Supply Chain

Today’s biggest business challenge: Bringing simplicity and efficiency to a complex environment

Published

5 years ago

January 5, 2022

By Leon Steyn, CEO at Dante Deo

The world is changing swiftly, and the Fourth Industrial Revolution (4IR) is ushering in a new era of innovation and technology. From how we manufacture and consume products and services to how we experience life and work, 4IR is transforming and enhancing every facet of modern life. Digitalisation has become critical for businesses to remain competitive through greater productivity, asset reliability and advanced process control, and there is a huge emphasis on doing things simply and quickly to drive business growth and success.

When a task or transaction is complex, it involves a significant investment of resources, and usually, this ends up being time. The age-old adage of ‘time is money’ comes into play here – organisations can no longer afford to waste time, especially considering the rate of technological change. Ten years ago, it took more than a year for technology to change, but today, it’s anything between three and six months. If a business is stuck in a complex procurement process, your business requirements will most probably evolve so much that you no longer need that specific technology. That’s why organisations need procurement simplicity that enables businesses to be agile and adapt quickly. Finding and prioritising simplicity in an ever-changing, increasingly complex business landscape is key and can set your business apart.

Responding to complexity starts with understanding risk

Increasing complexity is making life more difficult for businesses of all sizes and across all sectors. Considering how quickly our world is shifting, if business owners and leaders don’t have a clear handle on what they’re working through because of complexity, their business risk position increases exponentially.

If you look at software, the major risk five years ago was compliance, with businesses asking themselves if they were consuming the right amount of software and licences versus what they procured and licensed. Today, in the Software as a Service (SaaS) space, the value proposition has become the focus. Businesses should look at software as a consumable – using only what is needed, when it’s needed and by whom it’s needed.

At Dante Deo, we’ve seen many implementation projects fail because organisations don’t understand the risk position or the protection that exists within the contract. Most people don’t even understand the licencing conditions on their phones, let alone the complex transactional conditions, which creates massive risk for most businesses today.

The link between simplicity, efficiency, and agility

The ultimate goal for any business transaction with a vendor is to obtain a benefit that will improve your margin, sustain your margin, or grow your revenue. If your organisation gets stuck in a complex environment, you’re at risk of ‘analysis paralysis’, where you either do nothing and lose the benefit you’re seeking, or you never actually optimise that benefit. Therefore, all businesses need to cut through the complexity and focus on a few critical things that will ultimately deliver the core benefit – that’s where simplicity sits.

More so, finding and prioritising simplicity translates to increased efficiency, optimisation, and risk management – the three core outcomes of every commercial transaction. Simplifying business processes and transactions also allows companies to be agile in the face of change. If you lose your ability to adapt quickly, the odds are your competitor will grab that initiative.

Practical examples of bringing simplicity to complex commercial projects

In my years at Dante Deo, we’ve helped other companies reduce complexity and clarify their own simplicity. During our work with National Treasury, we looked at the incredibly complex IT category across many different spheres of government, bringing everything together with a unified, standardised contractual agreement structure. This simplicity allowed for a consistent, predictable process of obtaining goods and services, saving the taxpayer money in the process.

Similarly, during a reorganisation conducted for one of our multinational customers, we took complex transactions and unified them under a global framework agreement, focused on standardised terms and conditions, and defined processes and risks. In turn, this enabled the business to turn around the procurement transaction in just three to six weeks, instead of the usual months it previously took to put an agreement in place.

We also play a role in the mergers and acquisitions space, dealing with very complex environments and complicated transactions. In this industry, businesses must understand what supply contracts they have and the various details of these contracts. As such, we’ve developed a robust methodology to give these companies an overarching picture of the most critical components and risks in their agreements, and have built repositories of how these details affect mergers and acquisitions in a short space of time. This allowed us to lift, shift and split over 1000 contracts in eight weeks from when the transaction was announced to the market to the listing date on various stock exchanges in SA and Europe.

For us, simplicity comes from the knowledge we have gained over many years of harnessing the power of experience to drive business growth and success for our clients.

Many business leaders may cringe when they read this, but processes, procedures and policies don’t add simplicity to an organisation, instead, they elevate complexity. I’m not disputing that these three Ps are not critical to a business; however, the truth is, they don’t manage risk, don’t offer efficiency, and don’t result in simplicity – they offer predictability, though.

