

DHL Exel Supply Chain, through its partnership with the Olayan Group in Saudi Arabia, is currently managing the world’s largest oil producer’s entire in-Kingdom supply chain under a 10-year agreement.
The agreement enables DHL Exel Supply Chain to successfully deliver materials on-time for Saudi Aramco’s increasing development and operational requirements throughout the Kingdom.
Saudi Aramco will also be able to track their material requirements online at any time via an integrated logistics service system.
DHL Exel-Saudi Arabia is providing management and operation of four material distribution centres (MDCs) or cross-docks in Dammam, Riyadh, Jeddah and Yanbu, where it receives materials directly from sea ports, airports, suppliers and manufacturers. In addition, DHL Exel-Saudi Arabia manages the Kingdom-wide provision and operation of a fleet of vehicles and personnel as well as providing the operational staff at 14 material service centres (MSCs).
The DHL Exel-Saudi Arabia team has over 400 Saudi Aramco dedicated staff, of whom over 80 per cent are Saudi nationals.
David Rouse, contract director of Exel-Saudi Arabia, DHL Exel Supply Chain, said: “In this partnership with the world’s largest oil producer we are providing tailored, best-in-class logistics solutions that afford Saudi Aramco the agility they need.
“The implementation has been imparted with pace, efficiency and an approach to partnership that we should be proud of. It is testament to the fact that we are the logistics provider of choice to the oil and gas sector in the Middle East.”
As part of the agreement, DHL Exel-Saudi Arabia will manage the vendors and suppliers and uses Key Performance Indicators (KPIs) to measure their services and give Saudi Aramco transparency on performance levels, allowing visibility at the front end of the supply chain not previously seen under the previous fragmented arrangement.
Recently, DHL Exel-Saudi Arabia and SNAS/DHL, the Kingdom’s leading express provider, completed the installation of a fully comprehensive IT logistics network that will cover more than 2,000 Saudi Aramco locations in the kingdom.
The close co-operation between DHL Exel-Saudi Arabia and SNAS/DHL has resulted in this highly innovative project which will handle all of Saudi Aramco logistics and sourcing requirements from more than 7,000 suppliers from purchasing request through to ordering and delivery.
The IT network solution has been specifically tailored to complement DHL Exel-Saudi Arabia supply chain processes in order to provide a fully comprehensive offering that meets Saudi Aramco’s operational requirements.
It will be able to handle a geographically extended supply chain at the highest levels of quality and efficiency.
Throughout the design process, the system has been developed with the customer’s key requirements of speed, flexibility and visibility in mind.
Stephen Kelly, regional IT director, DHL Exel Supply Chain Middle East, said: “The partnership with Saudi Aramco and strategic requirements of their supply chain have resulted in this bespoke and integrated solution. In selecting DHL Exel-Saudi Arabia to manage the in-Kingdom supply chain, Saudi Aramco was engaging with a global player with reach, expertise and know-how.”
DHL Exel Supply Chain and SNS/DHL are members of the Deustche Post World Net, the world’s leading logistics group. DPWN generated revenues of €60 billion ($83.2 billion) in 2006. With currently some 520,000 employees in more than 220 countries and territories Deutsche Post World Net is one of the biggest employers worldwide.