APC to reduce annual operating costs by $500K by bringing logistics management in-house

SYDNEY, September 16, 2009 – APC by Schneider Electric, a global leader in data centre solutions, today announced the launch of its new green warehousing and assembly operation.

Located in Smeaton Grange, Sydney, the new warehousing, logistics and assembly business is expected to reduce APC Australia’s yearly operating costs by $500,000 and will generate new local jobs.

APC was using a third-party logistics provider to manage its warehousing and logistics requirements. It decided to consolidate its three warehouses and manage them in-house in order to not only achieve cost efficiencies, but also to improve customer service.

“Every transaction we make is focused on how we can add value to the front end of the business - to assist our sales team in securing customers and providing customers with a superior level of service,” said Gordon Makryllos, Vice President of APC, Pacific.

“By managing our own warehousing and logistics operations, we have greater control over product delivery and quality. We can demonstrate to our customers how we are committed at every level to delivering quality products and services.”

APC has also launched its own local product assembly operation at the warehouse site. APC hardware was previously assembled in China or Thailand then shipped to Australia. The parts are now shipped to Australia and assembled by the local team, minimising shipping costs by up to $10,000 a month and product damage sustained during transportation.

Local assembly enables APC to provide greater product customisation for customers as well as identify product issues before the products are sent to the customer.
The assembly and logistics business will help stimulate the local economy by creating new jobs, bringing employment opportunities to the greater western Sydney region.

APC’s warehouse has been appointed with the latest in energy-efficient, state-of-the-art logistics technologies and carefully selected equipment and fixtures to minimise carbon footprint, including:

- Hand held RF guns and mobile computer carts, eliminating the need for paper pick slips. These mobile systems allow for faster picking rates, improved accuracy and larger staging areas by eliminating fixed office spaces;

- Electric forklifts containing new-generation batteries that produce less gas and require less charging;

- Pallets made from recycled timber by local Australian company, Enviro Pallets;

- Biodegradable shrink wrap;

- High-density racking that stores up to three tonnes but has the same footprint as standard two tonne racks, enabling better space utilisation and increasing storage capacity by one third. The racking has wider spans thus reducing the amount of uprights needed and reducing the amount of metal used in the racking installation; and

- Recycled furniture.

“A founding member of the Green Grid, APC’s mission is to make energy safer, more reliable, more efficient and more productive. Our solutions and services are present at every link in the energy value chain,” said Makryllos.

“We are committed to adhering to environmental sustainability best practices in all areas of our business.”

About APC by Schneider Electric
APC by Schneider Electric, a global leader in critical power and cooling services, provides industry leading product, software and systems for home, office, data center and factory floor applications. Backed by the strength, experience, and wide network of Schneider Electric’s Critical Power & Cooling Services, APC delivers well planned, flawlessly installed and maintained solutions throughout their lifecycle. Through its unparalleled commitment to innovation, APC delivers pioneering, energy efficient solutions for critical technology and industrial applications. In 2007, Schneider Electric acquired APC and combined it with MGE UPS Systems to form Schneider Electric’s Critical Power & Cooling Services Business Unit, which recorded 2008 revenue of €2,6 billion and employed 12,000 people worldwide. APC solutions include uninterruptible power supplies (UPS), precision cooling units, racks, physical security and design and management software, including APC's InfraStruXure® architecture, the industry’s most comprehensive integrated power, cooling, and management solution. Schneider Electric, with 114,000 employees and operations in 100 countries, achieved sales of €18,3 billion in 2008. For more information on APC, please visit www.apc.com. All trademarks are the property of their owners.

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APC by Schneider Electric
Contact: Andra Mednis, Marketing Director
Phone: +61 2 8923 9331