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Direction  ·  Life  ·  Productivity

Semiconductor Firm Optimizes Logistics with DHL Supply Chain

By admin  Published On April 2, 2019

DHL Supply Chain operates a highly efficient Global Distribution Center (GDC) in the Hong Kong area of China for a leading semiconductor manufacturer. With fully integrated transportation services, the GDC helps the company increase logistics efficiency and lower operational costs year on year.

A wonderful serenity

The site, which operates 24 hours-a-day, six days a week, processes millions of inbound and outbound products every month and ships them to and from key destinations worldwide, across Asia Pacific, the USA and Europe. In 2010, DHL Supply Chain became the Lead Logistics Provider for the company. This included a dedicated team to help the firm track products, streamline import and export, and manage urgent order requests efficiently

Higher business values

Customer Challenge

Semiconductor firms have complex supply chains that connect suppliers of raw materials and services with Original Equipment Manufacturer customers globally. This is the case for one global semiconductor manufacturer, which has an annual R&D budget of nearly $630 million and employs 3,500 engineering staff at 19 locations worldwide.

To focus 100% on creating the next generation of semiconductors, the company needed support from a logistics partner that could handle the scale and complexity of its growing global operations. Other key requirements were to continually improve the efficiency of global logistics processes and reduce operational costs year on year.

DHL Supply Chain Solution

To maximize the efficiency of its global logistics operations, the semiconductor manufacturer partners with DHL Supply Chain as its LLP. In 2008, we established a Global Distribution Center (GDC) for the firm, which is now located at our Interlink mega warehouse in the Hong Kong area of China. This facility is now the hub of the company‘s global logistics operations.

The GDC covers roughly 102,000 square feet, stores, processes, picks and packs, labels, ships and tracks millions of inbound and outbound products each month. Around 100 shipping clerks and warehouse operators and 10 supervisory staff work 24 hours a day, six days a week to ensure that all products are processed and delivered in excellent condition, within the challenging timeframes required.

The GDC is adjacent to a “cross-dock” DHL Global  Forwarding warehouse at Interlink, and a single “cross business unit” DHL solution makes it fast and simple to arrange transportation and expedite deliveries. To maximize productivity, we transport inbound and outbound goods using an optimal mix of air freight, cross-border, truck, and local delivery services – provided by DHL Supply Chain, DHL Global Forwarding and DHL Express.

In 2010, we added an innovative‚ control tower solution. The control tower team tracks goods across the supply chain, ensures deliveries are made on schedule, evaluates the most cost-effective transportation options, expedites urgent orders, and resolves any supply chain issues. The control tower also gives the customer a convenient, single point of contact for any queries.

The customer has specific logistics needs and DHL Supply Chain has been able to fulfil them all. As well as deploying a ‘Clean Room’, where a dust-free and temperature controlled environment has been created to ensure that sensitive products are kept under purified conditions, we run a ‘sample store‘ to support global sample delivery.


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