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DTDC

Established in 1990 and headquartered at Bangalore, DTDC has 7 Zonal offices,


20 strategically located Regional Offices and over 430 operating facilities spread
across India. DTDC has now embarked upon its journey of transforming its
identity from an Express Document Player to an Integrated Parcels driven
business through its strategic partnership with Geopost's DPD group - Europe's
second largest Parcels Delivery player. The brand name is now being re-
christened to DTDC Express Limited as the company focuses to enhance their
expertise in the logistics sector under their Vision 2020 program.The strategy
behind the repositioning of the brand is to project DTDC as a complete express
logistics player that delivers significant value in the markets that it operates in
across the globe. DTDC Express Limited has its presence in more than 500
district headquarters through its large network of more than 10500 franchisees
and extends services to over 10,500 Pin codes while handling more than 12
million shipments every month. DTDC Express Limited is an ISO 9001:2008
company, as certified by DNV.

DTDC Express Limited also has a significant global footprint and services 240
international locations including USA, UK, Canada, UAE, Hong Kong, Australia,
China and all Asian countries, through its own operations, joint ventures and
business associates. A key part of the success of DTDCs network is the
contribution of its people. It comprises of a family of 35,000 people including
employees, franchisees and their associates who are committed to its spirit of
service.
Target Market
DTDC offers a wide variety of services and aims to cater to its target market
which is diverse

Banks
Financial Institutions
Law firms
Government Agencies
Hospitals and Medical Labs
Manufacturing
Supply Services
Insurance
Firms
Telecom Sector
Students
Professionals
Airline
Passengers
e-Commerce Business
Educational institutions
Cost of quality:
Prevention costs
Prevention costs are incurred to prevent or avoid quality problems. These costs
are associated with the design, implementation, and maintenance of the quality
management system. They are planned and incurred before actual operation,
and they could include:

Product or service requirementsestablishment of specifications for


incoming materials, processes, and services.
Quality planningcreation of plans for quality, reliability, operations of the
packages, production of invoices, and inspection of the packages.
Quality assurancecreation and maintenance of the quality system.
Trainingdevelopment, preparation programs for the staff.

Appraisal costs
Appraisal costs are associated with measuring and monitoring activities related
to quality. These costs are associated with the suppliers and customers
evaluation of purchased materials, processes, products, and services to ensure
that they conform to specifications. They could include:

Verificationchecking of incoming material, process setup, and products


against agreed specifications.
Quality auditsconfirmation that the quality system is functioning
correctly in the collection point.

Internal failure costs


Internal failure costs are incurred to remedy defects discovered before the
product or service is delivered to the customer. These costs occur when the
results of work fail to reach design quality standards and are detected before
they are transferred to the customer. They could include:
Scrapdefective conveyer belt or packaging material that cannot be
repaired, used, or sold.
Rework or rectificationcorrection of defective assembly line of the
conveyer belt errors.
Failure analysisactivity required to establish the causes of internal
product or service failure.

External failure costs


External failure costs are incurred to remedy defects discovered by customers.
These costs occur when products or services that fail to reach design quality
standards are not detected until after transfer to the customer. They could
include:
Claimsfailed package delivery or services that are re-performed under a
guarantee.
Complaintsall work and costs associated with handling and servicing
customers complaints.
Returnshandling and investigation of rejected or recalled products,
including transport costs.
DTDC quality service benefits

Express Delivery Service Benefits

There is no doubt that the advent of eCommerce has given a tremendous boost
to the express package delivery vendors. These days, most companies that deal
with timely delivery of consignments get into a partnership with an express
delivery vendor to obtain strategic business advantages. Some of the benefits
that these companies enjoy due to the presence of an efficient delivery service
partner are described as follows:

Efficient Stock Management

Since express transportation companies assure reliable and timely delivery of


packages and other heavy components, businesses such as Manufacturing can
afford to keep lower levels of stock, which in turn reduces operating as well as
storage costs. This is an enormous advantage for companies that deal in highly
valued products that have a fast depreciation rate. Keeping an inventory of such
kind of products can otherwise prove to be very expensive.

