Question 3 Read the case study and answer the following questions in your answer booklet. (Marks: 40) DHL launches air freight service from China to Africa, Middle East When Adrian Dalsey, Larry Hillblom and Robert Lynn founded DHL in 1969, they didnt know they would revolutionize the world of logistics. Today, DHL is the worlds leading logistics company. DHL has operations in over 220 countries and territories. DHL aims to work every day to help customers cross borders, reach new markets and grow their business. DHL Global Forwarding has launched a 100-tonne weekly air freight service for organisations and governments shipping goods from China to Africa and the Middle East. The group will consolidate cargo from across China into Guangzhou and air freight them via Dubai to their various destinations within two or three days. DHL Global Forwarding is bolstering logistics support to our customers in the region who need to ensure stable supply chains, especially for medical and critical supplies during this critical period. "With multiple flight cancellations that have strained worldwide air freight capacity, we remain committed to leveraging our capabilities, global network and customised solutions to ensure that goods and critical resources continue to reach people and communities in Africa and the Middle East," said Amadou Diallo, CEO, DHL Global Forwarding Middle East and Africa. Named after the Nguni Bantu word, ubuntu (humanity) used across Africa to refer to the universal bond of sharing, UbuntuConnect refers to the China-Africa lane where the bulk of the cargo is expected to comprise personal protective gear such as masks, gloves, hand sanitisers and goggles. Equally, part of the cargo will head to other countries in the Middle East to plug the demand gap there. Whilst the secured uplift from China will be in operation for four weeks, DHL Global Forwarding is actively seeking to secure routes to all of Africa and boost capacity to the Middle East and Africa in the longer term. Q.3.1 Describe the benefits offered by DHL as an integrated service provider. Q.3.2 Q.3.3 Discuss the advantages and disadvantages of air transportation which DHL would (10) experience. Given the benefits of economies of scale, logistics managers often make use of consolidation strategies. Q.3.3.1 Advise DHL on the three types of consolidation strategies available. (9) Q.3.3.2 From the three consolidation strategies discussed, choose the most suited (7) for DHL. Justify your answer by discussing at least two key points. 3.4) In your opinion, does DHL make use of intermodal transportation? Justify your (9) answer by discussing at least two key points.