“DP World” Supply Chain Management

[Name of the Institute]

“DP World” Supply Chain Management

Introduction

Company overview

DP World was established in 2005, when the organizational entities of Dubai Ports International and Dubai Ports Authority officially merged. Dubai Port International was established in 1999, where its initial task was in Jeddah, Saudi Arabia; where it collaborated with a local partner on the operations of the South Container Terminal (SCT). The company managed to implement the latest supply chain management procedures to become one of the most successful entities in UAE. It managed to take its operations beyond national territories, by managing to develop operational ports of Djibouti in 2000, India in 2002, and eventually in Romania in 2003. It also managed to acquire CSX World Terminals in 2005, before being merged with Dubai Ports Authority, to formally establish the organizational entity of DP World.

Going Global: Primary Operations & Global Perspective

The primary operation of DP World includes the strategic operation of the world wide container and marine terminals. During the initial phase the company only had a national perspective, where it focused most of the attention at operating in the UAE region. The domestic success however, gave the confidence to the company to expand its business on an international level and enter into the highly competitive global market. As a direct result of this outlook the company has been able to achieve unprecedented success, and currently it has operational activities in more than 35 countries worldwide. Realizing the global implications of the organization, the management has adopted the strategy to establish an open and interactive culture in the organization. This strategy has helped the company to extend its operation in the international markets, and be able to attain the most talented and diverse customer base. The company employs more than 30, 000 employees, consisting of people from various countries. The company has been able to establish itself as one of the premiere global organizations, where it managed to attain overall revenues of more than $ 2, 978 million in the year 2011. With a strategic span of network, which has a multi continental reach, DP World has one of the biggest operational capacities in the industry. The company has a network of more than 60 terminals, which give the organizational entity to successfully operate in up to 6 different continents simultaneously.

Acquisition Strategy

The global approach of the organization has only been made possible by its strategic policy to acquire smaller yet significant companies to enhance its portfolio. It is due to this strategy that the company managed to expand its operations in the global emerging market of India by winning the concessions in Visakhapatnam Port in 2002. India is one of the fastest emerging economies of the world, and the ability of DP World to extend its operations in this part of the world was a strategic advantage. In the strategy to have a strong existence in the Asian and the Middle East market, the company proceeded to acquire further ports in Turkey, China and also Middle ...