INDEPENDENCE, Mo.—AGCO Parts has upgraded its Independence Parts Distribution Center, which is one aspect of the company’s investment to upgrade parts delivery by establishing full-line parts stocking at four of its eight parts distribution centers in North America. A ribbon cutting ceremony and tour was held Wednesday, May 11.
The Independence distribution center occupies 900,000 square feet of underground storage, which is a portion of the 4.2 million square feet of Carefree Industrial Park underground warehouse, manufacturing and distribution that was blasted out of solid rock. The average depth of the AGCO parts center is 140 feet under ground.
Joe DiPietro, director supply chain, AGCO Parts, North America, noted that the professional applicator division equipment, including TerraGator and RoGator parts, are main lines of parts stocked at the Independence center because of the large volume of professional application equipment sold in the seven-state area serviced by this center. The original and master full-stocking location is in Batavia, Ill where the AGCO Parts North American offices are located.
AGCO’s Stockton, Calif., and Regina, Saskatchewan, Canada distribution centers have already been reorganized to be fully stocked centers. Other North American AGCO parts center locations are in Kitchener, Ontario, Canada; Harrisburg, Penn.; Norcross, Ga.; Dallas, Texas.
“This is another opportunity for us to better support our dealers and them to better support our customers,” said Bob Crain, senior vice president and general manager, AGCO North America. “This is just another piece of a 200-piece puzzle for investing in the company to make us a better company.”
The Independence center has increased its parts inventory nearly 40 percent and added nine employees to stock and pull parts ordered. For 90 percent of the dealerships served by this location, the upgrade will make it possible to deliver parts 2 to 3 days faster than before, with a large delivery area that can arrive next-day and even earlier delivery for emergency and priority shipments. Value of the center inventory now totals about $100 million continuously, noted Hans Lehmann, vice president, AGCO Parts, North America.
History has shown the Independence center will service a minimum of 230 AGCO equipment dealerships in the coming year. There currently are 13 common carrier trucks of parts hauled to dealers per day and six full truckloads of parts received into the warehouse per day.