Multivac Inc., Kansas City, Mo., held a ground-breaking ceremony on its 33,000-square-foot logistics center in November. Through this new center, customers will experience increased efficiencies on spare parts orders, with an even greater same-day order fulfilment rate. According to Multivac, the center will allow it to improve efficiencies in terms of space utilization and human resources.
“The new logistics center will allow Multivac to consolidate an external warehouse and our current on-site spare parts storage into one location,” explained Markus Walderich, chief technical officer for Multivac Inc. “This new hall will include an automated storage and retrieval system for spare parts, which will benefit the entire supply-chain system, creating the most efficient use of our physical assets and human resources.”
Multivac said it carries nearly 6,400 individual spare part SKUs. This volume allows the company to ship 85% of customer spare part order requirements from its local stock inventory. These parts are currently housed in the Kansas City headquarters location. In 2019, more than 68,000 parts orders were fulfilled. Rapid business expansion had placed Multivac in a position to outgrow the existing spare parts operation in as little as three years.
“This is an exciting time for Multivac. Our owners see the importance to invest in a new logistics center in Kansas City, both for our customers and for Multivac as a global organization’” explained Matt Malott, CEO of Multivac. “With this addition, Multivac is positioned to better serve our customers and build upon our already exceptional customers support.”
With the addition of the Logistics Center, Multivac said it is expecting to repurpose current space into much needed offices by moving the existing spare parts operations into the new hall. This addition will also create new jobs at the Kansas City headquarters.