Businesses should focus on understanding the information that is available to them, and most importantly, invest in partnering with the right people who will understand the environment that they need to operate in exceptionally well. Many procurement practitioners just stick to tick-box procurement and don’t have the skill set to understand the complexity of the business. You need to find people who know the commodity and the environment in which that commodity is utilised in order to translate the business complexity to simple, cost-efficient and optimised supply ecosystems where the risks are managed as well. I rarely look for a procurement expert – instead, I opt for specific technical skills in the relevant market. Identifying the gap between the business need and the specific transaction is key – you need to hire people who can fit in this gap.

Pick your partners in this space in the same way you would choose your spouse. Consider that it’s a lifelong commitment; the wrong partner can destroy your business – just look at Eskom today. Put real-time and effort into creating and nurturing a team that will move your organisation forward by offering simple solutions to complex business requirements.

Logistics

DHL Group to invest around € 160 million in 2026-2027 to strengthen logistics infrastructure and support clean energy transition in France

Published

2 months ago

June 5, 2026

SCN Africa

DHL cargo aircraft parked on airport apron at night

Admin

The investment will focus on expanding logistics capacity, upgrading infrastructure, and accelerating decarbonization efforts across all DHL divisions in the country.

DHL Mercedes delivery vehicles at logistics facility

Reinforcing France’s role as a key European logistics hub through targeted infrastructure and sustainability investments
Total DHL investment of nearly € 900 million in France over ten-year period up to 2027

Bonn/Paris, June 4, 2026: DHL Group, the world’s leading logistics company, today announced plans to invest around € 160 million in France between 2026 and 2027, reinforcing its long-term commitment to one of its largest European markets. With this new investment, DHL Group’s total investments in France over the 10-year period between 2018 and 2027 will reach nearly € 900 million, underlining its role in strengthening the country’s logistics infrastructure and industrial competitiveness.

DHL staff inspecting Mercedes delivery vehicles

The announcement was made on the sidelines of the 9^th edition of the Choose France Summit, a flagship event organized to showcase the attractiveness of the French market for international businesses.

The investment will focus on expanding logistics capacity, upgrading infrastructure, and accelerating decarbonization efforts across all DHL divisions in the country. It forms part of the Group’s strategic ambition to support resilient supply chains and sustainable economic growth in France and across Europe.

“France is a vital logistics hub at the heart of Europe and a key market for DHL Group,” said Tobias Meyer, CEO of DHL Group. “With this investment, we are strengthening our infrastructure, growing our capabilities, and accelerating our transition toward low-emissions logistics. This enables us to better support our customers’ growth while contributing to France’s competitiveness and sustainability ambitions. For customers who are serious about service and sustainability, DHL is the obvious choice. We have by far the highest share of sustainable aviation fuel and electric delivery vehicles in our industry.”

Strengthening infrastructure and supply chains

The planned investments will span all DHL business units operating in the French market:

DHL Express will invest in fleet modernization, electrification, charging infrastructure, and operational equipment, alongside continued development of its network and facilities. Since 2018, 20 real estate projects have been carried out, including the opening of the Paris Charles de Gaulle (CDG) Hub in 2021 and Lyon-Saint Exupéry Gateway in 2025.

DHL Global Forwarding will develop alternative fuel vehicles and enhancements to handling equipment and warehousing infrastructure to reduce environmental impact from operations.

DHL Freight will continue to invest in alternative fuel vehicles and facilities. Since 2018, six real estate projects have been completed, and another six projects will be delivered by 2030.

DHL Supply Chain will continue to invest in state-of-the-art warehouse facilities, expanding its footprint in key locations such as southern Paris, Orléans and Lyon to meet rising demand for 3PL services, notably in life sciences, healthcare, manufacturing, technology and e-commerce. It will also strengthen its 4PL capabilities through its Toulouse control tower, delivering end-to-end orchestration across complex, multi-partner networks.

Accelerating the transition to low-emissions logistics

A significant share of the € 160 million investment will be dedicated to sustainability initiatives, supporting DHL Group’s goal of achieving net-zero greenhouse gas emissions from logistics activities by 2050. Key initiatives include expansion of the company’s electric vehicle fleet and charging infrastructure, increased use of sustainable aviation fuel (SAF), deployment of solar energy solutions across logistics sites, transition to low-carbon fuels such as biodiesel for heavier goods vehicles and continued electrification of warehouse equipment and energy-efficient building technologies.

