FLORENCE, Ky., (Sept. 30, 2011) – Meritor, Inc. (NYSE: MTOR) is demonstrating its ongoing commitment to becoming a leading logistics provider, through the implementation of six distinct process improvements in the capabilities of its Aftermarket Services Group to serve current customers and other suppliers seeking to outsource.
Earlier this year, the company launched an aftermarket-based, third-party multiple logistics service called Meritor Aftermarket Services. It offers unique logistics competencies including packaging and kitting, material planning, warehousing, distribution, customer support, core consolidation, remanufacturing and consulting services.
The six improvements include:
• Implementation of a tugger-and-cart system that reduces travel time needed by shipping conveyors and improves productivity by 15 percent.
• Expansion of fixed storage locations, which optimizes internal order processing routing making it twice as efficient.
• Consolidating products on picker cart, which eliminates the need for multiple trips and boosts productivity by more than 33 percent.
• Consolidating bulk order processing, which allows partial pallet orders to be combined with other parts and boosts efficiency by 14 percent.
• Improving order processing with a high-velocity pick zone that reduces congestion and improves productivity by 25 percent.
• Eliminating the order-merge process on the warehouse floor thereby raising productivity significantly.
“Our smart business system and process improvements help our customers reduce costs by maximizing productivity while reducing delivery lead times,” said Craig Cartmill, general manager, Worldwide Aftermarket Operations, Meritor. “Helping our customers improve service levels and drive cost out of their supply chain is our primary focus.”
To support its global aftermarket operation – consisting of warehousing, inventory and distribution processes – Meritor operates distribution centers in Australia, Brazil, Canada, China, Germany, India, Mexico, United Kingdom and United States, and serves nearly 6,000 customers globally.