Delivery of Time-sensitive Shipments

It is a common occurrence for clients to need an urgent replacement for a


defective product or even to need a particular product delivered within a very
short time. Express delivery and transportation services come to the rescue in
such situations. A lot of businesses all over the world heavily depend on these
express courier services to cater to specific demands of clients, where time is of
utmost importance. This helps to build the reputation of the business and
assures client loyalty.

Widespread Global Reach

The services provided by express delivery companies have removed


geographical borders and created a global business arena. These delivery
services allow hi-tech companies to leverage the advantages of global sourcing
and reach markets all over the world for their products and even ensure safe
express delivery at reasonable prices. Thus big businesses can operate on an
enormous scale when the distribution is taken care of by the express
transportation vendors.

Enhanced Brand Loyalty and C-SAT

Timely and safe deliveries of products and packages increases customer


satisfaction and the overall goodwill of the brand name. Every time a customer
receives a product on time and in good condition, it creates a positive impression
in the persons mind about customer service and commitment of the company.

Thus, it is safe to say that express package delivery services have totally
changed the world of business with its positive impact. It has led to the growth
and rise of thousands of small and big businesses. The express delivery industry
is bound to see better innovations and enhanced services in the future.

Courier company with proper Quality assurance:-


Tying up with right courier services, as mostly covered in answers here, generally
depends on:
1. Volume of your business
2. Cities your serve in

If you have high volumes of orders to serve in a day and in various cities, then
you can select your courier/shipping services based on the areas/cities.
For example: If you have total of 1000 orders to be delivered in a day, out of
which you have 200 orders as local orders and 800 as outstation orders, then
you can select local couriers or have your own fleet to serve the local 200 orders.
This will also help you to serve the customer at a faster rate thus increasing the
customer retention and also your own fleet would increase the awareness of your
brand

For rest of the 800 outstation orders you can select any bigger courier services
like Bluedart, Aramex, First Flight, DTDC, etc. (these are the most common
courier services used by eCommerce in India). Again you can further divide those
800 orders into different couriers based on who charges less for COD order
delivery. Its an exhaustive task to manage your courier companies but once you
do it, you will save a lot on your shipping and will make it more efficient. There
are few ERP products in the market which takes care of your courier/transport
management based on the priority, distance, type of orders, etc.
Material Damage Source

Before getting into material damage source, we should know about the
company's basic structure

through which the materials passes on. The DTDC Company is divided into 3
different function

based which is as follows:-

a) Franchise
The Franchise sector is the place where the consignments are booked by

the company's clients. The delivery of the consignments is also done in the
franchise

Hence, it can be concluded that the Franchise sector forms the lower
management

level of the company, on the basis of decision making and it forms the highest
level of

management, on the basis of consignments delivery and booking.

b) Branch (can be a Transit)


The Branches of DTDC are responsible for receiving the

consignments from the franchises and then sending it to the nearest sector. The

branch also IRI-forms a reverse function where in the consignments, which have
already

passed through the chain of segments in a different locality and is to be


delivered

in the current chain, are delivered to the concerned franchises for final delivery
of

consignments. It forms the middle level of management.


c) Apex
The Apex sector of DTDC is where the consignments arrive and are sorted out

for final delivery. It is here where the goods are received from the branches of
the

consignment origin and are sorted out for delivery, per specification of the client
( The

clients submit the necessary details at the franchises) and are finally sent to the
Apex of

the locality where the consignment is to IR delivered.

d) Corporate Office
It is the head office of DTDC, where Policies and plans are made

and given for implementation. It forms the highest level of management of the
company.

It does not indulge in the physical functioning of the courier but policies,

procedures and plans for better functioning and growth of the company.

Quality Policy of DTDC


DTDC is committed towards:
Satisfied Internal Customers, External Customers and Business Associates.