Driving growth in key sectors

DHL Group is actively expanding its operations in strategic sectors such as life sciences and healthcare, aerospace, and advanced manufacturing, while continuing to grow its services for small and medium-sized enterprises (SMEs) and e-commerce customers.

Recent developments include new partnerships and contracts in pharmaceuticals and industrial sectors, as well as the expansion of fulfillment and specialized logistics solutions.

Long-term commitment to France

With a longstanding presence in France since 1976, DHL Group has become a key partner in enabling trade and supporting economic growth across the country. With this new investment plan, DHL Group’s total investments in France over 10 years (2018-2027) will reach nearly € 900 million, underlining its role in strengthening the country’s logistics infrastructure and industrial competitiveness.

The company continues to expand its activities across the country, supporting regional development, creating jobs, investing ahead-of-the-curve in sustainable operations, and enabling international trade for businesses of all sizes, while reinforcing the resilience and competitiveness of the French economy.

Logistics

New Multimodal Inland Port Association Launched at Transport Forum

Published

2 years ago

May 27, 2024

SCN Africa

A significant milestone was reached in the South African logistics sector with the recent launch of the Multimodal Inland Port Association (MIPA). This new association was launched during the Transport Forum, an online event on 23 May 2024 attended by over 250 delegates, with a distinguished panel from industry, Transnet and academia. The event marked what many are calling the dawn of a rail renaissance in the country.

MIPA addresses a critical need in South Africa’s logistics landscape, which is increasingly grappling with rising costs and severe congestion. The association aims to act as the unified voice for inland ports across the nation, focusing on promoting, supporting, and advocating for the increased movement of cargo from road to rail.

“Transporting more cargo by rail has become an imperative, considering the growing cost of logistics in South Africa. It is no longer just a nice-to-have,” says Warwick Lord, MIPA Chairman.

MIPA aims to reform the rail industry through private investment, foster trade activities that meet social objectives, and facilitate the crucial transfer of goods from road to rail. By optimising industrial and logistics activities through efficient multimodalism, logistics costs will be reduced, and efficiency will be improved.

Formed by leading entities in the transportation sector, including the Cato Ridge Inland Port, Tambo Springs Development Company, Portfutures, Autoforce, Mac Group, Cape Town Inland Port, the Cape Winelands Airport, the Musina Intermodal Terminal, RailRunner South Africa, and RailRunner Services, the association is committed to collaborating on best practices, particularly in through private sector participation (PSP). It will work closely with government and state-owned enterprises.

“We aim to create one voice for inland ports, driving workable multimodal solutions that deliver efficiency, cost reduction, and much-needed resilience to the South African supply chain. By doing so, we can mitigate the impact of external shocks and ensure stability in the logistics sector,” says Lord.

MIPA’s strategy to drive more cargo from road to rail includes using innovative multi-nodal technology and improving collaboration with other freight hubs and stakeholders, to optimise each supply chain link from a cost and efficiency perspective.

“Inland ports increase accessibility through long-distance transport corridors, leading to lower distribution costs and improved capacity by consolidating freight volumes,” explains Lord. “These multi-modal terminals can handle large amounts of cargo continuously, allowing sea ports to extend their cargo base, which is crucial given the increasing size of vessels.”

Furthermore, inland ports provide significant dedicated logistics developments, proximity to rail and highways, ample truck parking, and less traffic congestion.

Lord says MIPA is dedicated to facilitating free trade and promoting sustainable practices. The association will support its members in complying with sustainable development goals and the SADC Vision 2050.

Dr Juanita Maree, CEO of the South African Association of Freight Forwarders (SAAFF), highlighted the launch of MIPA: “Our logistics network is at a turning point, with more alignment across the country than ever before. By working together, we can achieve significant advancements. It is crucial to continuously foster dialogue, share insights, and raise awareness to build a sustainable supply chain for the future.”

According to Lord, MIPA will aim to expand its membership, encouraging more stakeholders to join and contribute to the conversation.

“The business community plays a vital role in developing and facilitating trade within the logistics and supply chain environment. We will lobby warehousing, transport, and consulting businesses through these channels to join MIPA. We will also seek to include State-Owned Enterprises (SOEs) – as they are significant players nationally and globally – while fostering a close-working environment with the government,” concludes Lord.

Freight Forwarding

LTL Shipping for Small Businesses in South Africa

Published

3 years ago

September 1, 2023

SCN Africa

Orange delivery truck with boxes in the back vector image

What is LTL Shipping?

