Document Type

Journal Article


This paper describes the approach that DHL used to respond to aggressive revenue and profit targets set by its Asia-Pacific regional management board. DHLs reaction to these targets was to redefine its strategic service vision by systematically aligning its internal support functions with distinct buyer behavior structures. Specifically, we developed a model based on the tangible and intangible factors that directly influence a customers choice of a third-party logistics provider. Next, we reverse engineered the service providers delivery system to align with each customers preferred buying behavior. DHLs share of wallet and profitability immediately improved, enabling the company to maintain its leading position in the market. Quantitative and qualitative results show an improvement in DHLs market share, customer satisfaction scores, and employee opinion survey results.