Cat Logistics Provides Integrated Logistics to Mitsubishi

Caterpillar Logistics Services, Inc. (Cat Logistics, Peoria, Ill.), a wholly owned subsidiary of Caterpillar Inc., announced an agreement with Mitsubishi Heavy Industries (MHI) and Shin Caterpillar Mitsubishi (SCM) to provide an integrated logistics solution in support of their respective service parts operations in Japan.

Cat Logistics will provide warehouse operations, limited inventory management, transportation management, packaging and information technology, resulting in improved service to MHI and SCM customers along with improved distribution efficiency.

Cat Logistics will manage the construction of a leased state-of-the-art 50,000-meter logistics facility to be located in Sagamihara, Japan, near Tokyo, with an opening scheduled for February 2008. Approximately 250 Cat Logistics professionals will provide logistics services, enabling MHI and SCM to better serve and provide greater value to their customers.

This agreement is the result of an extensive 18-month study conducted by Cat Logistics in order to provide detailed recommendations to improve MHI’s and SCM’s Japan-based supply chains to world-class levels.

MHI’s diverse lineup of products includes industrial and general machinery, while SCM manufactures and sells construction equipment such as hydraulic excavators, track-type tractors, wheel loaders and paving equipment.

"This agreement is the result of a strong collaboration between MHI, SCM, and Cat Logistics,” said Mary Bell, chairman and president, Caterpillar Logistics Services, Inc., “to determine the logistics solution required to provide the greatest benefit to MHI and SCM customers."

Source: Caterpillar Logistics Services, Inc.

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