Like so many other organizations we’ve covered, DHL’s digital transformation didn’t start with COVID-19. However, the pandemic did dramatically change its course. 

DHL’s current digital transformation began in 2019 with the release of its “Strategy 2025”, a 5-year plan that outlined how the company planned to modernize its IT systems, integrate new technologies and upskill its workforce for the digital age. 

When the pandemic hit the following year, not only did DHL have to transition a significant percentage of its 500,000+ employees to a remote work environment, it also had to accommodate an unprecedented volume of shipments. While DHL could've chosen to put its plan on hold, it did just the opposite and went full steam ahead. 

As Jimmy Yeoh, Chief Information Officer, DHL Express Asia Pacific explained in a blog post on the DHL website, “Before the pandemic, we were cognizant that digital transformation was an imperative to maintain and elevate our service levels as a logistics provider. The pandemic accelerated our plans to allow our work force to collaborate and work virtually from any location. We also fast-tracked our adoption and rollout of technologies, such as live chat and digital assistants, which were crucial in helping us cope with an unprecedented demand surge worldwide.”

The challenge is momentous: how do you complete more shipments faster than ever before but with less people? DHL has found its answer in artificial intelligence and AI. 

Become an Intelligent Automation Network member today!

Premium content. Expert insight. Instant access. All for FREE.

AI-Powered Logistics Optimization 

With 3,200 facilities across more than 220 countries and territories worldwide, DHL Express handles over 1.3 billion shipments per year. Until the past few years, tracking and ensuring all of these shipments arrived at their destination on time required near-herculean effort. If something went wrong, it could take multiple days and teams to uncover what had gone wrong.

To help eliminate this problem for good, DHL built its Advanced Quality Control Center (AQCC) system, an AI-powered system that tracks shipments and flags issues in real time. Not only does this system enable DHL’s logistics experts to tackle problems as they arise, it also provides them with increased visibility into why the shipment is delayed and how the issue can best be resolved. 

Robotics and Automation

Given that demand only seems to be increasing, it's clear to DHL that humans alone can’t handle the volume of shipments that travel through its facilities. With this in mind, DHL is in the process of deploying thousands of autonomous robots into its warehouses and shipping facilities. 

For example, in July 2021, DHL deployed its new robotic arm flyer sorter. Built by Dorabot, the robot uses AI to sort over 1,000 small parcels per hour, representing a 41% increase in efficiency. 

In November of 2021, DHL Supply Chain announced the implementation of 15 autonomous forklifts in its warehouse operations at Tyrefort in the West Midlands. Capable of working up to 11.5 meters high, these robot forklifts are now responsible for “double-deep pallet putaway and retrieval tasks.”

Last but not least, DHL recently announced they would be purchasing a fleet of Boston Dynamics’ Stretch robots over the next three years. Fast and highly maneuverable, the Stretch  uses computer vision technology to autonomously seek out and grab boxes without the need for special programming. 

Become an Intelligent Automation Network member today!

Premium content. Expert insight. Instant access. All for FREE.