Utility's New Parts Warehouse Serves Growing Markets in Central, Eastern U.S.

Utility Trailer Manufacturing's new, larger parts warehouse near Cincinnati was opened to fill orders in the central and eastern United States, and shows the builder's commitment to serving its dealers and customers, executives said at an official opening on Wednesday.

The Aftermarket Parts Distribution Center at Batavia, Ohio, is over three times larger in area and, with a higher ceiling, has five to six times the cubic capacity of the previous location, also near Cincinnati, executives said. The new Batavia location encompasses 21 acres of land with a 243,000-square-foot warehouse, a 10,000-square-foot office, 24 dock doors, and parking spaces for 36 trailers.

More than 8,000 parts items are now stocked, compared to 6,000 at the old location, said Mike Moore, the facility's director. About 60 percent of all parts orders are sent from this warehouse and the rest are shipped directly by suppliers to dealers and trailer users. Many trailer makes and types are supported by Utility's aftermarket parts operation.

The building is large enough to store everything inside and to move tractor-trailers inside for loading and unloading, something truckers appreciate, Moore said. Racks for 53-foot-long parts are placed diagonally so they fit in areas between roof-supporting posts that are 40 feet wide, and also to make for easy handling by forklifts.

The building was formerly used by Georgia Pacific to make corrugated cardboard products, said Stephen Bennett, a vice president. Utility bought it from the company that acquired the paper products firm and moved production elsewhere.

Over 5,000 stocked items and 200 of Utility's aftermarket parts suppliers are currently shipping from the new location, which began operations on December 20. The move was part of Utility's strategic plan to provide a centralized shipping point for reaching all parts of North America and to increase capacity to meet current demands by offering more parts from more suppliers.

"Utility is a West Coast company," said Craig Bennett, senior vice president, sales and marketing, noting that its headquarters and "home" plant are in California. Executives have studied where it should locate its main parts warehouse, and "California in the long run is not the place to be" because of changing patterns in commerce. So a facility in Los Angeles has been closed.

East- and Gulf-Coast seaports will become more important as shipping destinations starting in 2014, when the enlarged Panama Canal opens, he said. And for now, Utility ships many new trailers and parts to dealers and companies in the central states. It also builds trailers east of the Mississippi.

At the distribution center, workers prepare parts shipments sent via 21 "milk runs," dedicated regional and long-haul delivery operations run by Crum Trucking of Batesville, Ind., Moore said. Workers custom-cut roof and sidewall materials and send them in coils or on special racks in Crum's trailers.

The center has a railroad spur that would allow rail movements in and out, Moore said. This will work in Utility's favor as rail carriage of freight becomes more important under the Obama Administration, Craig Bennett said.