Kawasaki--Brown Delivers For Kawasaki

In an intriguing move that could provide a new direction for engine and product distribution, the Kawasaki Motors Corp., U.S.A. Engine and Power Products Division announced it will initiate a new storage and distribution system for its parts, accessories, handheld power products and engines. As part of the new system, Kawasaki said it will partner with UPS to consolidate and streamline all elements of the distribution business that support its dealers.

“UPS is a recognized leader in its industry, and the synergies between its systems and Kawasaki’s needs in the field are significant,” said Rodger Howe, director of operations at Kawasaki.

According to Howe, the new system, which will begin operations once all existing inventory is transferred to the UPS facilities in Hebron, Ky., and Mira Loma, Calif., in late August, will provide substantial benefits to the company’s dealers. Nearly 1.5 million units are expected to be warehoused at the start of the relationship.

“We’re constantly seeking new ways to improve on our service levels to dealers and this process will substantially shorten the time to get delivered items from the loading dock into our warehouse system,” said Howe, who added that UPS has demonstrated how the new arrangement can compact the process to as little as 24 hours.

Kawasaki will also utilize a parts planning tool from Baxter Planning Systems that is fully integrated into the UPS system. The software will enhance its sales forecasting, optimize stock planning and make it easier to manage seasonal spikes in activity.

“The new solution will provide significant value to Kawasaki's dealers," said Jeff Degen, director of UPS's automotive marketing group. “By leveraging UPS's distribution services and worldwide transportation network, Kawasaki will improve its supply chain's efficiency and simplify the process of managing and tracking inventory.”

Kawasaki has used three U.S. warehouses to support distribution: Ontario, Calif., Atlanta, Ga., and at the company’s Grand Rapids, Mich., headquarters. Those warehouses will continue to provide storage and distribution needs for Kawasaki’s Consumer Products group.

Kawasaki Engines and Power Products, a division of Kawasaki Motors Corp., U.S.A., distributes gasoline engines and professional handheld power products for landscape, industrial and consumer markets.

Source: Diesel Progress Online