•Expect two thirds of the work to answer ques5ons 1 – 3, one third of the work should answer
• The in-text References and the Bibliography have to be in Harvard’s cita5on style.
DP WORLD Case
DP (Dubai Ports) World has reason to be proud of its accomplishment of becoming one of the leading
terminal operators in the world. Today, DP World has 60 terminals across 6 con5nents, and 11 new
terminals are under development. The firm employs an interna5onal professional team of more than
30,000 people to serve customers in some of the most dynamic economies in the world.
DP World has adopted a customer-centric approach to enhancing its customers’ supply chains by
providing quality, innova5ve services to effec5vely manage container, bulk, and other terminal cargo.
The firm invests heavily in terminal infrastructures, technologies, and people to best serve its customers.
Like other global port and terminal operators, DP World helps shippers around the world address the
oTen complex and costly challenges of managing the supply chain. One of the typical problems
encountered in container terminal opera5ons is traffic conges5on at port entry points. This conges5on is
oTen due to delays introduced by lengthy procedures and paper-based logis5cs. In response, DP World
has introduced many IT-based solu5ons to enhance terminal capacity u5liza5on. These solu5ons include
the electronic custom release of cargo, electronic data interchange (EDI) repor5ng, twoway digital radio
communica5ons, and the “e-token” advanced booking system.
DP World management wanted to take things a step further and decided to make the loading and
unloading of containers operate on “just in 5me” principles to improve container turnaround. It found
that radio frequency iden5fica5on (RFID) technology was an effec5ve way of increasing the efficiency of
truck movements through port access gates. Today, DP World uses RFID-enabled automa5c gate systems
at the port terminals it operates in Dubai and Australia. According to Mohammed Al Muallem, managing
director of DP World UAE, the introduc5on of an automated gate system would not only eliminate traffic
conges5on but would also help to eliminate a number of lengthy procedures, increasing produc5vity at
the ports, and improving customer sa5sfac5on. This will in turn increase the turnaround of shipping
Prior to the RFID deployment, DP World spent several months performing proof-of-concept trials
involving several compe5ng RFID suppliers. Because of the rugged environmental condi5ons at the
ports, DP World required that 99.5 percent of all tags be read successfully, which was a key challenge for
many vendors. ATer extensive tes5ng and evalua5on, DP World selected Identec Solu5ons, a global
leader in ac5ve wireless tracking solu5ons, as its RFID supplier.
How does the RFID tracking system work? Trucks that visit a port terminal are equipped with ac5ve RFID
tags supplied by Identec Solu5ons that are fixed on the rear chassis. As a truck moves towards the gate,
its unique tag ID number is read by an RFID reader, which is integrated with an automated gate system.
At the gate, an op5cal character recogni5on (OCR) system determines if the truck is loaded with a
container, iden5fies the ID number of the truck’s container, and reads the truck license plate number as
a backup iden5fica5on. The system uses the supplied informa5on to automa5cally issue a 5cket to the
driver that specifies the lane the truck should proceed to in order to load or unload the container. The
system can also automa5cally determine if the truck is on 5me, which is essen5al informa5on for the
efficient pickup and drop off of containers. As the truck leaves the gate, the RFID tag is read once again,
and the driver receives a receipt for the completed transac5on.
RFID has enabled DP World to increase the produc5vity of container handoffs, speed the entry and exit
of trucks through terminal gates, and increase fuel efficiency. Victoria Rose, regional office project
coordinator at DP World Sydney maintained that RFID would improve gate efficiency through improved
truck management, reducing queues and conges5on around gates, and removing the number of trucks
from public roads by streamlining procedures.
Identec’s RFID-based solu5on has also enabled DP World to improve customer sa5sfac5on by enhancing
the efficiency of customers’ supply chains through smoother, faster, and more effec5ve delivery of their
containers at terminal gates. The elimina5on of lengthy paper transac5ons and manual inspec5ons at
gates and the reduc5on in manual data input errors demonstrate DP World’s customer-centric approach
to delivering a superior level of service. The technology also allows trans- port companies to save 5me,
increase revenues, and reduce costs.
DP World’s use of RFID has also helped it to 5ghten security by providing beder accuracy on inbound and
outbound truck movements through the terminals. For instance, the system can automa5cally check
whether a truck has a booking and whether it is authorized to enter the port.
As a next step, DP World will consider expanding its use of RFID-enabled scanning and tracking
technology to further op5mize supply chain flow. In the future, Rose hopes DP World will focus on
inves5ga5ng its use within the yard, and how data captured can be used.
In 2014, DP World was s5ll going strong, acquiring Economic Zones World for $2.6 billion in cash. Their
main goal was to acquire the Jebel Ali Free Zone, a 22 square mile plot of land near DP World’s Container
port. DP World’s RFID technologies will be essen5al to op5mizing the use of this new acquisi5on.
DP World Case Ques5ons
1. How did Identec Solu5ons’ RFID-based technology help DP World increase the efficiency and
effec5veness of its customers’ supply chains?
2. Describe two improvements that resulted from implemen5ng the Identec RFID-based solu5on.
3. What managerial, organiza5onal, and technological challenges might DP World have faced in the early
stages of the RFID project’s deployment?
4. Research another RFID implementa5on (other than Wal-mart). Compare and contrast the
implementa5on challenges faced and benefits brought by RFID in the two companies.
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