BMW opens R260m regional distribution centre in Midrand

BMW Group South Africa (BMW SA) has cut the ribbon on its new regional distribution centre at the Waterfall precinct, in Midrand, Gauteng.

Project developer Attacq and BMW SA jointly invested around R260-million to create the facility.

This investment is in addition to the German car maker’s recent R6.1-billion injection into the Rosslyn manufacturing plant for the production of the new X3.

The vehicle plant is currently ramping up production, with the first customer vehicles already rolling off the line.

The new regional distribution centre will enable BMW SA to deliver parts three times a day to its dealerships in Gauteng, says BMW SA and Sub-Saharan Africa CEO Tim Abbott. The parts warehouse has doubled in size from the 16 000 m² of the previous facility at the BMW SA headquarters, also in Midrand, to 32 000 m², with capacity for further expansion in the medium term.

The centre will store some 600 000 parts and handle thousands of dealer orders every day. It will service 56 dealers across Southern Africa. The centre is one of 40 such large parts centres worldwide, says BMW parts logistics management VP Wolfgang Baumann.

He adds that BMW has around 25-million customers worldwide, with this number growing rapidly, as BMW sales has reached a new record in the first quarter of the year. The centre employs 115 people.

The relocation of the parts warehouse has created space at BMW SA’s Midrand head office. This space will be the site of a R260-million upgrade to the group’s Midrand facilities.

These facilities will also now host BMW SA’s SAP Shared Services Centre, currently based in Menlyn, Pretoria. The centre, which opened its doors with 100 people, is expected to grow to 1 000 employees.