Penske Logistics recently announced it was awarded the contract to be the operational manager of the BMW of North America, LLC parts distribution center in Nazareth, Pa.
“We are pleased to further expand our existing relationship with BMW,” said Penske Logistics President Marc Althen. “We are collaborating closely to ensure a smooth transition of the operations and in welcoming the employees into our organization.”
Financial terms were not disclosed. Under the agreement, Penske Logistics will provide a trained labor force for the aftersales warehousing and fulfillment facility that currently supplies automotive parts, motorcycle parts, and lifestyle items for distribution to BMW Group dealerships in North America.
Penske Logistics will begin operational management of the 875,000 square foot facility starting July 1. Employment continuity will be offered to the employees at the facility. In addition, Penske has worked with both BMW NA and UAW Local 2326 leadership to reach a labor agreement for the unionized workforce at the site and a transition plan for the workers.
“We are very pleased to expand our current relationship with Penske Logistics” said Lawrence Demski, Department Head, BMW of North America Parts Logistics. “We are confident this global company will deliver world class performance at our largest parts distribution center in North America serving BMW, MINI, Rolls-Royce, and BMW Motorrad.”
Penske Logistics has been working with BMW since 2007 and currently provides a variety of solutions including transportation management and supply chain management for inbound manufacturing at BMW’s Spartanburg, South Carolina facility.