MILAN, Italy - CEVA Logistics was appointed by Daikin Italy to reorganize its logistics system in an effort to provide its clients throughout Italy with faster sales services and supplies of spare parts.
The company currently uses two permanent and two seasonal warehouses in Italy. The main warehouse is located in Somaglia, in the province of Lodi. Measuring 70,000 m2, it serves as a storehouse for products and spare parts for Italy and all of Southern Europe. To guarantee the highest level of quality standards, Daikin intends to manage product quality control and verify any returns from clients directly through this facility. The second permanent warehouse is situated in Rome and more specifically serves Central and Southern Italy.
To further expedite its provisioning services in Sicily and Sardinia, Daikin will rely on two warehouses in each of the islands to will operate seasonally when requests for devices and spare parts are at their highest. The volume handled by Daikin in 2007 totals approximately 138,000 m2, 25% higher than in 2006.
"We have decided to revolutionize our logistics system by turning to CEVA in view of our future projects, which require increasingly internationalized services. Having a single warehouse for Italy and Southern Europe will allow us to guarantee more product availability and respond more efficiently to market demand, in turn making us more flexible and competitive," says Claudio Bettella logistics manager and sales administrator for Daikin Italy.
Furthermore, Daikin will have exclusive use of eight CEVA Logistics vehicles personalized bearing the Daikin trademark and used to deliver products and spare parts to clients. All the vehicles are Euro-4 compliant, in accordance with company directives on limiting the environmental impact of its activities.
"We are delighted to work with Daikin. To increase our value add and efficiency all Daikin's orders and deliveries will be managed digitally by CEVA. This way, the company may expedite processing and know the status of orders and deliveries at any time." said Gianfranco Sgro, CEVA COO South Europe, Middle East and Africa.
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Daikin Industries Ltd. is a Japanese multinational and worldwide leader of home, commercial and industrial fixed air conditioning systems. Founded in 1924, it is present in 77 countries with 33,776 employees and 31 production centers. In the 2006 fiscal year (April '06 - March '07) it earned Yen 912 billion (+15% over 2005), equivalent to Euro 6,080 million*. Forecasts estimate Yen 1,320 billion in revenues for the fiscal year 2007, equal to roughly Euro 8,800 million*. Daikin has operated in Italy since 1968. In 2002, Daikin Air Conditioning Italy SpA was incorporated and today is the leader in Italy with a 25% market share, three facilities, 170 employees and earnings for the 2006 fiscal year (April '06 - March '07) of Euro 293 million (+18% over 2005). Earnings for 2007 are forecasted to exceed Euro 350 million. In 2006, Daikin Industries Ltd. acquired O.Y.L. Industries Bhd, a company with registered office in Malaysia and active in the air conditioning, refrigeration and air filtering sectors. Through this Euro 1.7 billion operation, Daikin claimed its position as second leader worldwide in air conditioning systems in terms of quantity and value. Following the acquisition of O.Y.L., today Daikin controls a new facility near Rome that produces a wide range of refrigerator groups.
*based on the conventional conversion rate of 150 yen per euro.