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Dennis Hissink : April 27th 2004 - 10:30 CET

SanDisk opens first retail distribution in China


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SanDiskSanDisk announced that it has opened its first distribution center in China, in the Futian Free Trade Zone of Shenzhen near Hong Kong. The facility, located in a five-floor, 59,203-square-foot building, will house packaging and shipping operations for Asia and the Pacific Rim. Managed by Modus Media, Inc., an international fulfilment company headquartered in Westwood, Mass., the center will supply SanDisk retail products to China, India and Southeast Asia, as well as to Australia and New Zealand. Products will be shipped to Shenzhen direct from manufacturing plants in China and Taiwan. Previously, they were sent to SanDisk's distribution center in Raleigh, North Carolina, which facilitated shipment to Asia.
SanDisk opens first retail distribution in China "This new facility allows us to save time, offer quicker turnaround on orders to customers and have a presence in the region," said Alex Chan, SanDisk marketing and sales manager for Asia/Pac Rim. Chan, who is based in Hong Kong, added, "It's a relatively new building-only 18 months old-and we can acquire more space in it as we grow."

Modus competed with other companies for the contract, although it has a history of doing fulfillment work for SanDisk in Europe and the United States. The company opened an 80,000-square-foot facility in downtown Shenzhen, within one mile of a primary commercial boarder crossing to Hong Kong, in January 2002. A year later, Modus launched its Futian Solution Center in the Free Trade Zone, where it provides clients with Just-In-Time (JIT) and Configure-To-Order (CTO) manufacturing fulfillment business models.

With its role managing the Futian facility, Modus will procure all product packaging for SanDisk retail markets in Asia and the Pacific Rim. And it will ship directly to Asian distributors, including ones in China that operate from Shanghai, Beijing and Shenzhen.

"SanDisk's decision to continue its global supply chain innovation and execution with Modus by utilizing Modus' Asia region is a tremendous validation of our partnership," said Jacob House, the company's global business process manager for SanDisk. "Our partnership with SanDisk now epitomizes our core offering of being global, integrated and trusted. We eagerly look forward to continuing to innovate for SanDisk in its worldwide supply chain."




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