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: World Class Saab Distribution Centre in Nyköping

30th June 2004, 04:51 PM
It started with Saab. Then came Opel, followed by Cadillac and Chevrolet. Finally, this year, it was time for GM newcomer Daewoo to join the group. We are talking about the development of the Saab distribution centre for spare parts and accessories, a centre that has been growing as Saab Automobile becomes more integrated with GM.

"We have been an operative part of General Motors since 1993 and are today ranked as one of Europe’s most efficient distribution centres," says Lennart Ståhl, head of the distribution centre in Nyköping, 100 km south of Stockholm in Sweden.

As a result of this efficiency, General Motors did not hesitate in assigning the Saab Distribution Centre to handle the delivery of Daewoo spare parts to its Nordic markets. This is not the first time that GM has shown such confidence in the performance of the facility at Nyköping. Since 1993, it has handled the distribution of Opel spare parts and accessories for the Nordic countries and Baltic states. The same goes for the European distribution of parts on behalf of Chevrolet and Cadillac since 1997.

There are about 50,000 lines of Saab parts held in stock for the centre's customers, who are Saab dealers and workshops in 59 countries all over the world. Together with parts for Opel, Chevrolet, Cadillac and Daewoo, there are around 100,000 items stocked at the distribution centre. The 300-strong staff handle 23,000 orders each day. This is only possible due extremely skilled procedures backed by an advanced computer system.

"Almost everything we do is handled by computer, from taking customer orders to final packing. The computers even tell us which size of carton to choose," adds Lennart Ståhl.

The Saab distribution centre is located in the middle of northern Europe, close to harbours, airports, railroads and the north-south highway through Sweden. The region is an outstanding location for good logistics and warehouse management.

The centre receives 1,400 inbound shipments every day and last year it delivered a staggering six million order lines. That is equivalent to despatching one or two orders every second of every working day. (An order line is a part with its own specific number). Despite such speed, 99.7 per cent of these are correctly packed and 99 per cent are delivered on time. Impressive figures such as these position the Saab distribution centre among the world's elite. Experience helps as well, at Arnö they have been handling spare parts since 1977.