Arco new national distribution centre open for business
21st February 2020
Arco completes £30 million investment into improving its logistical capabilities
UK safety expert Arco has announced its new national distribution centre, (NDC2) became operational on the 10th February 2020, marking a significant milestone in the company’s 135-year history in Hull.
Solidifying Arco’s long-term planning to support the growth of the business, the £30m investment in NDC2 will ensure that Arco can meet its customers’ changing needs through its improved logistical capabilities. Phase one of the company’s supply chain investment was completed in July 2016 with a £4 million investment in NDC1 which increased the company’s picking and packing capability for customer orders.
Phase two was a £30m investment in building an extension to NDC1. This consisted of a £22 million investment to build the facility and a further £8m for the internal fit out. The build of the new extension, (NDC2), began in March 2018. The 220,000 sq. ft. extension will double the company’s floorspace and the purpose-designed building, which stands at 22 metres high will almost treble its storage capacity.
NDC2 will hold 40,000 pallet locations and become the main storage facility for Arco. New conveyor belts will link the facility to the original NDC, bringing the total conveyor to 2.7km, and enabling efficient movement of products. From the 10th February Arco will begin to receive pallets of stock into the new extension. Arco is working hard to ensure a smooth transition whilst moving into the new facility without impacting the business or customers.
Neil Griffiths, Divisional Director of Logistics and Supply Chain, commented on the completion of NDC2:
“Everyone at Arco is extremely excited that build of the NDC2 is now complete. Our efforts in expanding the business’s logistical capabilities will allow us to fulfil our ambitious future growth plans. Therefore, this investment was a necessary step to enhance the commitment to our customers and future proof our desire to invest in the growing city of Hull and our colleagues alike.
"Being a family business has meant Arco has been able to invest in times when not all businesses could. The launch of our NDC2 comes as a celebration for all of us and marks the final logistical phase to ensure that our future growth plans can be met.”