Hills’ opens new distribution centre in ongoing revitalisation effort

Hills has announced that it has successfully brought its supply chain operations in-house.

The majority Australian-owned distributor of integrated technology solutions has completed the migration of its warehouse operations from a third-party logistics provider to the new Hills national distribution centre in Seven Hills, New South Wales.

"This is a significant development for our staff, customers and suppliers as we successfully deliver on major projects that will ensure a better customer experience and position Hills for continued future growth," Hills CEO David Lenz says.

"The new Hills distribution centre integrates the company's warehouse operations that were previously spread between facilities in Lidcombe and Silverwater in New South Wales, and the third-party provider delivering an annualised operational saving of approximately $1.5Mil.

"The distribution centre is now fully operational and is providing a simplified and streamlined distribution capability, improving customer delivery times and creating cost efficiencies across the business,

The opening of the Company's new Seven Hills Trade Centre on the same site was also announced, creating a building technologies centre to showcase product ranges and provide customers with immediate access to stock directly from the distribution centre.

Technical support, product management and sales teams are all located onsite.

The changes are part of a digital transformation strategy that was initiated in 2016 to revitalise the business's performance and include the development of a new eCommerce platform which is set to launch in February 2018.

Lenz confirmed that the eCommerce project is on schedule, and will be implemented in phases across Australia and New Zealand.

"Based on early feedback from customers and vendors involved in the project, we're confident that the new platform will deliver on customers' expectations and provide the step change needed to help drive our business growth across Australia and New Zealand," Lenz adds.

"Hills expects to deliver a first-half result in line with the forecast provided at the AGM in November and remains on track to deliver a trading profit in the second half of FY18.