Company News
Kraft Heinz Invests in Automated CPG Distribution Center
The Kraft Heinz Co. has announced a more than $400 million investment to build one of the largest automated CPG distribution centers in North America. Located in DeKalb, Ill., the 775,000-sq.-ft. national distribution facility will feature automation technology and national railway access, enabling Kraft Heinz to drive greater supply chain efficiencies and distribute its products to retail and foodservice customers faster. The facility is expected to bring more than 150 jobs to the region.
“As we continue on our journey to lead the future of food, our talented North America teams and collaborative external partners are innovating at a rapid pace to expand our supply chain capabilities,” says Carlos Abrams-Rivera, executive vice president and president, North America at Kraft Heinz. “The DeKalb distribution center is expected to play a critical role in our larger distribution strategy, moving more than 60 percent of Kraft Heinz dry goods in North America through our automated facilities. It’s a testament to the dynamic, out-of-the-box thinking of our supply chain teams whose work enables us to operate with greater efficiency and agility every day.”
The facility’s design includes a 24/7 automated storage and retrieval system with the ability to drive twice the volume for Kraft Heinz customers, distributing more than 60% of the company’s foodservice business and approximately 30% of all dry goods. It is also expected to contribute to Kraft Heinz’s ability to reduce its operational environmental footprint through the implementation of sustainable technology and solutions to reduce the waste produced at the facility and minimize its overall environmental impact.
“We’re driving end-to-end transformation across our entire supply chain, investing in automated technology and digitized solutions to increase the agility of our logistics operations,” says Erin Mitchell, vice president of logistics and head of network restructuring at Kraft Heinz. “The construction of our new DeKalb distribution center is the latest example of this transformation in action. We have designed it to help ensure the delivery of our delicious, innovative and iconic products at the right time for our customers and consumers for years to come.”
Kraft Heinz has partnered with Trammell Crow Company (TCC), a global commercial real estate developer; Krusinski Construction Co. (KCC), as general contractor; Daifuku, as integrated logistics automation provider; and the City of DeKalb and the DeKalb County Economic Development Corporation (DCEDC) on the development of the facility.
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