September 12, 2019

DHL Supply Chain says partnership with Convoy, Turvo could boost efficiency

Contract logistics business says Convoy's digital freight network and Turvo's real-time collaboration will add clarity, cut costs.

By DC Velocity Staff

DHL Supply Chain said Wednesday it will partner with supply chain tech startups Convoy and Turvo Inc. in an integration that could boost the transportation digitization efforts made by the contract logistics arm of Deutsche Post DHL Group.

Bonn, Germany-based DHL Supply Chain will integrate its visibility and business intelligence solution, MySupplyChain, with Convoy's digital freight network and Turvo's real-time collaborative logistics platform. Together with implementing robotic process automation (RPA) tools, the initiatives are intended to help produce more efficiency, reduce operating costs, and improve service levels for customers, the company said.

Through the deal, DHL Supply Chain becomes the first third-party logistics provider (3PL) to partner with Convoy, a platform that connects trucking companies with shippers. According to DHL, the link will provide access to Convoy's automated real-time pricing, allowing shippers to benefit from increased capacity with guaranteed coverage.

Seattle-based Convoy is one of the better funded startups in the digital freight matching (DFM) sector, based on a $185 million venture capital round it landed in 2018. Since then, the firm has added features such as an "automated reloads" function that allows drivers to book multiple loads at a time and an integration with transportation management system (TMS) vendor BluJay Solutions.

"Convoy and DHL have a shared emphasis on moving freight more efficiently, and that focus forms the backbone of our relationship," Brooks McMahon, Convoy's VP of Partnerships, said in a release. "Now DHL can easily access Convoy's automated real-time pricing and secure capacity that can flex with their customers' needs."

DHL Supply Chain is also partnering with Turvo, whose platform allows all parties to view and take action on the same information at the same time, boosting end-to-end supply chain collaboration, the firm says. Sunnyvale, Calif.-based Turvo has also raised some hefty backing, with nearly $100 million on hand following a $60 million round in 2018.

Finally, DHL is rolling out a greater application of RPA, which uses software to automate repetitive tasks such as collecting documents for proof of delivery, scheduling loads, and event tracking, reducing manual errors and increasing speed. In pilots conducted to date, DHL Supply Chain in North America has offset over 5,000 hours of manual work with RPA, and the company's global organization saves 30,000 hours saved per year.

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