Lixil has invested in a new distribution centre for its Grohe brand in Porta Westfalica, Germany as part of its long-term growth strategy.
According to the company – which recently revealed growth in revenue and profits – the new site is equipped with new warehousing technology which the company says will not only improve efficiency and increase throughput capacity but will also enable the brand to respond quickly to the needs of its customers.
“We are delighted about the addition of the new distribution centre to our Porta Westfalica site,” said Jonas Brennwald, Leader LIXIL EMENA. “Complementing production with top-notch logistics operations we are now optimally equipped for the future.”
Sebastian Weber, leader supply chain, LIXIL EMENA, added: “Thanks to the new warehouse technology we can respond to customer needs even more flexibly, for example by making smaller batch sizes and short-notice shipments possible. The new distribution centre also provides our employees with a modern work environment. Our team of logistics specialists benefits from optimised workflows that allow them to apply their know-how to the full.”
The new facility is located next to Grohe’s existing logistics centre that was built in 1994 but is almost four times larger than the original, offering 29,500sq m of floor space. The former distribution centre will be used as additional production space in the future, which will help make the production process more efficient.
“One of the main advantages of the new distribution centre is its proximity to the production plant,” said Jörg Vogeley, plant manager at the LIXIL Competence Centre for Grohe sanitary technology in Porta Westfalica.
“Our extremely high throughput volume meant that we had to use several external warehouses in the region. Now the new building is finished the transfer between sites is no longer necessary. At the same time, we can convert the old building into an additional production area.”
The new site – which has been awarded with a gold certificate by the German sustainable Building Council (DGNB) – also includes a fully-automated pallet transportation system, allowing the brand more flexibility, and will create 40 new full-time jobs.