Kuehne + Nagel manages national service parts distribution centre for John Deere

John Deere (China) Investment Co. Ltd., one of the world’s leading manufacturers of farm equipment, has recently awarded Kuehne + Nagel a contract for the management of its national service parts distribution centre in Tianjin.

With the objectives of better serving its dealers and optimising service parts management in China, John Deere has centralised all the after-sales services in a national distribution centre in Tianjin. In the past, its three factories located in Tianjin, Jiamusi and Ningbo, producing different types of agricultural machines, offered after-sales services to the dealers in the country separately.

In the dedicated 5,500-sqm facility, Kuehne + Nagel is responsible for the management of around 10,000 SKUs and 170,000 units of John Deere’s products. Kuehne + Nagel’s comprehensive services include inbound transportation from the three factories to the distribution centre, inventory management, domestic distribution to the manufacturer’s dealers in China as well as a series of value-added services, such as inbound receiving, quality control, labelling, pick & pack operations and order processing.

“Kuehne + Nagel has proven itself to be our partner of choice. Not only is it a professional leader in the China logistics market, its solutions demonstrate a high degree of customer orientation and flexibility,” commented Luke Gakstatter, Director of China Operations of John Deere (China) Investment Co. Ltd. “Based on its efficient set-up, the facility will serve as the regional distribution centre for other countries in the Asia-Pacific region.”

“We are pleased to be supporting John Deere in its initiative of providing efficient and responsive after-sales services in China. Centralised management of service parts and excellent performance of the logistics facility will foster the continued optimisation of John Deere’s supply chain,” said Jens Drewes, National Manager of Kuehne + Nagel in central and northern China.