FedEx Ground, the FedEx small-package ground delivery unit, plans to build a new package sortingand delivery station in Chicago as part of an ongoing nationwide network expansion.
Expected to open in late 2011, it will be the fifth major facility in the metropolitan area ofChicago (Chicagoland) to be built in the village of Grayslake joining four others in serving theground shipping needs in the Chicago area.
In line with the company’s expansion and transit time acceleration plans, the new FedEx Grounddistribution centre is expected to boost daily package volume capacity and further enhance thespeed and service capabilities of its network, FedEx said in a statement.
The 19,881 sqm facility will feature the latest automated material handling technology forsorting packages dispatching up to 130 vans per day to make deliveries in the area. The workforceis projected to include initially more than 200 full-time and part-time employees and could grow toalmost 500 when the facility is operating at full capacity.
Since embarking on its expansion plan in 2002, FedEx Ground has opened nine new hubs featuringthe most advanced material handling systems and expanded and/or relocated more than 500 localfacilities. The network enhancement plan has resulted in accelerating ground service delivery byone day or more in more than half of the United States.
FedEx Ground now delivers more than 50% of packages in two days or less and more than 80% ofpackages in three days or less. Additionally, average daily package volume has increased by morethan 50% from 2.1 million in 2003 to more than 3.3 million today.
“Enhancing our distribution capability in the Midwest is an important step in our ongoingefforts to increase the size, speed and efficiency of our network,” said James T. Primm, vicepresident of the Central Region for FedEx Ground. “This new facility will enable us to meet thegrowing demand of local shippers and transport shipments across the country.”
FedEx Ground specialises in cost-effective, small-package ground shipping, offering dependableB2B delivery or convenient residential service. With a network of more than 500 distribution hubsand local pickup-and-delivery terminals, FedEx Ground has a workforce of more than 70,000 employeesand independent contractors who use more than 20,000 motorised vehicles to deliver over 3.5 millionpackages daily throughout the United States and Canada.
