SCA Wood UK, which manufactures and distributes timber and associated products for the home improvement and builders’ merchant sector, has invested more than half a million pounds in racking, lighting and technology at its Melton site in order to support its new distribution model.

The new racking system at Melton, which was supplied by Premier Storage & Office Solutions, comprises 800 bays, 3,200 locations and totals 4,800m (linear). SCA Building & Supply Solutions (BSS) has four sites across the UK, including at Stoke (DIY – distribution only); Welshpool (builders’ merchants – production and distribution); Cumbernauld (builders’ merchants Scotland – distribution only); and Melton (DIY and builders’ merchants – production and distribution).

“In June this year the company stopped supplying the National Builders Merchant Group from its Melton (Humberside) location,” said John Griffiths, managing director at SCA Wood UK BSS.

“Supply had been in bulk to its distribution centres and we therefore needed to remodel our distribution capabilities, especially at Melton,” he continued.

Following significant growth in market share, SCA Wood’s Welshpool site was nearing capacity and it had been the company’s long-term plan to split distribution of England and Wales between Welshpool and Melton as capacity was available due to changes in customer supply.

“The capacity issues at Welshpool were restricting further growth in market share, so additional storage and distribution capacity was urgently required,” said Mr Griffiths.

“The investment at Melton, will allow current volumes to be shared, and provides additional headroom for growth, in line with our strategic objectives. Both Melton and Welshpool will hold a common range, which allows flexibility for customer deliveries in addition to improving availability.”

“The new distribution model replicates our product range in our Welshpool and Cumbernauld merchant operations,” added Jan Gritter, general manager at the 20-acre Melton site.

“The remodelling required us to invest in the site to allow us to deliver direct to customer, as opposed to delivering in bulk. Our product range can be delivered to any of our merchant customers from either Cumbernauld, Welshpool and now, Melton.”

SCA worked with DHL Business Solutions to model the most efficient way to deliver to its customer base.

“We have also included into our logistics modelling deliveries of raw materials from various dock locations and intercompany transfers,” said Mr Griffiths.

“We are also developing random storage of finished goods and wave picking techniques by utilising our system driven warehouse management systems and scanning products in and out of warehouse locations.”

The company also took the opportunity to upgrade its Wi-Fi systems and motion detector lighting within the 200,000ft2 distribution warehouse.

“I am pleased we were able to remodel Melton to satisfy the future strategy of our business, and to double the capacity to supply the merchant market,” said Mr Griffiths.

“We are excited by this change, which we know will further support our customers’ needs and allow us to deliver our long-term business plan.”