Walmart Opens New Consolidation Center in Pennsylvania; Mike Gray and David Guggina Share
LEBANON, PA - When running an operation as widespread as Walmart, consolidation is key. The retailer knows a thing or two about the topic and will soon be opening a new high-tech consolidation center in Lebanon, Pennsylvania. The facility will service all 42 regional distribution centers across the United States, with plans to service fulfillment centers in the near future.
“We’ve made continued investments in our people, facilities, and technology to ensure we have the right product, in the right place, at the right time,” said Mike Gray, Senior Vice President, Supply Chain Operations. “As part of these investments, the Lebanon facility will provide even more opportunities for small- to medium-sized suppliers who do not ship nationwide, the ability to provide product to all 4,700 Walmart stores.”
The new 400,000-square-foot facility—the second of its kind—will bring nearly 1,000 additional jobs to the area and can enable three times more volume to help Walmart deliver the right product to the right store.
Consolidation centers have the ability to receive general merchandise items from suppliers in smaller freight loads, known in the industry as less than a truckload (LTL), and consolidate them into larger freight loads, known as full truckloads (TL). According to a press release, suppliers will now be able to deliver merchandise to one singular location for consolidation versus shipping separate orders for each of the 42 regional distribution centers.
“Walmart is creating the future of the supply chain—a modern system that pairs the latest in software and automation technologies, with a highly trained and specialized workforce of Walmart associates—to disrupt the industry as we know it,” said David Guggina, Senior Vice President of Innovation and Automation, Walmart U.S. “It’s an exciting time to join our second high-tech consolidation center in Lebanon. At this facility, we’re implementing the technologies Walmart will continue to roll out throughout our supply chain network.”
Stay tuned as Walmart continues to make innovative plays like this one.