The 140,000 sq ft facility offers approximately 20% more storage capacity for truck parts than is currently available, so will be able to hold deeper and wider stocks, allowing Mercedes-Benz Trucks and XPO Logistics to manage the space more flexibly and respond more quickly to changing demand. The new hub will hold parts for Mercedes-Benz Trucks and FUSO, another Daimler Truck brand.
Heiko Selzam, Managing Director, Mercedes-Benz Trucks UK, commented: “Together with members of our Dealer network, we are committed to providing operators of Mercedes-Benz and FUSO trucks with the industry’s finest aftersales back-up.
“This fantastic new centre, coupled with the ground-breaking agreement we have reached with XPO Logistics, provides the perfect platform from which we will be able to provide our customers with the fast, efficient parts support they deserve.”
Dan Myers, Managing Director – UK and Ireland, XPO Logistics, added: “The three-pointed star is an iconic brand which stands for reliability and quality. Working in partnership on this new, state-of-the-art distribution centre, we will embed these essential characteristics in every aspect of the Mercedes-Benz Trucks operation.”
It is the first time that Mercedes-Benz Trucks has entered into an outsourcing agreement of this kind.
Mercedes-Benz Trucks’ Head of Parts Logistics Philip Cross said: “Rather than just moving to a new warehouse, we’re effectively adopting an entirely new supply chain. As with so many industries, the automotive logistics aftermarket is becoming increasingly specialised, and given our focus on providing the best possible service to customers we felt this was the right move at the right time.”
Explaining the rationale behind its choice of partner, he continued: “XPO Logistics is already in a strong place within the sector and was able to cite persuasive examples of 3PL services it provides to other customers, rather than asking us to make a decision based simply on a sales ‘pitch’.
“Through its work on the transportation of parts from our current logistics centre, XPO is already familiar with our Dealer network. This means that any disruption can be kept to an absolute minimum when we commence operations. Finally, but no less importantly, Dan Myers and his colleagues were also very open to the exciting ideas we have for the future, once the new system is up and running.”
A working group comprising representatives of Mercedes-Benz Trucks and eight members of its franchised network has been engaged in development of the project. “We’ve been entirely open about what we’re doing and the feedback from the working group has been resoundingly positive… Dealers see it as a real breath of fresh air,” Cross added.
Fit-out of the new centre is now underway, with the first deliveries of parts from Germany due to arrive shortly. Small and medium-sized parts will be held in a three-tier, pedestrian-accessible mezzanine system, with main racking used for larger and fast-moving parts. Automated conveyors will carry inbound parts to the mezzanine floors, and completed picks back down to outbound sortation.
Sustainability features at the new hub include high ceiling clearance with natural light panels that reduce energy consumption and optimise working conditions, and a rainwater collection system that feeds the washrooms in the office area. Solar charging infrastructure is also in place, in anticipation of the use in the near future of battery-electric eActros trucks for Dealer deliveries
The new hub will become operational in January 2023.