Question

Differentiate Kuehne+Nagel and Deutsche Post DHL Group logistics network based on two important functionalities – Product...

Differentiate Kuehne+Nagel and Deutsche Post DHL Group logistics network based on two important functionalities –
Product Movement and Product Storage. Select your preference with reasons to
support?

Homework Answers

Answer #1

Both Kuehne+Nagel and Deutsche Post DHL Group are famous companies that provide services related to delivery. Product movement refers to the movement of the materials or finished goods between the up and down value chain. Whereas, product storage involves the function of temporary storage of the goods. The differentiation of each on the basis of two important functionalities- product movement and product storage is provided below. My preference is DHL and the reason for my preference is explained below.

Both Kuehne+Nagel and Deutsche Post DHL Group are famous companies that provide services related to delivery. They both are key competitors of each other in the market. Their business strategies and models are considerably different in the areas of logistics, online commerce, ground delivery, and express services.

DHL is globally known for its time-sensitive services of international air freight while Kuehne+Nagel is known for its services of domestic ground delivery with which it ensures customer satisfaction and gains competitive strengths.

Product movement refers to the movement of the materials, assemblies, components, or finished goods between the up and down value chain. Whereas, product storage involves the function of temporary storage of the goods.

-Both logistics network based on their two important functionalities- product movement and product storage are differentiated as follows:

Differentiation on the basis of product movement:  Kuehne+Nagel operates all its product movement functions by the means of ground movement, air, local, international, and residential via a single pickup and distribution network. On the other hand, DHL has different product movement strategies for different businesses. It involves movement of products via express, freight, and ground delivery.

Differentiation on the basis of product storage: The product storage functionality of Kuehne+Nagel includes small storage settings and independently owned. As it provides small package services, the product storage needs are also small and certain. On the other hand, this functionality of DHL includes large and resembling storage spaces that are corporate-owned. As it delivers long-haul deliveries, the product storage requirement is comparatively higher than Kuehne+Nagel.

My preference is DHL and the reason for my preference is its unique functions from express to freight and ground. DHL operates its functions independently on a large scale. Its air express operations are smooth and work efficiently for international deliveries. DHL is also known for its long-haul and express delivery by which it provides its customers with regulating regional and local deliveries.

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