CRISTOPHER RICO A DELGADO

BSTM M502

TASK PERFORMANCE
TNT Express
TNT Express is a global express parcels company which offers time definite and day definite pickup and
delivery. It delivers an average of 4.4 million parcels, documents, and pieces of freight every week to
over 200 countries worldwide. TNT’s origins date back after the Second World War in Australia in 1958.

In 1978, the growth of TNT really began to take off when it purchased County Express in the UK. TNT UK
continued to grow and offer new services and it became one of the most important contributing
businesses to the overall company performance. The culture of TNT was always described as
entrepreneurial with an emphasis on speed of action. This was further developed by the growth of the
company into a major player in the global express parcels market. The strength of the company was a
road and air network which connected the majority of the major economies. The different national
cultures and an entrepreneurial attitude created a successful but reactionary company.

Despite its milestone of success, TNT Express has experienced a major pitfall in 2004. With the
appointment of a new CEO, Marie Christine Lombard, her strategy was to change the company from a
traditional and entrepreneurial transport company to a global customer centric service based
organization. The advocacy of the new CEO will surely improve the overall performance of the company
in terms of logistics since it tries to adopt to the emerging needs of the market in a greater arena.
However, the result of the implemented change initiative does not reflect the goal. Major negative
feedback from customers bombard the management of the company. Some were saying that the
changes in the usual service do not serve its purpose because the shipment of items were relatively late
or out of deadlines. Others stated that TNT marketed itself as a global organization but variation in the
way it operated locally affected their experience. Most of the employees say that the change initiative
affected their performance since they are not prepared enough to face a more complex process in the
shipment of items. Another major reason for this problem was the number of disparate IT systems that
tracks the delivery and pick-up of items. This situation generated enormous maintenance costs and
interface issues. It was recognized that before TNT Express could implement a set of customer service or
operational systems that could be deployed globally, they needed a “common process.” The employees
of the company were relatively empowered and thus suggest that the company developed a graphical
representation of the different inflows and outflows of their logistical processes. Empowered employees
claim that after creating this representation, they will be able to match the existing IT systems to a more
complex system that would be efficient in monitoring the shipment and delivery of items. Therefore, the
CEO of the company decided that TNT, as a global organization, should map the existing processes and
agree to a global standard.

Follow the suggested outline below in answering the case study:

a. The TNT Express is a global express parcels company which offers time definite and day definite
pickup and delivery. It delivers an average of 4.4 million parcels, documents, and pieces of freight every
week to over 200 countries worldwide. TNT’s origins date back after the Second World War in Australia in
1958. Globally, TNT Express is listed and traded on Euronext Amsterdam by NySE Euronext ticker TNT.
Worldwide the company delivers to over 150 countries and employs around 80,000 individuals.

II. Statement of the Problem

a. In order to prepare TNT Express employees to have a more complex work environment they must
use the 10 step model, because it is a logical, step-by-step process that makes sense. It provides a clear
roadmap for how the project will be conducted, and the idea that their work will involve continuous
monitoring reassures the team that their efforts will be measured and refined along the way as needed.

b. The TNT Express must use Histogram, because the main advantages of a histogram are its
simplicity and versatility. It can be used in many different situations to offer an insightful look at
frequency distribution. For example, the TNT Express will use their sales and marketing to
develop the most effective pricing plans and marketing campaigns and will allow them to see the
different inflows and outflows of their logistical processes.

c. With ISO 9000 the TNT Express will have the value of the standard and the sales marketing
advantage. And improve their business processes and reduce scrap, rework and cost.
And then manufacturers with similar products, service and price use the certification to differentiate
themselves from their competitors that gives marketing advantage over the competition.

III. Areas of Consideration

a. The TNT wanted to review best practice technologies, in particular secure print release and
Equitrac ‘Follow you’ printing and to choose technology that could meet their needs for the next six to
seven years. They were also looking for a provider who would provide cost and service reporting as well
as help streamline their electronic archiving requirements via the scanning of dockets and documents. An
understanding and knowledge of TNT’s long standing procurement philosophy was of high importance, in
which there had to be significant value add or cost benefit for them to change vendor. As such, the onus
was on each supplier to demonstrate strong and compelling reasons to choose their technology.

 The current fleet was near its end of life

IV. Alternative Courses of Action

a. Alternative 1: TNT Express need to maintain and develop effective competition.

 Within the common market in view of, among other things, the structure of all the markets
concerned and the actual or potential competition from undertakings located either within or out
with the Community and the market position of the undertakings concerned and their economic
and financial power.

Alternative 2: They should know the availability of their products to suppliers and costumer.

 Their access to supplies or markets, any legal or other barriers to entry, supply and demand
trends for the relevant goods and services, the interests of the intermediate and ultimate
consumers, and the development of technical and economic progress provided that it is to
consumers' advantage and does not form an obstacle to competition.

V. Recommendation

a. I recommend to TNT Express that they should aim to satisfy customers every time, challenge and
improve all their efforts, be passionate about their people, act as a team, measure success through
sustainable profit, and work for the world. Also they should have clear aims and objectives, building a
competitive advantage by developing core competences and identifying gaps and seeking to close these
through development of resources.

VI. Management Lessons Learned

a. In order for TNT Express to avoid unnecessary things in their company they should not
immediately change the strategy especially do not yet know if it is effective in your company. Although
TNT knew how many devices they had and the annual volumes of print output by device, they did not
have an accurate account of the quantity of wasted paper or copy costs from mistaken or unnecessary
printing.
Rubric for grading:
CRITERIA PERFORMANCE INDICATORS POINTS SCORE
Wrote a concise summary of the case, the areas of
Executive Summary consideration presented, and the alternatives 20
proposed for the case
Organization of Adhered to the correct outline and content was
20
Ideas organized in a clear and logical manner
Provided all necessary research and analysis in
Analysis 30
support of the statement of the problem
Proposed a well-thought and well-researched solution
Recommendation 30
to the case study
TOTAL 100