Kenco Logistic Services LLC has been selected to establish and operate a second direct-to-consumer distribution center in Chino, Ca., for Keurig, Incorporated, the leading manufacturer of single-cup home brewing systems in the United States.
According to John Heller, vice president of finance at Keurig, “Kenco has been highly effective for us through its national DC in Chattanooga. When we decided it was time to establish a second DC in California, it was a logical choice to stay with this trusted partner. We have been pleased with Kenco’s high-quality service, including their 99.996 percent inventory accuracy.”
Andy Smith, KLS president and chief operating officer said, “We are delighted to expand our relationship with Keurig. Their commitment to the highest customer satisfaction is right in line with Kenco’s dedication to operational excellence.”
The Chattanooga DC has been managed and operated by KLS from its 390,000-square-foot multi-client facility since 2007. The new Chino location is in a 170,000-square-foot multi-client Kenco facility. For both locations, KLS downloads customer orders real-time from a direct interface with Keurig’s on-line system.
Services provided by KLS include inventory accuracy and replenishment, inbound shipment scheduling, order processing, packaging and shipping. KLS also provides a variety of kitting services for Keurig’s single-serving K-Cup portion packs, as well as preparing demonstration kits, which include a Keurig brewer bundled with samples of coffees, teas, condiments and marketing material.
An enhancement being introduced by KLS for Keurig at the Chino location is the introduction of lightweight wrist-worn scanners.
“These units streamline the product scanning process, as well as reduce fatigue, compared to traditional hand-held scanners,” Mr. Smith said. “We expect to see additional improvements in our accuracy rates based on previous experience.”