Home' MHD Supply Chain Solutions : MHD Spt-Oct 2014 Contents 70
DHL BUILDS HONG
HL Supply Chain Hong Kong (DHL) is
a global logistics provider specialising
in warehousing and distribution. DHL
operates in 220 locations and employs over
285,000 staff globally. DHL’s clients include
major brands such as LG, HP, National
Semiconductor, and TE Conductivity.
Until recently, DHL operated out of five
different warehouses in Hong Kong. Labour,
equipment and logistics systems were spread
across all of these locations, which meant that
technicians and managers had to travel regularly
between the sites to coordinate operations.
DHL’s senior manager for supply chain
solutions Tony Leung said there was a need to
consolidate warehouse operations in order to
“Our warehouses were spread all over Hong
Kong, so we wanted to consolidate these into
one MegaHub warehouse that would maximise
space and improve operations management,”
said Mr Leung.
The new Interlink MegaHub site is conve-
niently located in the centre of Hong Kong,
which is well serviced by trains, ships, planes
and trucks. DHL’s senior director operations
excellence – North Asia Drew Wright said there
was an added benefit to the choice of site.
“In addition to the logistical advantages of a
centralised location, the Interlink MegaHub site
is also a LEED GOLD and KHBEAM accred-
ited building, designed to meet Hong Kong’s
highest sustainability and safety standards,”
said Mr Wright.
Solution design expertise sought
The major logistical task of consolidating five
warehouses into one would require solution
design expertise, in particular where the racking
was concerned. In 2011, DHL invited five
suppliers to tender. DHL engaged Dexion to fit
out the Interlink MegaHub, a 23-floor, 900,000
square foot warehousing site on Hong Kong’s
Tsing Yi Island.
Mr Wright believes Dexion won the tender
because Dexion was genuinely interested in
working with DHL to deliver a tailored solution.
“We have a longstanding relationship with
Dexion. We know that Dexion is a very reliable and
professional partner – we needed a partner who
could provide the right solution for design and
space optimisation. We wanted a supplier who
would be assertive, and one that would proactively
work with us to meet all the project challenges,
which Dexion certainly did,” agreed Mr Leung.
“We wanted to engage Dexion as a preferred
partner so that we could standardise all our
racking in the future. With standardised racking
we increase the sustainability of our storage
solutions,” added Lau.
As anticipated, the construction and fit-out of the
Interlink MegaHub was an enormous undertaking.
The 23-storey building is the largest of its kind in
Hong Kong, with a 15-storey ramp for trucks and
eight floors above only accessible using lifts. DHL
now occupies eight of these floors, which includes
DHL’s offices and ramp and lift access.
The project was particularly complex
because of the logistics involved in migrating
thirty-eight of DHL’s different clients across to
the new site simultaneously.
“The most unique aspect of this project was
the number of customers we had to account for.
Ordinarily, we implement projects that account
for one or two customers. In this case, there
was a very long list of customer requirements,”
said Mr Leung.
“We needed to cater to over thirty customers
simultaneously throughout the life of the project.
We also had to cater to the requirements of
the new building site, as well as the physical
relocation of our customers from other
warehouses all at the same time.
“Dexion was very flexible in accommodating
the changing needs of our customers during
the planning stage. They accommodated each
and every adjustment right up until the last
minute,” said Mr Leung.
Dexion was intimately involved with the migra-
tion and the challenges that came with this.
“Some customers needed air conditioned
floors, but we were unable to set up power
MHD SUPPLY CHAIN SOLUTIONS — SEPTEMBER / OCTOBER 2014
70 MATERIALS HANDLING AND MANAGEMENT
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