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5th December 2018

Posted In: Company News | Investment

Further Investment at GWP Group.

New warehouse allows for increased capacity & ongoing Brexit contingency planning

GWP Group has recently invested in a third warehouse at our site in Cricklade, Wiltshire, increasing storage by twenty per cent.

The new 10,000sq ft. unit was completed on November 20th this year, and complements the existing 65,000sq ft. across two units already on the site.

The new warehouse will help manage the supply and distribution of packaging products to GWP’s customers in the South West, whilst supporting the company’s continued growth throughout the region and beyond. It will also prove invaluable in terms of contingency planning for Brexit.

New warehouse at GWP Packaging
James Pedley, Operations Manager at GWP Packaging, standing outside the new warehouse at Cricklade

Growth of Just In Time Supply

The warehouse provides space for an additional 950 pallets – for the storage of finished packaging products – which GWP hold on behalf of their customers.

James Pedley, Operations Manager at GWP Packaging said:

Happy customers of GWP Group

One of our key services is to hold our customers stock, and to supply it to them on a ‘Just in Time’ basis. This frees up their warehouse space, reduces their associated costs, and also allows us to monitor stock levels and manage peaks in demand for them too.

He continues;

Happy customers of GWP Group

Around 80 percent of our customers have us manage their packaging inventory for them, and with continued growth over the last 24 months, we have needed to increase our storage space in order to maintain the success of this service.

What is JIT?

JIT – or Just In Time supply – is basically an inventory management service offered to customers of GWP.

It effectively works through an agreed stock level of your packaging being held at GWP, ensuring you can order on exceptionally short lead times, free up storage space and ensure your business will not run out of stock.

James Pedley GWP Operations Manager
James Pedley alongside the racking that will be used to store finished packaging products for GWP customers

There are number of reasons why there has been a growth in the demand for a fully managed inventory (also known as VMI, Kanban or JIT), besides the organic growth that GWP has seen over the last 2 years.

The service is perfect for any business that encounters high costs associated with the storage of their packaging supplies, has difficulties with forecasting that leads to stock outages on transit packaging, or would simply like to reduce the admin of continual re-ordering.

Brexit Contingency Planning

Besides helping to maintain the success of the JIT service, the additional space will also help with another pressing concern – that of planning for Brexit.

The warehouse will be used for helping to store buffer stock of both finished packaging products and raw materials, to minimise disruption if certain Brexit outcomes are realised.

Ruth Cook, Managing Director at GWP commented:

Happy customers of GWP Group

Many of our customers are nervous regarding the uncertainty of Brexit, and what it could mean for supply of goods and services – including packaging – to their business. One of the steps we are taking is to increase our buffer stock of raw material and finished product, and the additional space provided by the new warehouse will be a great help with managing this.

For further information of GWP’s Brexit preparations, you can download a copy of our Brexit statement by clicking here.

Further Investment & Growth

The opening of the new warehouse has closely followed the purchase of new manufacturing equipment at both of GWPs’ sites in Cricklade and Salisbury, with more than £1.1 million being invested by the company since 2015.

Construction of the new warehouse
Construction of the new warehouse at Cricklade taking pace earlier in the year

This includes a £600K investment in new die cutting equipment at GWP Packaging, as well as £150K in a new water jet cutter at GWP Protectives’ foam conversion facility in Salisbury.

Ruth commented:

Happy customers of GWP Group

The last 18 to 24 months have seen phenomenal growth across all areas of our business. This is why we have taken a proactive approach to ensuring we have the machinery, facilities and people in place to meet the increased demand for our products and services.

Last month, GWP announced another successful year of trading with a continuing strong increase in turnover and new business.  The Cotswold and Wiltshire-based manufacturing company saw turnover increase 11.8% in the 2017/18 financial year, following growth of 8.9% in the previous year.

Press Coverage of the Opening

The opening of new warehouse has also been covered in a number of local and business publications throughout the region, including the Swindon Advertiser, The Packaging Portal, Business & Innovation Magazine and Business Biscuit (to name a few).

To request a copy of the original press release, please email marketing@gwp.co.uk.

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Matt Dobson, Marketing Manager at GWP Group

About the Author: Matt Dobson

Marketing Manager | GWP Group

Matt has worked in the packaging industry for approximately 7 years, having joined GWP Group as Marketing Executive in 2012. [Read full bio…]

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