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DHL Worldwide Express chose Denmark: A Northern HubHome > Investing in Denmark > Business Cases>DHL Worldwide Express chose Denmark: A Northern HubInvesting in Denmark Business CasesDHL Worldwide Express chose Denmark: A Northern HubContinuous high level investment in infrastructure and strategic location, as well as a low level of labour disputes, were key criteria in DHL’s decision to locate a European hub in DenmarkWhy Denmark? "Back in the early 90's, DHL started building a multi-hub system in Europe. We needed a more flexible network, one that wouldn't be brought to a standstill by strikes, bad weather or other problems at a single main junction. We chose to place our northern European hub in Denmark because of its strategic location and fantastic infrastructure. Denmark has developed and renovated its transportation system on a massive scale in recent years. We were also attracted by Denmark's stability, particularly in terms of government, economics and labor. "Now we've built up a very competitive position in northern Europe, and Denmark certainly deserves part of the credit. We're very satisfied with our decision to locate here." Jens Poul Madsen General Manager DHL Worldwide Express A/S DHL Worldwide Express DHL Worldwide Express is the leading international air express network in the world. The company has offices in over 200 countries and serves nearly 700,000 destinations around the globe. The worldwide staff consists of approximately 60,000 people. DHL had been in Denmark for close to 15 years when it established its hub at the Copenhagen airport in 1992-93. Since then, the initial hub crew of 20 people has moved into prime airport offices and grown to include about 250 employees. DHL also acquired a new office building in the nearby town of Vallensbжk in 1997. Operating out of both locations, DHL now employs more than 700 people in Denmark and handles 250 tons of freight a day. Ideally Located and Equipped Denmark's central location between Scandinavia and continental Europe is a real advantage for DHL. What's more, the Danish government has invested billions of dollars throughout the 1990's to modernize its airports, highways and bridges. With the newly completed Great Belt bridge and the upcoming bridge from Copenhagen to Sweden, Denmark will soon provide a streamlined overland route between central Europe and the Nordic countries. As for air travel, Copenhagen Airport will be among the five largest airports in Europe when the current renovation and expansion project is complete. In addition to large capacity, the airport offers high connectivity – planes that fly from Copenhagen can get anywhere in Europe in less than three hours. Business-friendly Policies During the initial stages of the airport renovation, DHL worked closely with transportation authorities in connection with the company's upcoming lease of office space and other airport facilities. According to DHL, the airport officials were exceptionally open and flexible throughout the project, allowing the company to specify a number of requirements for the new facilities, for example. DHL also received permission to handle their own airplanes on the runway instead of having to rely on airport personnel. This cooperative approach on the part of airport authorities has made it easier for the express courier to establish a good working base and thrive in its new location. A Climate of Stability For a company like DHL that handles several hundred thousands orders a year, it would be especially difficult to operate in a chaotic environment. This is another reason why the company chose to locate in Denmark. Unlike some European nations that are prone to political upheavals or sudden changes in government, Denmark is known to be a consistently stabile nation. Danish economic factors are also traditionally steady – with just moderate swings in currency and interest rates, for example. Finally, relations between employers and labor groups are uncommonly harmonious in Denmark, which leads to a minimal incidence of strikes and other labor restrictions. All of these factors point to Denmark as a very competitive contender when it comes to choosing a northern location. DHL continues to reap the benefits of settling in Copenhagen – in the form of smooth operations, and steady growth. Invest in Denmark If you are considering activities in Scandinavia, The Baltic Sea Region or Europe, Denmark is the obvious choice of location. Invest in Denmark is a government agency whose sole mission is to help and advise companies who want to do business in, with or from Denmark. There is no charge for Invest in Denmark’s services. Our team of experts can provide you with a wide range of services, in-depth legal and financial advice, as well as fast and direct contact to the right people. last updated: 2003.12.03Distribution Centres© Ministry of Foreign Affairs of Denmark | About www.investindk.comTop | Print | Disclaimerразделы
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