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Hino upgrades parts centre

An upgrade to Hino Australia's parts distribution centre means a faster turnaround for orders

An upgrade to Hino Australia’s parts distribution centre means a faster turnaround for orders, product support manager Greg Bleasel says.

Hino’s distribution centre primarily functions as a warehouse for Hino parts and accessories, which are distributed to customers via its dealer network.

Bleasel says the upgrade was necessary as part of normal business functions.

The distribution centre previously contained over 22,000 separate storage locations, but now includes over 28,000 separate locations.

The introduction of new reporting system software that more accurately measures and monitors the centre’s productivity has revealed that Hino can now provide a 24-hour service rate for orders 95 per cent of the time.

“We’ve determined that our extra space and stock provides a 95 per cent probability of fulfilling parts orders the same day,” Bleasel says.

“This is an impressive performance standard when you consider that the distribution centre will every month ship thousands of parts worth millions of dollars to dealers in 38 national locations.”

While there had been plans to move to a new, larger facility at an estimated cost of $5 million, Hino used storage principles and processes derived from parent company Toyota, and was able to reconfigure the existing distribution centre to increase capacity.

The upgraded distribution centre has further capacity for expansion to meet Hino’s mid- to long-term business plans, with potential to increase by another 50 to 80 percent, with a mezzanine floor and increased pallet racking, as well as stock control measures.

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