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Volkswagen has signed an extension to its contract with Ceva Logistics for the operation of its 132,000 sq.m spare parts centre in Vinhedo, Brazil, north of São Paulo. Ceva has been managing the facility for ten years and has secured the new contract based on operational excellence, according to the company.

The Vindedo facility handles more than 90,000 spare parts on a daily basis delivered to the centre from 600 suppliers. It is the largest facility of its kind in Latin America, says the company, and has been given VW’s top-ranking Green status in its Logistics Process Assessment (LoPA) programme. The VW audit assessed inbound processes, internal handling, materials resources, KPI effectiveness, outbound processes and customer satisfaction. It is the first time Volkswagen has awarded its top-ranking Green status to a company since introducing its LoPA programme.

As part of the new contract extension Ceva will focus on performance and process improvement, adding operational activities, including using cameras to check all items are correctly packed, and using pagers and tablets to digitise the receiving and packaging processes. The company said this would further reduce the time vehicles have to spend on the dock and increase operational productivity.

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“Our entire team is extremely proud to have been awarded this new contract and to have won the Green status at Vinhedo,” said Nadia Ribeiro, managing director LATAM at Ceva. “This is clear testimony to Ceva’s dedication and expertise in automotive logistics. The productivity and efficiency of our operations at the site will be further enhanced in the years to come with the implementation of innovative technology projects.”

Employees working at Vinhedo spare parts centre carry out tasks including receiving, checking, packaging, exports, warehousing and shipping. They also manufacture wooden packaging for storage and exports.

For more insight on how the automotive industry is using new technology to design and execute greener, more sustainable supply chains register for our Livestream Hour on July 8: Rebuilding greener supply chains.