State-of-the-Art Global Distribution Center Opens in Singapore
August 10, 2000 - UPS Logistics Group, a subsidiary of United Parcel Service, Inc. (NYSE:UPS), today announced the company has been awarded a five-year, $150 million contract to manage National Semiconductor Corp.’s (NYSE:NSM) global supply chain.
The two companies also announced today they have opened a new Global Distribution Center in Singapore dedicated to National Semiconductor operations.
The combined operations will enable UPS Logistics Group to manage the movement of National chips from manufacturing plants in Malaysia and Singapore to the new Global Distribution Center in Singapore and then on to customers around the world.
The state-of-the-art facility utilizes radio frequency, bar code scanning and Web-based technologies to manage the fulfillment of more than 450,000 semiconductor orders a year. The center will accommodate rapid order fulfillment, with an average delivery time of 48 hours on a global basis. It also has the capacity to receive an average of 12 million inbound chips per day, with significant scalability to accommodate National's rapid growth forecasts.
"This new center is a cornerstone facility in National’s aggressive growth plan for the future. The strong analog and information appliance market has created a booming demand for our chips. We expect to ship four billion products this year, up from two billion shipped in 1999," said Kamal Aggarwal, executive vice president, Central Technology Manufacturing Group, National Semiconductor.
"UPS Logistics Group is proud to be National Semiconductor's primary global supply chain manager. To serve them, we have invested in a state-of-the-art facility and leading-edge information systems. Together, UPS Logistics Group and National will be achieving the highest standard of customer service in the semiconductor industry," said Doug Anderson, chief financial officer, UPS Logistics Group.
National Semiconductor is a global leader in outsourced manufacturing and supply chain management. "By selecting UPS Logistics Group, we have chosen a cost-competitive leading logistics provider who offers strong supply chain expertise and cost optimization. This is achieved through streamlined processes, flexible carrier-neutral transportation options, closed-loop security and Web-based information systems that provide 100 percent real-time track and trace capabilities," said Aggarwal.
Proprietary information systems developed by UPS Logistics Group make it possible to monitor the receipt, storage, shipment and delivery of chips regardless of location, carrier or customer destination. These information tools promote better delivery reliability and ultimately foster customer satisfaction.
About National Semiconductor
National Semiconductor provides system-on-a-chip solutions for the information age. Combining real-world analog and state-of-the-art digital technology, the company's chips lead many sectors of the personal computer, communications and consumer markets. With headquarters in Santa Clara, Calif., National reported sales of $2.1 billion for its last fiscal year and has about 10,500 employees worldwide. Additional company and product information is available at www.national.com.
About UPS Logistics Group
UPS Logistics Group, a subsidiary of UPS, provides a full spectrum of global supply chain management services. Based in Atlanta, the company offers these key services: global supply chain network management, transportation services, supply chain technologies and service parts logistics. Information is available at www.upslogistics.com.
