Kawasaki Engines & Power Products Division Changes Distribution Operations

Grand Rapids, Mich.-based Kawasaki Motors Corp.’s Engine and Power Products Division will initiate a new storage and distribution system for its parts, accessories, handheld power products and engines. The company will partner with UPS to consolidate and streamline all elements of the distribution business that supports its dealers.

Kawasaki’s partnered with UPS as a solution to its sales growth and an expanding dealer network, coupled with a need to provide efficient, timely deliveries that satisfy end-users.

“UPS is a recognized leader in its industry, and the synergies between its systems and Kawasaki’s needs in the field are significant,” said Rodger Howe, director of operations at Kawasaki.

According to Howe, the new system, which will begin operations once all of the existing inventory is transferred to the UPS facilities in Hebron, Ky., and Mira Loma, Calif., in late August, will provide substantial benefits to the company’s dealers. Nearly 1.5 million units are expected to be warehoused at the start of the relationship.

“We’re constantly seeking new ways to improve on our service levels to dealers and this process will substantially shorten the time to get delivered items from the loading dock into our warehouse system,” said Howe.

The company will be able to take advantage of a parts planning tool from Baxter Planning Systems that is fully integrated into the UPS system. The software will enhance its sales forecasting, optimize stock planning and make it easier to manage seasonal spikes in activity.

Kawasaki has used three U.S. warehouses to support distribution: Ontario, Calif.; Atlanta; and Grand Rapids, Mich. Those warehouses will continue to provide storage and distribution needs for Kawasaki’s Consumer Products group.

Kawasaki Engines and Power Products, a division of Kawasaki Motors Corp. U.S.A., distributes gasoline engines and professional handheld power products for landscape, industrial and consumer markets.

Headquartered in Atlanta, UPS (NYSE:UPS) is the world's largest package delivery company and a global leader in supply chain and freight services.

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