Volvo CE to open parts distribution center in Canada

Volvo CE to open parts distribution center in Canada

Toronto area center to provide faster shipment of parts to Canadian dealers.

November 2, 2017
CDR Staff
Construction Equipment & Products Mixed C&D
Volvo Construction Equipment (Volvo CE), with U.S. offices in Shippensburg, Pennsylvania, is opening a new parts distribution center in the greater Toronto area in early 2018. The new 181,000-square-foot parts distribution center in Canada replaces a regional parts depot.

“This new facility is a key step in our journey to be number one in machine uptime in the industry,” Ken Silverman, vice president of aftermarket and customer solutions, Volvo CE Region Americas, says. “Today’s customers have an expectation of next-day delivery, and the new distribution center, located near Toronto’s main international airport hub, will improve our lead times and give us the ability to deliver parts anywhere in Canada by early a.m. the next day.” 

The distribution center allows Volvo’s more than 40 dealer locations in Canada to restock both common and business-critical parts faster, the company says. Currently, Volvo CE ships parts to Canadian dealers from the U.S. 

“For us, the new distribution center is significant because it will help avoid customs delays,” Jack Bradley, vice president of supply chain for Canadian dealer Strongco, says. “Now we will have much faster lead times and easier access to fast-moving parts.” 

“This Canadian parts distribution facility will give our Strongco customers improved access to critical Volvo OEM (original equipment manufacturer) parts inventory on this side of the border,” Oliver Nachevski, vice president of the Construction Equipment Division for Strongco, says. “This is a very exciting announcement as both Strongco and our customers will benefit from enhanced parts availability, which will enable us to offer next day express delivery capabilities.” 

In 2015, Volve CE opened a 1 million-square-foot distribution center in Byhalia, Mississippi, in addition to secondary parts distribution centers in Columbus, Ohio and Reno, Nevada. The company says the Canadian center will be able to deliver critical parts to any dealer across Canada by 8 a.m. the next day after the order is placed. 

“Clearly this is a big step in Volvo’s commitment to be number one in uptime in the industry,” Colin Matejka, chief operating officer, Great West Equipment in Vernon, British Columbia, says. “This is really big for us and our customers since we can now ensure quicker delivery. For our staff, this is a huge morale boost—now we can confidently look a customer in the eye and commit to 24-hour delivery without hesitation.” 

The Support Distribution Center will be operated by Volvo Group Service Market Logistics. In addition to providing parts for Volvo CE dealers, the distribution center will also provide parts for Volvo’s other business areas.