LTL (Less-Than-Truckload) Shipping is a method of transporting goods where the shipment does not fill an entire truck.

Instead, multiple shippers share the truck’s space, each paying only for the portion they use. It stands in contrast to FTL (Full-Truckload) shipping, where one shipper rents the entire truck. While other forms of freight tailor to large businesses LTL is best suited for small businesses and private citizens.

Why is LTL Shipping So Important for Small Businesses in SA?

1. LTL is Cost-Effective

Instead of paying for an entire truck, businesses only pay for the space their cargo occupies. This shared approach significantly reduces shipping costs.

2. Flexibility

Businesses aren’t restricted to large shipments. They can send smaller batches as and when needed, aiding in better inventory management.

3. Increased Frequency

Without the need to accumulate goods for a full truckload, businesses can ship more frequently, enhancing customer satisfaction through quick delivery times.

How Does LTL Shipping Work in South Africa?

1. The Initial Pick-up

The shipping process starts with the transport company picking up the goods from the business premises. Since these are smaller shipments, pick-up schedules are typically more flexible.

2. Consolidation

The cargo is then taken to a local terminal where it’s combined with other shipments heading in the same direction.

3. Intermediate Handling

Unlike FTL where goods are directly transported to their destination, LTL shipments might be offloaded and reloaded onto different trucks at various distribution points. This process ensures optimal space utilisation on each vehicle.

4. Delivery

Once the consolidated truck reaches the destination city or region, shipments are offloaded at another terminal. They are then loaded onto smaller delivery trucks for final delivery.

Advantages of LTL Shipping for Small Businesses in South Africa

1. Reduced Costs

As previously mentioned, paying only for space used can substantially cut shipping expenses. This is crucial to businesses such as small businesses that don’t have the cash reserves typically seen in larger businesses.

2. Professional Handling

Given that LTL shipments undergo multiple handlings at terminals, there’s often a higher standard of packaging and care. What this translates into is less risk of damage or loss of your cargo.

3. Tracking Capabilities

Many LTL carriers offer advanced tracking systems, enabling businesses to know the real-time location of their goods.

4. Additional Services

1. Inside Delivery: Gone are the days of your items being left curbside, vulnerable to theft or weather conditions. With inside delivery, your freight is brought directly into your home, office, or designated area, ensuring it reaches its final destination safely.

2. Liftgate Service: Ever had a heavy shipment that seemed impossible to unload? No worries! Liftgate service offers a hydraulic lift to safely and efficiently lower your items from the truck to the ground. It’s a back-saver and a time-saver all rolled into one!

3. Notification Services: Stay in the loop with real-time notifications about your shipment’s status. Whether it’s an ETA update or a delivery confirmation, these timely alerts keep you informed every step of the way.

How to Choose LTL Provider in South Africa

1. Do Your Research

Several transport companies offer LTL shipping in South Africa. Businesses need to research, compare, and understand the specific offerings of each. Additionally, it’s important to take a step back and have a hard look at the LTL providers track record to ensure the LTL provider can reliability meet your shipping needs.

2. Negotiate

Given the competitive nature of the industry, there’s often room for negotiation, especially if the business plans on regular shipments.

3. Check for Compliance & Insurance

When you’re picking an LTL provider in South Africa, don’t forget to dig a bit into the boring stuff, such as making sure they’re up to standard on all the legal and safety rules.

First off, you’ll want to check that they’ve got full insurance coverage for different kinds of goods. Trust me, you don’t want to be left picking up the pieces if something goes wrong during shipping.

Make sure they’re following all South Africa’s transport and safety laws to the letter. It’s not just about dodging fines or legal headaches, it’s about knowing your goods are in safe and responsible hands during their journey.

So go ahead, ask them about their certifications and safety records. It’s a small step that could save you a lot of trouble down the road.

Conclusion

At the end of the day if you’re running a small business in South Africa and don’t need a whole truck to move your items, LTL is your new best friend. It’s budget-friendly and extremely flexible, perfect for getting your products where they need to go without breaking the bank.

But don’t just jump into it take a little time to understand how LTL works and pick the right shipping partner.

It’s much like dating, you’ve got to find ‘the one’ that will treat your goods right and keep your customers happy. A little homework now will pay off big time in keeping your supply chain smooth and your customers smiling.