| Ford is a leading global automobile company located in every market in the world. The New York Tri-State Region is one of Ford’s largest customer bases. Operating in a facility built in 1954, later expanded in 1974 proved inefficient, cumbersome, and therefore costly. Ford needed to completely restructure its warehouse and distribution system in order to improve its customer service by reducing the time and expense to get parts to its local dealerships. |
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Through a series of strategy sessions and detailed location modeling, it was determined a new warehouse and parts distribution center was required. CB Richard Ellis’ challenge was to implement a plan to accommodate Ford’s required operation and construction needs. CB Richard Ellis in conjunction with Ford Land, assembled the project team to develop a strategy and implementation for this key project.
Results
CBRE as Ford Land’s alliance partner, negotiated savings for the “PDC Center”. As an example, as the lowest winning developer bid was accepted, CBRE was successful in further negotiating the final proposal which resulted in lowering the final total lease consideration. This enabled Ford to continue implementing this overall project under budget. As a result of CB’s partnership with Ford, parts delivery time has been reduced from roughly 36 hours to 24 hours, dealer emergency orders have been reduced by half, and Ford’s overall supply chain costs have been reduced.
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