Samsung pours $2m into logistics centre

Samsung pours $2m into logistics centreRichard Wilson Samsung Semiconductor’s $2m investment in an automated logistics centre and tape and reeling operation at Brentford in west London reflects the level of its UK and Irish sales which topped $700m in 1997. The centre deals with memory, micros, Asics, power semiconductors, industrial ICs, Alpha micros, multimedia ICs and system-level chips. According to the company, the centre means that the company expects to see “shipping accuracy rise to 100 per cent and improvements in retrieval efficiencies of as much as 50 per cent”. The centre can take and ship an order with the physical intervention of only two people, says Linda Philips, Samsung’s logistics manager. Despite the bloodbath in the memory market, Samsung, the world’s largest DRAM manufacturer, has maintained its UK market share in its corporate accounts and has seen a 26 per cent rise in its non-corporate accounts. Although other Asian manufacturers have had problems from the US and European trade authorities with dumping allegations, Samsung has not been cited – being seen as having contributed to keeping prices stable rather than leading them downwards.
According to H.M Kim, managing director of Samsung Semiconductor UK, the investment has been timely because “we anticipate minimum increase in units shipped of 20 per cent for DRAMs and 100 per cent for system LSI products”.

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