Fahy pushed aside as Appel strikes quickly at DHL

DPWN’s new chairman and chief executive officer, Frank Appel, has acted quickly by re-organising its logistics business and creating two new divisions. The new structure sees Chris Fahy removed as head of DHL Global Forwarding and leaves his future at the company in doubt.

Previously, the logistics corporate division was headed by Appel and was split into three constituent businesses – Supply Chain (turnover approximately Euro 13 billion) headed by Bruce Edwards, DHL Global Forwarding run by Chris Fahy (turnover approximately Euro 11 billion) and the freight trucking division, headed by Hermann Ude (turnover approximately Euro 3 billion).

Now the Global Forwarding and Freight divisions have been combined into one, under the leadership of German-born Ude. Edwards remains in charge of the Supply Chain division and both men will also, for the first time, take a seat on the DPWN’s executive board.

Fahy had successfully led the division through the highly complex merger with Exel and helped propel it to an unassailable position as the world’s leading freight forwarder.

DPWN spokesperson, Nicole Mommsen, told Air Cargo News, that Fahy had been offered “a senior management position” within the company and was “considering the offer”.

However, a number of Global Forwarding employees have contacted Air Cargo News to express their dismay at the removal of Fahy. “Losing Fahy is a shock to many of us and not something he deserved after the recent successes Global Forwarding has achieved,” said a senior manager.

It seems unlikely that Fahy will accept another position at the company, having been overtaken by Ude to lead the combined division, and take a place on the executive board.

As news of the changes filtered through to delegates at the IATA World Symposium, airline cargo bosses also expressed their surprise and some consternation at the move. “Fahy led DHL through the potential minefield of the massive Exel integration and came out the other end having earned the respect of the industry, this news is a big surpise,” said a senior executive in a typical response to the announcement.

It will be interesting to see Fahy’s next move in the industry, given his impressive track record at DHL.