In the wake of the currency reform that took effect on July 1, Hermes is the first home delivery service that can supply customers throughout the whole of East Germany. This is made possible with the opening of seven new depots all of which opened on the same day. Given the uncertain legal situation, Hermes Versand Service Berlin GmbH is founded on July 1under East German law. A provisional office in Coburg provides temporary support for the new depots. Following reunification, these receive 'reinforcements' from a further five new depots. Unlike its depots in the west of the country, here Hermes is partially working with cooperation partners.
Once all depots have been equipped with PCs, HVS introduces data transfer processes to head office.
Just 20 years after being founded, Hermes delivers its 500 millionth parcel. Of a total of 64 depots, 48 are in the old Bundesländer, 16 in the new. In order to facilitate better tour planning, together with the Infas Institute, Hermes develops its own cell coding (refined postcodes) for the old Bundesländer.
HVS’s major contribution to the Otto Group’s wide-ranging environmental initiatives is demonstrated with the purchase of three electric test vehicles developed in collaboration with Daimler Benz. However, performance is not yet sufficient to meet the demands of made by a fleet of vehicles making roughly 100 drops per tour.
Autumn saw the first depots equipped with stationary scanners to capture parcels (using a barcode on the label). This makes is possible to provide seamless tracking and tracing of parcels from dispatch at the client’s premises to delivery at the customer’s doorstep. At the same time, computer-aided tour planning was introduced with generated manifests and receipts.
The shipment information system, SISY, by now introduced at all depots country-wide, not only improves processing but also enhances the flow of information, leading to a significant reduction in lost parcels. This year, 3,940 employees processed 73.4 million parcels and generated revenues totalling DM360 million.
Across the year, 2,800 vehicles drove 600,000 tours clocking up nearly 100 million kilometres – that’s 2,500 times around the Earth. With five natural gas-dedicated vehicles, the company starts testing alternative drive configurations.
In the middle of the year, the Darmstadt depot starts testing a new courier system, the Hermes Boten System.
As part of the system, small parcels are no longer to be delivered by Hermes drivers, but by contracted couriers. Autumn welcomes the launch of an evening service for the Otto Group with deliveries made after 5.00 pm.
Both the management boards of Otto Group companies that do not yet deliver with Hermes and the Otto board itself are impressed by the benefits of the Hermes Boten Service. New clients – Bon Prix, 3 Pagen, Witt, Rainbow, Sport Scheck und Alba Moda – are gradually integrated in the Hermes system by mid-year.
In a contract with Deutsche Bahn, Hermes now delivers rail passengers’ luggage door-to-door. Passengers hand over their luggage at their doorstep and it is ready and waiting for them when they arrive at their destination. With the introduction of the Hermes Privat Service, Hermes is now address private customers directly for the first time. In November, Hermes delivers its one billionth parcel. To celebrate its 25th jubilee, HVS can be truly proud of its achievements: at the end of the year, the company had processed over 100 million shipments. Sixty-four depots covering 118,000 square metres, 4,300 employees and just on 5,000 couriers and roughly 2,800 vehicles have contributed to this success.
In the light of the new legislation governing the postal service, Hermes strengthens its activities in delivering catalogues and bulk mail as well as letters of more than 200g. In autumn, the Baur mail-order company from Burgkunstadt is the last Otto Group company to be integrated in the Hermes system. Revenues rise to DM530 million and the company can boast 3,350 Hermes employees, 2,000 sub-contractors/cooperation partners and 5,000 part-time couriers.
The start of a success story: by the end of the year over 1,000 ParcelShops can be installed nationwide at retailers’ and commercial operators’. These partners are largely deployed to process returns. In Hamburg, the head office and the depot are certified in line with ISO 14001 environmental standards.