DHL Supply Chain has opened a new global distribution hub in Narita (Tokyo) to enable internationalcustomer ON Semiconductor Corporation to expand its business in Japan.
The new Japan Global Distribution Center, which is more than ten times bigger than the oldfacility, provides upgraded world-class supply chain services to ON Semiconductor’s customers alongwith logistic networks in Singapore, Shanghai, and Manila, DHL Japan announced.
The new 36,000 sq ft (3,344 sqm) Japan GDC is dedicated to shipping finished goods to ONSemiconductor’s Japan-based customers. It serves as a local hub for the consolidation and deliveryof finished products produced both inside and outside of Japan to all customers located within thecountry. The new facility features DHL’s state-of-the-art logistics processes, a two-tieredmezzanine storage structure, and boasts a “ship through” capacity of four million units per day.
“The Japan Global Distribution Center (JGDC) greatly enhances ON Semiconductor’s operationalcapabilities in Japan,” said Brent Wilson, senior vice president of Global Supply Chain Operationsfor ON Semiconductor. “The new and expanded Narita operations center connects seamlessly to thecompany’s world-class global logistics network, providing improved capabilities in terms ofservice, quality, and responsiveness to our growing Japanese customer base. Narita is an ideallocation for this distribution operation because it offers a centralised location with closeproximity to a large international airport, our customers, and to our manufacturing, assembly andtest operations located in Japan.”
“At DHL, we are committed to providing best-in-class logistical solutions for thesemiconductor industry in Japan and across the globe,” said Victor Mok, CEO for North Asia DHLSupply Chain. “We recognise that the Japan market requires innovative and comprehensive strategiesto optimise operational efficiency. We are pleased to be partnering with ON Semiconductor as bothour companies look to grow our presence in the Japanese market.”
Noboru Matsuoka, President and Representative Director of DHL Supply Chain Japan, said: “DHL’s expertise in the technology sector is crucial in creating the right solution for ON Semiconductor.We are proud to work with such a leading semiconductor company and share its commitment todelivering their innovative devices. With this partnership, we are confident in our ability to takeon the growth path and we will continue to better serve customers exceeding their expectations.”
The ON Semiconductor Japan GDC is part of a global logistics and distributions networkoperated by ON Semiconductor and tasked with annually delivering upwards of 44 billion finishedproducts to customers worldwide. The Japan GDC is one of four distribution centers operated by ONSemiconductor in partnership with DHL, a key strategic global logistics partner for ONSemiconductor.
The other facilities are ON Semiconductor’s Global Distribution Centers (GDC’s) located inSingapore, Shanghai and Manila. The Singapore GDC was expanded in 2011 to 95,000 square feet andlogistically handles approximately half of ON Semiconductor’s annual shipments. An expansion of theManila GDC to 65,000 square feet with two-tiered storage was completed earlier this year.
“ON Semiconductor is committed to continually investing in the ongoing improvement of itsworld-class supply chain operations. We see these investments as crucial to keep pace with ourgrowing business and the needs of our global customers,” said Mr. Wilson. “In partnership with DHL,we have successfully expanded our global distribution operations and streamlined our logisticsnetwork. Supply chain capabilities are increasing seen as a differentiating characteristic by ourcustomers, and our close collaboration with DHL provides a competitive advantage in themarketplace.”