Continual Improvement in products, processes, services and quality


management System.

Satisfied, Motivated and Committed Employees.

ISO 9001:2008
DTDC, an ISO 9001:2008 Certified Company by Det Norske Veritas (DNV) India and Accredited by
UKAS (UK), aims at protecting customers interest by emphasizing that a quality product can only be
created through quality processes.

A Senior Level Manager heads DTDC's Quality Management and Processes Improvement groups. A
Quality Executive is associated with each region pan India, to offer guidance on the use of Quality
Management System and Implementation of Best Practices as well as to review the deliverables
with the prime objective of Quality Assurance, Customer Satisfaction and making DTDC as Best
Service Providing Company (BSPC).

Objectives/Goals of Quality Departments:

Providing Training to all the Employees and Departments/Franchisees on QMS, ISO and
Processes.

Implementing Best Practices pan India to achieve Customer Satisfaction.

Conducting Internal Audit and taking corrective/ preventive actions.

Defining performance measurement parameters, analysis for continuously improving and


achieving targets/goals.

Conducting Operation, Branch and SF/Franchisees Audit for continuous improvement.

The major problems related to transportation and customer reach are as


follows:-

Environment Disturbances leading to breakage in the flow of cwnsignments from

one place to another it via Air Road etc

Human errors, such as delayed delivery, which would lead to refund and resultantly

unsatisfied customers.

Unloading and Loading time gaps If the unloading and loading gaps increases

more than the proposed. Approximated time needed to finish the function; it would lead

to delay in transportation as well.

Miscellaneous, problems related to traffic, incorrect address of the addressee etc.


In case of DTDC, if a courier doesn 't reach its destination on time, it would result in
complete refund, thereby increasing the overall of delivery and also a lows to the company,
and finally, an unsatisfied client.
Customers may under value or overvalue the goods they dispatch. This false
declaration leads to delays at airport clearances.
In winters, most of the trains run late and flights also get delayed/ cancelled leading to
delays in the shipment delivery.
There are also cases of natural calamities like recent floods in Chennai.
There is also possibility of human errors which results in misplacing of packages. For
example, a shipment scheduled to Delhi if is placed in Jammu bound baggage.
There has also been cases of sudden and large scale loss of manpower. For example,
in Bangalore there are cases where E-commerce companies hire all of the staff of
DTDC in Bangalore airport to handle all the incoming cargo of these companies at
Bangalore airport. Since these people are not regular employees of DTDC they leave
without notice. This leads to sudden loss of manpower which causes consignment to
stockpile for weeks. This happens during peak season like Diwali, Christmas or Holi
season.
There are cases where automated verification and packaging systems malfunctions.
Although an engineer is always available on call, it always takes time to correct any
problem which causes delays in day-to-day operations of the DTDC.

SUGGESTIONS

Primarily DTDC follows best industry practices modelled on international players like
FEDex and DHL. Furthermore, DTDC follows standardized processes in all of its hub.
However there are certain cases where variation in services is very high.

In cases of sudden loss of manpower we suggested that they regularize the hiring of field staff
and make them permanent employees, but it was rejected by the manager because it would
lead to increased operating expenses which would translate to increased prices in the market.
This would make DTDC uncompetitive in the market.

Furthermore DTDC itself outsources some of its processes to third party which again leads to
high chances of variation in services. This is often done by companies all over the world so as
to cut costs. Again to reduce variations DTDC has already created certain standards which
has to be fulfilled by third-party vendors. Our suggestion regarding this was that DTDC
should constantly evaluate its standards and change them according to emerging scenarios.

Certain climatic factors are still out of DTDC control. While misplacement of orders are very
rare cases where chances of such occurring is 0.02%.Since DTDC has already refined its
process over the years it did not require any more suggestion to improve its services. Except
for the above cases which is out of control of DTDC, it has managed to reduce variations in
every aspect of its process flow.

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