Kia Motors South Africa recently opened its new Parts Distribution Centre (PDC) warehouse as part of its Annual Dealer Conference, held at Emperors Palace on the 2nd and 3rd of March 2012.
In 1998, Kia Motors South Africa operated out of a 40m2 warehouse in Kempton Park, from where the parts warehouse moved to Springs in 1999 (the new facility was significantly bigger at 500m2). In 2000 it moved to a new facility in Germiston, which had 800m2 of storage space and in 2002, Kia built a brand new Head Office, and erected a new PDC (Parts Distribution Centre) next to it.
The 2,620m2 facility swallowed up the existing stockholding and was initially only 25 percent full. Despite a steady improvement in sales and the resultant increase in the vehicle parc, Kia Motors South Africa managed to prolong the life of the facility. This was done through innovative packing, the formation of regional hubs and the addition of mezzanine storage.
An immense increase in vehicle sales experienced by Kia Motors South Africa in the last few years, coupled with considerable growth, had the natural effect of an increase in the demand for Kia parts and accessories. By 2011 the warehouse was running far over its official capacity, and there was a need for a new and bigger facility to cater for this and to allow for future growth.
The 2nd of March 2012 marked the opening of the new Parts Distribution Centre (PDC). This brand new facility, which has been fully operational since mid-January 2012, offers 4,203m2 and a generous maximum storage height of five metros. It is approximately 65 percent full, holding 239,575 pieces and 27,510 lines. It will continue to ensure high levels of parts availability and efficient distribution for years to come and has potential for further expansion when required.
“We are very excited about the opening of the new Parts Distribution Centre, as it will have a positive impact on the business as a whole”, comments Kia Motors South Africa’s Parts Director, Hans Stenger. “Because of increased storage capacity, a higher level of safety stock can be stored, which will result in better parts availability to all dealerships”, he concludes.