Malaysian Investment Development Authority chief executive officer Datuk Azman Mahmud (5th from L) and BMW Group senior vice- president region Asia, Pacific and South Africa Hendrik von Kuenheim (4th from L) during a visit to the new Regional Parts Distribution Centre, Senai, Johor.

BMW Group Malaysia, the sole distributor of BMW and MINI cars in the country, has launched its new Regional Parts Distribution Centre that will supply parts to 23 countries.

With over RM130 million worth of investments, the distribution centre is built on a 7.2-hectare (72,000 square metre) piece of land in the Free Industrial Zone in Senai, Johor Bahru.

It is one of the largest BMW facility of its kind in the Asia Pacific region.

The Regional Parts Distribution Centre serves as a logistics warehouse, as well as parts distribution centre for after sales parts, components and lifestyle merchandises for the BMW, MINI and BMW Motorrad.

“The record sales performance we achieved in Asia last year and in the first quarter of 2017 is a testament to the strength of the BMW Group in the region. In that, we believe Malaysia to be a key market that supports our strategic business direction in expanding our footprint in the region.

“The opening of the new BMW Group Regional Parts Distribution Centre here will help the BMW Group to continue driving our vision to deliver the best in automotive innovation and value to our customers in this region,“ said its senior vice-president region Asia, Pacific and South Africa Hendrik von Kuenheim during the opening ceremony.

Its previous Regional Parts Distribution Centre was established in 2004 located on a 1.5-hectare (15,000 square metre) piece of land in Tanjong Pelepas Port. By moving into the new centre, the group has tripled its capacity to 4.5 hectare (45,000 square metre).

Also present at the opening was the Malaysian Investment Development Authority chief executive officer Datuk Azman Mahmud, who said that the new facility not only reflects the group‘s commitment to boost the regional competitiveness of our nation, but is providing greater employment opportunities and businesses for Malaysians.

“BMW Group has engaged 55 local service providers with an annual contract value of more than RM25 million. The exchange of technological know-how will surely contribute to developing a more innovative and talented workforce,“ said Azman.

The new Regional Parts Distribution Centre has a total of 25 zones that consist of 17 packing stations, high-compliance safety racking system, bulky station, bulky parts packing station, lifestyle products storage area and a dangerous goods confined area. It has 76,000 locations to store the parts, 60 per cent or 46,000 locations are†located at its Mezzanine location.

Its overall racking system was built in accordance with the global NFPA13 stadards, which is the industry benchmark for design and installation of automatic fire sprinkler systems, NFPA 13 addresses sprinkler system design approaches, system installation, and component options to prevent fire deaths and property loss. It was also†verified by AXA.

Most of the time, the Regional Parts Distribution Centre has at least 44,000 part numbers that are valued at RM142 million to RM151 million. The new centre is expected to create 120 new jobs and it is 100 per cent run by our local talents.

“I am excited to know that BMW Group has future plans to expand this facility to 6.5 hectares (65,000 square metre) by 2025,“ Azman said.

This is the third facility BMW Group has in Malaysia. Apart from this distribution centre, the group‘s headquarters located in Cyberjaya which also functions as its regional training centre followed by its vehicle assembly plant in Kulim, Kedah, that soon will be exporting its 3 Series, 5 Series and 7 Series to the Philippines and Vietnam next year.

Apart from Malaysia, the new Regional Parts Distribution Centre distributes to Singapore, Thailand, South Korea, Australia, New Zealand, Indonesia, Taiwan, Hong Kong, Macau, Philippines, Brunei, Laos, Cambodia, Myanmar, Vietnam, Bangladesh, Mongolia, Sri Lanka, Tahiti, New Caledonia, Fiji, and Guam.

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