Honda of the UK Manufacturing (HUM) has chosen Ceva Logistics to manage its European inbound logistics operation to the Swindon plant. The three-year contract closely follows the re-start of production there following a four-month shutdown at the end of January.
Ceva’s overland distribution division Ceva Ground Europe will manage supplier collections from over 40 European locations, managing the availability and movement of parts to meet HUM’s build programme. It will also manage third-party hauliers and suppliers, as well as deliveries. The company’s logistics provision incorporates carrier management, transportation planning and execution as well as freight audit services.
“Ceva has been awarded the contract to act as our lead logistics partner for our Continental Europe inbound parts supply,” said Richard Marlow, Senior Staff Administrator, Logistics Planning at HUM in Swindon “This work has previously been undertaken by various logistics providers working directly for the component supplier and supports HUM's strategy to convert all inbound supply to an 'ex-works' type system. Whilst Ceva will take on responsibility for our continental Europe supplier conversion the UK-based suppliers will continue to be serviced by NYK Logistics and TDG logistics, which maintain their existing operations.”
Marlow went on to say that Ceva will liaise with HUM's own logistics planning group to ensure all collection plans are developed and undertaken accurately. It will also communicate with the Honda-owned SDC, which provides warehousing and parts sequencing services for HUM.
SDC (derived from South Marston Distribution Centre) is the local name for the Honda Logistics transport and warehousing company, a fully owned subsidiary of Honda Motor. Though separate from HUM, SDC now undertakes all of HUM's direct warehousing operations in Swindon.
The contract will be subject to Ceva’s Zero Defect Start-up Program. “This is a the standard project implementation methodology that Ceva employs for new business start-ups and HUM has been happy to follow this approach for this particular contract development activity,” said Marlow.
“Our ZDS process lets customers define the specific quality and service levels customers expect, and provides the framework for us to meet those standards,” said Ceva spokeswoman Helen Castro.
“The 'stage gate' processes provide clear project development activities and establish milestone confirmation points to ensure that development is on track,” added Marlow. “It means that activity is planned effectively and minimises risk to the business at start-up.”