Hays Launches Iveco Parts-Management Centre in Spain
Hays has opened a new parts-management distribution centre in Madrid for Iveco – the £10 million investment in Spain is the latest move in a £200 million, five-year pan-European logistics solution developed by Hays in partnership with Iveco. (10/29/2002)
The solution provides a fast and cost-effective logistics mechanism for supplying urgent and replenishment stock to workshops and mechanics repairing Iveco vehicles which range from light commercial vans to 40-tonne tractor units.
The logistics strategy, known as the Iveco Virtual Warehouse, involves Hays managing the storage and distribution facilities at Iveco’s five main warehouses in Turin, Italy, Trappes in France, Langenau in Germany, Winsford in England plus the new 36,000 sq metre Iberian facility.
The 22,000 sq metre parts-management site managed by Hays at Iveco’s 35,500 sq metre British headquarters in Winsford receives, RF scans, picks, packs and distributes product throughout the UK.
Typically the centre controls stock valued of £7 million – from engine and body parts through to complete cabs for both Iveco and Seddon Atkinson products.
Parts are received from Iveco in Italy, Germany and France to go to UK customers but Winsford also manages components, such as turbochargers and clutches, made by British third party suppliers that are despatched to domestic or overseas customers and Iveco’s four other distribution centres in mainland Europe.
Utilising Iveco’s FMI warehouse management system, Hays automatically receives EDI stock requests generated by 120 UK dealers, then picks, packs and despatches up to 47,000 different parts direct to customers, normally on a regular daily ‘milk round’ basis but within hours for ‘super dealers’ or VOR (vehicle off road) incidents.
Winsford also operates a separate Iveco parts-management system for MOD (Ministry of Defence) requests, and a ‘returns’ control process to inspect components for their suitability for reconditioning or scrap.
Outsourcing to Hays has resulted in a number of financial savings and added efficiencies. Developments include improved efficiencies within the warehouse from storing parts and despatching, interplant back loading, destination-based container consolidation and re-engineering initiatives. A number of key performance indicators have been put in place which are primarily process and customer-service based.
Hays Logistics operates parts-management supply chains for a number of blue-chip customers throughout Europe, such as Cisco, Nortel, Alcatel and Siemens. Currently its logistics consultants are working on proposals to create a supply chain solution that would take Iveco towards the next decade.
