche Post DHL Group. With this volume, the joint project will become the largest manufacturer of battery-electric medium-duty delivery vehicles in Europe.”
Both DHL and Ford named a strong focus on reducing emissions and creating new traffic solutions as the key drivers behind the project.
“I consider this partnership another important boost for electro-mobility in Germany”, said Jürgen Gerdes, member of the executive board of the Deutsche Post AG, the company behind DHL.
“This step emphasises that Deutsche Post is an innovation leader. It will relieve the inner cities and increase the people’s quality of life. We will continue working on completely carbon neutral CO2-neutral logistics.”
Steven Armstrong, Group Vice President and President Europe, Middle East and Africa at Ford Motor Company, added, “E-Mobility and innovative traffic solutions for urban areas are key focuses for us as we transform our business to meet future challenges.
“As the leader in commercial vehicles in Europe, this partnership plays perfectly to our strengths and in StreetScooter and the Deutsche Post DHL Group we have a partner with enormous competence and a worldwide network.”
DHL has already left its mark in the smaller van segment by designing and producing the emission-free StreetScooter in house. The joint Ford project will build on the existing production processes and could see DHL produce up to 20,000 units per year.

Sendle partners with US shipping software, ShipStation

In its bid to conquer the Australian market, web-based e-commerce shipping solution ShipStation has partnered with parcel delivery service Sendle.
Robert Gilbreath, VP – Marketing, ShipStation, said that shipping was a key consideration when setting up a presence in Australia, due to the country’s growing e-commerce market.
“Integrating Sendle into the ShipStation platform has been a priority for us since we launched in Australia,” he added.
ShipStation helps online retailers import, organise, process, package and ship their orders quickly and easily from any web browser and works with the likes of eBay, Amazon, WooCommerce, Shopify, Squarespace, Opencart, Magento, BigCommerce.
“Our partnership with ShipStation is an exciting step for us to provide real choice for Australian small business,” said James Chin Moody, CEO and Co-founder, Sendle. “ShipStation brings [its] global experience and beautiful solutions to help our flourishing e-commerce sector compete in the digital economy.”

Sendle recognised for small-business focus

Sendle has received the Good Design Award for Service Design – Commercial Services at the 2017 Good Design Awards, held on 8 June at the Overseas Passenger Terminal in Sydney.
The accolade was given in recognition of Sendle’s business model which is specifically designed for small businesses.
Commenting on the win, James Chin Moody Founder and CEO, Sendle, said,
“We started Sendle to make parcel delivery for small businesses simple, reliable and affordable – and we’ve done this by focusing on good design across our software, courier network and customer support.
“The ease of account creation, intuitive interface and simple pricing is designed to help very small businesses, while powerful features and integrations satisfy larger business needs. Good design should not be overlooked in any business, and it’s given us a strong competitive edge in a market monopolised by the post office.”
 
 

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