John Deere is taking another quantum leap to enhance its parts distribution network in Europe. With an investment of more than US $60 million, the company plans to expand its European Parts Distribution Centre (EPDC) at Bruchsal in Germany and to establish a new Regional Distribution Centre (RDC) near Stockholm in Sweden.
"The continual expansion of John Deere product lines throughout Europe requires the parallel expansion of our parts infrastructure," says Fritz Rheindorf, director parts distribution for Europe, CIS, Northern Africa, Near & Middle East. "With our intent to provide excellent parts service to our customers and dealers, and in light of rapidly increasing logistical costs and environmental considerations, we are enhancing the services of our EPDC in Bruchsal, and have decided to establish a regional parts distribution centre in Northern Europe."
More than US $30 million will be invested in a new 16,700m² facility at Bruchsal. This new centre will create extra space for receiving, packaging and cross-docking parts at EPDC and will enable more efficient distribution of orders to John Deere dealers throughout Europe, and to other parts centres worldwide.
The new John Deere regional distribution centre near Stockholm will be opened in late 2011, and will also incorporate the John Deere Forestry parts and retail sales office, which is currently located in Maersta (Sweden). The 18,700m² RDC will serve dealers and customers in the Scandinavian and Baltic markets. This operation will complement the newly established EurAsian parts distribution centre in Domodedovo near Moscow, which has recently started its first shipments to John Deere dealers and customers in the CIS.