{"id":91450,"date":"2026-06-24T21:02:33","date_gmt":"2026-06-24T21:02:33","guid":{"rendered":"https:\/\/www.europesays.com\/ch\/91450\/"},"modified":"2026-06-24T21:02:33","modified_gmt":"2026-06-24T21:02:33","slug":"nestle-ups-automation-use-with-latest-distribution-center-2","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ch\/91450\/","title":{"rendered":"Nestl\u00e9 ups automation use with latest distribution center"},"content":{"rendered":"\n

This story was originally published on Supply Chain Dive. To receive daily news and insights, subscribe to our free daily Supply Chain Dive newsletter<\/a>.<\/p>\n

Dive Brief: <\/p>\n

Nestl\u00e9 USA opened a 700,000-square-foot distribution center equipped with digital technologies and automation systems in Arvin, California, part of a broader network enhancement, according to a June 10 press release<\/a>.<\/p>\n

The site is meant to strengthen the consumer packaged goods manufacturer\u2019s West Coast distribution network and features the largest automated storage and retrieval system within the company\u2019s global network, per the release.<\/p>\n

Nestl\u00e9 invested $330 million into the facility\u2019s construction, part of its plan to spend $25 billion on bolstering U.S. operations over a 10-year period beginning in 2020.<\/p>\n

Dive Insight: <\/p>\n

Nestl\u00e9 unveiled its latest high-tech distribution center as it continues to focus on creating a leaner and more agile business.<\/p>\n

The Hot Pockets maker is operating with \u201ca sense of urgency\u201d to enhance its brand portfolio and gain market share, U.S. CEO Marty Thompson told Food Dive<\/a> last year, months after the company announced plans to cut about 16,000 jobs<\/a> across its global workforce.<\/p>\n

The cuts, which were set to take place over two years, include roughly 4,000 layoffs in Nestl\u00e9\u2019s supply chain and manufacturing functions, with a goal of cutting costs by 3 billion Swiss francs, or $3.8 billion, by the end of 2027.<\/p>\n

As it restructures its workforce and targets expense reductions, Nestl\u00e9 said its newest distribution center is designed for flexible operations and will use targeted automation to boost agility and resiliency while supporting high demand during peak seasons.<\/p>\n

The Arvin facility is the second high-tech distribution facility Nestl\u00e9 has introduced into its network in the last two years, according to the release, joining a $675 million beverage factory and distribution center the company opened <\/a>in Glendale, Arizona, last year.<\/p>\n

\u201cWhile Nestl\u00e9 has been adding digital and automation capabilities across many of its distribution centers in recent years, the Arvin, California facility and the Glendale, Arizona site represent the first new builds where these capabilities were intentionally designed into the operations from the ground up,\u201d a Nestl\u00e9 spokesperson told Supply Chain Dive in an email.\u00a0<\/p>\n

The Arvin facility, which has been fully operational since May, features automatic storage and retrieval system crane aisles, laser-guided vehicles and layer-picking robotics, the spokesperson said. As it pushes a tech-focused approach to its supply chain operations, Nestl\u00e9 is also updating its software stack, as it is currently installing a new enterprise resource planning system<\/a> globally.<\/p>\n

Rival Hershey is also leveraging technology<\/a> across sourcing, manufacturing, delivery and planning as it seeks to improve productivity and reduce inventory, Chief Supply Chain Officer Jason Reiman said during the company\u2019s Investor Day in March. The parent of the Reese\u2019s brand is specifically leaning on tools such as decision-intelligence software, cost modeling and automated delivery-unit assembly.<\/p>\n

Beyond advancing its own technology and automation initiatives, Nestl\u00e9 is targeting sustainability gains with the Arvin site. It plans to source 100% of the facility\u2019s electricity from renewable sources while operating it as a zero waste site by recycling, composting or recovering energy from waste materials, per the release.<\/p>\n","protected":false},"excerpt":{"rendered":"This story was originally published on Supply Chain Dive. To receive daily news and insights, subscribe to our…\n","protected":false},"author":2,"featured_media":91451,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[126],"tags":[45695,3033,46082,2463,199,17308,46083],"class_list":["post-91450","post","type-post","status-publish","format-standard","has-post-thumbnail","category-nestle","tag-arvin","tag-california","tag-distribution-center","tag-global-workforce","tag-nestle","tag-nestle-usa","tag-west-coast-distribution-network"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/116807109541667807","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/91450","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=91450"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/91450\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/91451"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=91450"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=91450"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=91450"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}