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LOGISTICS CORNER: Mercedes-Benz Opens Regional DC in New Jersey

Facility will supply parts to distribution centers throughout the country.

  [ 3/14/2005 ]  By: Bill King, Chief Editor   Related Link...  Print This Article  Reprint/License This Article  
Northeast U.S. 5-Star & 4-Star Logistics Metros

Mercedes-Benz USA (MBUSA) in November opened a 450,000 square foot Regional Master Parts Distribution Center (PDC) in Robbinsville, N.J., east of Trenton.

The new facility, which replaces a Parts Distribution Center in Baltimore, will store safety stock and uniquely stocked parts for the replenishment of Mercedes-Benz parts DCs in Chicago; Fort Worth, Tex.; Orlando, Fla.; and Fontana, Calif.

By concentrating distribution of slow-moving parts into one warehouse, lead time for medium- and slow-moving parts can be greatly reduced, according to the company. Through this new approach to distribution, MBUSA aims to optimize the supply chain process.

“During the next 18 months, Mercedes-Benz USA will launch the largest U.S. product offensive in its history,” said Paul Halata, president and CEO of MBUSA. “Our No. 1 priority is to prepare for the future. The more cars we sell, the more we need parts and service support to ensure that our customers enjoy the finest ownership experience. Refining our parts and service business through the new Regional Master PDC has been a critical part of making this happen.”

The new DC, which sits on nearly 70 acres and has an expansion capability of 1.2 million square feet, is designed to move parts through an advanced, 1.5-mile system of conveyors under 80-foot-by-80-foot structural bays, store 100,000 part numbers and service 105 dealers throughout the Northeast U.S.

“Getting the right parts in the right place at the right time is crucial in servicing our customers with the high standards we set for ourselves,” said Klaus Ulkann, vice president of customer services for MBUSA. “This new facility is an instrumental factor in supporting our dealers’ abilities to service our customers from routine maintenance to more complicated repairs.”

According to Ulkann, more than 74 percent of all Mercedes-Benz vehicles sold in the United States since 1952 are still on the road today, adding up to a broad range of parts that need to be available at any given time.

The Regional Master PDC was built to combine the highest standards of functional design and efficiency. It reflects not only the latest technology, such as state-of-the art information technology, conveyor and bar code systems, but also sets a new standard in warehouse form and function.

 



 
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