Maersk Warehousing & Distribution Services USA LLC has opened a new 1.2-million-square-foot omnichannel fulfilment facility in Groveport, Ohio.
The new facility aims to help serve Levi Strauss & Co.’s wholesale, retail, and e-commerce channels. Operations at the Groveport facility commenced in August.
For Maersk, this represents a capstone to its logistics support for LS&Co., which includes end-to-end solutions from origin consolidation to omnichannel fulfilment.
For LS&Co., the facility is a key element in an ongoing distribution and logistics network transformation designed to significantly increase best-in-class omnichannel capabilities and further the company’s push to become a Direct-to-Consumer (DTC)-first business.
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The new facility is expected to help lower LS&Co.’s costs while reducing container handling time and enhancing speed and efficiency. The site’s strategic location, given Groveport’s strong transportation network and labour market, aligns well with LS&Co.’s go-to-market strategy, allowing the company to reach more US consumers faster.
Over the course of the next several months, the Maersk operations team will install advanced EuroSort systems capable of processing 100 million outbound units annually. The facility will feature the latest implementation of Maersk’s proprietary Warehouse Management System (WMS) for operational efficiency.
“We are in the process of re-aligning our network to better position LS&Co. to meet customer demands, drive our DTC-first ambitions and sustain future growth,” said Craig Jones, LS&Co.’s Senior Vice President of Global Distribution and Logistics Operations.
“This Maersk-designed and operated facility is an important step in our strategy to transition to a hybrid distribution and logistics network that balances omni-capable owned-and-operated facilities with technologically advanced 3PL facilities like this one.
“Collectively, this will improve customer experience, capacity, on-time performance, and efficiency across our business.”
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“We are honoured to be part of Levi Strauss & Co.’s transformative journey to modernise and streamline its supply chain operations,” said Jason Walker, Regional Head of Maersk Contract Logistics.
“This 10th global facility operated by Maersk for LS&Co. marks a significant milestone for a partnership built on 25 years of trusted support and service that enables LS&Co. to focus on its core business activities and growth.”
Last month, Maersk co-hosted Japan’s first “methanol bunkering simulation” at the Port of Yokohama.