DHL wins €10.6m deal with KPMG; expands Aerospace hub in Singapore

DHL Supply Chain has developed an innovative solution to track and consolidate almost 25 million parts and their associated trace documents scattered over 100 locations and worth an estimated €300 million to give KPMG (as administrators of Aero) the option of managing insolvent UK firm Aero Inventory out of administration.

The solution also means a three-year contract worth €10.6 million for DHL and the expansion of its Aerospace Hub in Singapore by 55% to 70,000 sq.ft.

DHL Supply Chain’s solution to uncover, recover and consolidate inventory from places as diverse as El Salvador and China, plus the development of a proper ongoing sales channel, will enable KPMG to maximise the sales value of the inventory as well as give them the option of rebuilding Aero Inventory into a viable business.

To achieve this, DHL will create three gateways in Canada, Hong Kong and Japan to consolidate parts released from Aero Inventory worldwide and then ship them to Aero Inventory’s single, global hub in Singapore, which DHL will run out of its Aerospace Hub, to supply airline clients all over the world.

The solution will require the services of DHL’s Global Forwarding and Express divisions as well, and will leverage the company’s global network to withdraw all parts from customer locations worldwide – including Australia, Canada, China, Indonesia, Japan and the USA – and have them distributed out of the Singapore hub.

DHL Supply Chain will maintain Aero Inventory’s global hub; DHL Global Forwarding will ship the parts in through its various gateways and DHL Express will send many of the components via Express service to airline customers.