Following a review of its global distribution chain, Bulten will close one of the two logistics centres in Sweden, at a cost of approx. SEK 1.5 million.
The review comes as Bulten seeks more efficient logistics in order to reduce lead times and streamline processes, while also reducing costs and environmental impact.
Utilising capacity in the warehouses close to production units to a greater extent, enables a more efficient supply chain, the group said. Accordingly, significant investments have been made in a new warehouse near Bulten’s factory in Germany, and in a new surface treatment plant and a logistics centre in Poland. The streamlining will involve the closure of Bulten’s logistics center in Gothenburg, one of the company’s two such centres in Sweden.
“Streamlining the distribution chain will allow better transportation flows and thereby also reduce environmental impact. We also reduce costs and capital tied up,” said Anders Nyström, President and CEO of Bulten.
The goods flows that previously passed through Bulten’s logistics centre in Gothenburg will now be handled by the centre in Hallstahammar, Sweden, and by the above-mentioned logistics centres in Germany and Poland. Ten employees will be affected and trade union negotiations have been initiated. The closure is planned for completion by the end of the second quarter of 2023.