Panalpina adds telecoms manufacturing services

Panalpina, one of the world’s largest third-party logistics providers (3PL) has added Logistics Manufacturing Services (LMS) to its operations for an unspecified, but “important global” telecoms customer in Brazil.


Panalpina adds telecoms manufacturing services


Panalpina, one of the world’s largest third-party logistics providers (3PL) has added Logistics Manufacturing Services (LMS) to its operations for an unspecified, but “important global” telecoms customer in Brazil. The company now manages the assembly of semi-knocked down units for base stations, not only executing the final assembly, but taking full ownership of the whole process – from planning to quality control – as well as warehousing and outbound delivery.

The 32,000 sqm facility replaces five separate warehouses that the customer used to operate, one for each section of its supply chain: Terminals (cell phones, tablets, modems), spare parts for terminals, semi-knocked down (SKD) assembly, finished goods and spare parts for finished goods. “SKD is where the real action is; out of the 220 people that work at the facility, 140 work on SKD,” says Mike Wilson, global head of logistics at Panalpina.

SKD alone consists of five different assembly lines. In the final assembly and testing line, Panalpina staff assemble base station boards and cabinets, and run software updates and tests. Finished products are then packaged, labeled and passed to the warehouse next door for outbound delivery. “Adding Logistics Manufacturing Services to our offering is a major part of our strategy, and is the future of our industry. It allows us to deliver faster time-to-market while cutting costs,” explained Wilson.