March 19, 2019 Press reports

Arvato SCM Solutions expands logistics and warehouse capacity in Hong Kong

Hong Kong/Guetersloh – Arvato SCM Solutions has recently launched a new distribution center in Hong Kong for a key global high-tech client. With a logistics area of 100,000 square feet and an office space of ​​4,500 square feet the site complements the existing network of distribution centers in Louisville (Kentucky, US), Ontario (California, US) and Venlo (Netherlands) for this industry leader. The entire network was designed and implemented within eighteen months on three continents.
The new warehouse is also Arvato’s second logistics site that has opened in Hong Kong within four years.

"By building this powerful network, we have set a benchmark that is unparalleled in the industry. We operate all four sites with the same standards, processes, interfaces, all running the same IT setup based on a full end-to-end SAP solution," emphasizes Raoul Kuetemeier, Head of Asia at Arvato SCM Solutions. The extensive logistics and fulfillment services that Arvato is responsible for include inbound, storage including temperature-controlled products, outbound, carrier management of truck, sea and air freight transports, customs brokerage (IOR / EOR) services and numerous value-added services such as country-specific labeling, transformation, bundling, rework and returns dispositioning. Arvato also manages break bulk shipments for cross-border e-commerce. Raoul Kuetemeier: "From our new site in Hong Kong we serve more than a dozen markets in Asia and are close to the major manufacturing hub in South China."

For warehouse operations and the smooth flow of goods, the distribution center is equipped with twelve dedicated loading docks, 3,000 pallet locations in high racking, 500 shelve bins, 100 pallet locations in temperature-controlled storage and two production lines, including heat shrink wrap capability. Four in- and outbound gates are also RFID-enabled.

The implementation of this major high-tech customer is, however, only a first step towards further growth. "Hong Kong as a freeport with highly efficient import and export processes is ideal for global and regional distribution centers with fast turnover," explains Andreas Podwojewski, Senior Director of Hong Kong at Arvato SCM Solutions. "That's why we have decided to invest in additional space so that the site will become a multi-user facility in 2019 for high-tech customers."

More about Arvato’s internationalizing projects here:


About Arvato SCM Solutions

Arvato SCM Solutions is an innovative and international leading service provider in the field of supply chain management and e-commerce. Partners come together with industry specialists in the fields of Telecommunication, Hightech, Entertainment, Corporate Information Management, Healthcare, Consumer Products and Publisher. More than 14,000 employees work together to provide practical and relevant solutions and services worldwide. Using the latest digital technology, Arvato SCM develops, operates and optimizes complex global supply chains and e-commerce platforms, as the strategic growth partner for its customers. Arvato SCM combines the know-how of its employees with the right technology and appropriate business processes to measurably increase the productivity and performance of its partners.

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Arvato SCM Solutions is part of Arvato, a leading international service provider. Approximately 30.000 employees in almost 30 countries design and produce innovative solutions for business customers from all over the world, covering a wide range of business processes along integrated service chains. These include financial, SCM and IT solutions, as well as digital marketing services.

We continue to develop our innovative solutions with the focus on automation and data/analytics. Arvato's solution portfolio is used by globally renowned companies from a wide variety of industries - from telecommunications and energy providers to banks and insurance companies, e-commerce, IT and Internet providers.

Arvato is a wholly owned subsidiary of Bertelsmann.

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