How DP World Built a Global Freight Forwarding Network
Seldom has global trade faced such disruption, with climate change, geopolitics and macroeconomic challenges just some of the factors wreaking havoc around the world.
According to research from Economist Impact, businesses have responded by prioritising dynamic strategies in a bid to build resilience into their supply chains and fend off these obstacles.
The traditional, asset-light freight forwarding model, which moves cargo via third parties, has proven to be susceptible to disruption at key chokepoints, and can have knock-on effects for inventory and fulfilment planning for businesses and their customers.
DP World has, in recent times, embarked on a bold initiative to bolster its commitment to customers and support them as they navigate the complexities of global trade, opening dozens of freight forwarding offices – the latest of which is in Miami.
Already, these offices employ upwards of 1,000 staff, adding to the logistics giant’s 108,000-strong team – which is expected to continue growing over the next 12 months and contribute to moving 10% of global trade every year.
A pivotal time for logistics
As businesses seek increased control over their supply chains, DP World’s expansion comes at a pivotal time for the global logistics and supply chain industry.
By expanding its freight forwarding offering, with a focus on air and ocean freight, DP World is set to deploy its toolbox of services and capabilities made up of ports, terminals, warehouses, trucks, rail and shipping services to increase control and resilience, supported by proprietary digital technology.
The organisation is also working with complementary partners across the supply chain to boost efficiency.
“Our expansion in freight forwarding complements our end-to-end supply chain solutions and capabilities,” explains Beat Simon, Group Chief Commercial Officer for Logistics at DP World. “Our asset-appropriate approach is a step change for the freight-forwarding industry that puts customers in the driving seat with more visibility and control, and gives them confidence to trade in today’s global market.
“As we continue to grow our freight forwarding footprint, we’re building a network that will cover more than 90% of global trade. We’re focused on densifying our network as we build a best-in-class, strong and resilient global capability.”
DP World expands end-to-end network
By building a global freight-forwarding network, DP World is expanding on its end-to-end network of high-value port assets and specialist expertise across ports, trucking, air and ocean freight, and customs and warehousing services.
The growing service currently spans order and origin management, port handling and freight management for ocean and air, and at-destination services such as customs, drayage, logistics, last-mile delivery, deconsolidation and bonded warehousing services.
Additionally, DP World offers a variety of value-add services including embedded trade finance, commodity-specific services, cars in containers, transload, advanced hubs and more.
This is all accessed through a single digital window backed by an integrated Global Services Centre that centralises back-end processes, made up of more than 500 IT specialists. This advanced digital system means customers can track their goods in real time and easily manage their cargo journey.
“Our freight forwarding service uses our proprietary digital technology solutions to simplify global trade for our customers and give them more control,” adds Marco Nazzari, VP Commercial Freight Forwarding at DP World.
“However, it’s not just our digital solutions that offer a next-gen freight forwarding service. Our people are foundational to our customers’ success. We employ over 1,000 team members and will continue to grow.
“Leveraging an asset-appropriate approach, DP World utilises its digital tools, alongside the expertise and local know-how of its team, to make freight forwarding easier and more resilient from end to end.”
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