Insourcing instead of outsourcing

How establishing a company warehouse spurred everyone on and shaped the company’s success


“I joined Nabtesco in 2014, during the relocation phase. For years, the logistics process had been outsourced. We wanted to turn things around, so to speak, by making warehousing an in-house process. We were all ecstatic. Our own warehouse and production achieved fast customer success. Everyone was glad to have attained a new level of independence from the main office. The employees were motivated and full of ideas in their work. There was a sense of a new beginning. Achieving more independence, advocated by the main office, was a sign of confidence in our performance. That motivated us even more.

At the end of 2014 we started operating our own warehousing process. That was an important step for us. The changes in inventory control and increased flexibility in the choice of logistics providers made it possible to put more attention on customer orientation. Startup of our own production, certification as an AEO, and introduction of vendor managed inventory for selected customers also helped in this respect. The result: on-time deliveries, short-term response to customer demands (through in-house customs clearance also in third countries), a larger choice of immediately available material, and shorter delivery times.

My wish for the next 30 years is that Nabtesco will continue to have satisfied customers, highly qualified and motivated employees, success with the launch of new products, and outstanding results in the further development of existing gears. Other positive developments would be increased digitisation within the company and a production site in Europe to reduce transport distances.”

Michael Weber, Supply Chain Manager
At Nabtesco since June 2014