DSV’s Consolidation Concept
DSV India Consolidation
Definition of DSV’s Buyers Consolidation Concept in Asia
“Loading a container with multiple shipments from various suppliers for
direct delivery to a single buyer overseas”
DSV India Consolidation
Traditional Shipping Concept from India
Common Challenges
 Order purchase per container basis
 Insufficient supplier communication
 Poor timing of order arrivals
 Poor match between supply & demand
 Expensive cargo flow

DSV India Consolidation
 Risk for leftovers
 Container utilization not optimized
 Higher number of containers than necessary
 Overflow shipped as LCL
Too many resources
DSV’s Buyers Consolidation Concept
 Order purchase per stock basis
 Better supplier control through DSV in Asia
 Significant transport cost savings
 Eliminate number of LCL shipments
 Multiple suppliers / one consignee
 Lower distribution costs at destination
DSV India Consolidation
 Optimized container utilization
 Faster delivery at destination
 Visibility though DSV P.O. Management
 Reduced risk for damage and delay
 Reduced customs inspections
 Bonded and non-bonded CFS solution in Asia
DSV’s Buyer’s Consolidation concept
Scenario:
•
A company is acting as a central purchase organization for several different
brands.
•
Logistically they have various warehouses in Europe
•
Currently 80 suppliers from India are shipping their shipments into to one of the
EU warehouses. Upon arrival in EU, the warehouse will split up and distribute
the cargo to various warehouses depending on end user location
DSV Proposal:
•
All suppliers send their cargo into DSV Warehouse in India.
•
DSV monitor and arrange the shipments depending on end user location.
•
DSV plan according to total CBM to load FCL to the dedicated warehouse
for the end user.
•
DSV offer the client full visibility from the time cargo is received at our
warehouse till it’s delivered at destination
Benefits:
 Cost savings
 Better container utilization
 Lower Warehouse cost in China
 No/less distribution costs in Europe
 Supplier control
 Minimize cargo handling
DSV India Consolidation
Optimized loading procedure
Breakeven program
 < 27 CBM =
 32 – 55 CBM =
 > 55 CBM =
Direct loading at the supplier with a 20‘dc
Move to DSV’s Consolidation Centre at origin
Direct loading at the supplier with a 40‘dc or 40‘hc
Prioritize equipment




40‘hc as 1st priority
40‘dc as 2nd priority
20‘dc as 3rd priority
LCL as the last option (through DSV own FAK Consolidation service)
DSV India Consolidation
The Milestones
GOODS PICK UP
FROM ALL THE
SUPPLIERS
ARRANGED BY
DSV
DSV India Consolidation
GOODS
DELIVERED INTO
DSV
CONSOLIDATION
CENTER AND
LOADED INTO
THE CONTAINER
(FCL)
EXPORT
CUSTOMS
CLEARANCE
ARRANGED
BY DSV
OCEAN
TRANSPORT
ARRANGED
BY DSV
IMPORT
CUSTOMS
CLEARANCE
ARRANGED BY
DSV
FULL CONTAINER
DELIVERY AT
DESTINATION
ARRANGED BY
DSV
Full control of the supply chain with DSV’s
Buyer’s Consolidation Program
Vendor Management
 DSV to perform as consignee’s representative at origin
 Vendor education to ensure good compliance
PO Management
 Ensure shipment to be moved out within shipping window
 Exception alert/management
Reduce LCL ratio
 More cost effective
 Less cargo damage
Full Visibility to Buyer
 Information flow
 Physical flow
Container Utilization Improvement
 Reduce overall cost on supply chain
DSV India Consolidation
Value Added Services at DSV’s CFS in India
 Quality Control
 Palletization
 Shrink wrapping
 Slip sheeting
 Pick and pack (down to item level)
 Repackaging
 Labeling
 Bar code printing and scanning
 Kitting
 Garment on Hangers (GOH)
DSV India Consolidation
Contact Us at DSV India
DSV Air & Sea Pvt. Ltd.
The Qube
B-201, B-204, M.V. Road,
Off International Airport Approach Road,
Marol, Andheri East,
Mumbai – 400059
India
+91 22 71 99 90 00 Tel.
+91 22 71 99 90 01 Fax
www.dsv.com/in
DSV India Consolidation