What Effect Will Toyota's New Distribution Center Have?

Increasing storage from 40,000 to 128,000 locations, Toyota Material Handling unveiled its upgraded Parts Distribution Center in Columbus, Indiana.

Toyota Material Handling held a ribbon-cutting ceremony for the company’s AutoStore installation within its Parts Distribution Center in Columbus, Indiana. Pictured (Front L-R): Bastian Solutions Chairman Hito Matsuoka, AutoStore Director of Sales - North America Joe Elie, and Toyota Material Handling North America President & CEO Brett Wood (Back L-R): Toyota Material Handling Vice President of Aftermarket Operations Bret Bruin and Toyota Material Handling President & CEO Bill Finerty.
Toyota Material Handling held a ribbon-cutting ceremony for the company’s AutoStore installation within its Parts Distribution Center in Columbus, Indiana. Pictured (Front L-R): Bastian Solutions Chairman Hito Matsuoka, AutoStore Director of Sales - North America Joe Elie, and Toyota Material Handling North America President & CEO Brett Wood (Back L-R): Toyota Material Handling Vice President of Aftermarket Operations Bret Bruin and Toyota Material Handling President & CEO Bill Finerty.
Toyota Material Handling USA

In late October 2024, Toyota Material Handling upgraded its Parts Distribution Center at its Columbus, Indiana headquarters. The 172,000 sq.ft. center was a collaboration with Bastian Solutions (part of Toyota Automated Logistics). The unveiling marked Bastian’s 100th AutoStore system installation, underscoring its automation expertise and enhancing Toyota’s capacity to process and deliver parts efficiently. Currently, Toyota can reach 70% of its customers with two-day shipping, with the upgrades and enhancements the company aims to achieve 98% customer reach with next-day ground shipping by 2030. This expansive coverage emphasizes the center's role in streamlining logistics and improving service for Toyota's dealer network throughout the country.

“At Toyota, we will always be driven by what is best for our customers. This AutoStore integration will allow us to deliver parts to customers across North America faster than ever before, ensuring their forklift fleets are up and running when they need them most,” says Bret Bruin, Toyota Material Handling Vice President of Aftermarket Operations. “It’s amazing to see this project come together, in partnership with the teams at Bastian and AutoStore, to eliminate unnecessary waste and add efficiencies for the benefit of our customers.”

Provided by Carson Horn, chorn@comgroup.com, on November 1, 2024.Provided by Carson Horn, [email protected], on November 1, 2024.Toyota Material Handling USA

Rental: How will the new distribution center affect equipment rental companies?

With the AutoStore system, Toyota’s North American dealer network will benefit from:Pdc Opening 47Toyota Material Handling USA

  • Faster Parts Availability: The enhanced PDC will provide quicker access to essential parts, reducing equipment downtime.
  • Improved Shipping Efficiency: Aiming for next-day ground shipping for 98% of customers means rental companies can receive parts more rapidly.
  • Reliable Order Fulfillment: With the AutoStore system, Toyota ensures reliable order fulfillment, faster turnaround times, and improved customer satisfaction from its industry-leading North American dealer network.
  • Diverse Inventory: The PDC will stock a wide range of Toyota Genuine Parts and Toyota Heavy Duty Parts for various material handling equipment.

The AutoStore integrates cutting-edge robotics, automation and artificial intelligence into Toyota’s operations. In alignment with Toyota’s 2050 Vision for sustainability, the AutoStore system operates on rechargeable battery-powered robots, consuming energy only when in motion.

The innovative system leverages vertical storage, maximizing unused space within the PDC. While the facility typically stocks an average of 55,000 stock-keeping units (SKUs), the new system dramatically increases storage capacity—from 40,000 to more than 128,000 storage locations—allowing Toyota to house more parts. This contributes to operational cost savings and is indicative of Toyota’s philosophy of Kaizen – or continuous improvement. Pdc Opening 50Toyota Material Handling USA

The AutoStore system minimizes manual labor by utilizing 28 autonomous robots that operate on a grid. These robots retrieve and deliver totes to four picking ports, each capable of processing up to 175 totes per hour. With the ability to fulfill up to 700 orders per hour, the system ensures faster and more accurate order processing. To further enhance operational efficiency, AI-driven software strategically positions high-volume inventory for quicker access and provides real-time visibility, ensuring Toyota Genuine Parts are readily available. The natural slotting system places low-volume parts at the bottom of the grid while keeping high-demand parts easily accessible to expedite order processing time. With the AutoStore system, Toyota ensures reliable order fulfillment, faster turnaround times, and improved customer satisfaction from its industry-leading North American dealer network.

Rental: What does Toyota mean by “automated parts distribution center?”

Toyota’s "automated parts distribution center" is a facility that uses advanced robotics, automation, and artificial intelligence to streamline the process of storing, retrieving, packaging, and delivering parts. Unlike traditional distribution centers that rely heavily on manual labor for these tasks, Toyota’s automated center is equipped with an AutoStore system featuring autonomous robots, AI-driven software, and strategically organized inventory.

This automation enables Toyota to process orders rapidly and reliably, fulfilling up to 700 orders per hour, which allows it to serve more customers with next-day or two-day parts shipping across North America. Toyota can achieve higher operational efficiency, reduce waste, and enhance overall customer satisfaction, aligning with their goals of Kaizen and sustainable, reliable service.Pdc Opening 80Toyota Material Handling USA

While the robots and AI handle repetitive tasks, Toyota's commitment to Jidoka – or automation with human touch – ensures associates to spend their time on more strategic tasks. This allows Toyota to focus on problem solving, innovation and quality control, emphasizing the importance of human insight in driving operational excellence.

Rental: What parts will be running through the Distribution Center?

The Parts Distribution Center (PDC) will handle Toyota Genuine Parts and use automation to improve availability and delivery across North America. The integration of the AutoStore system, with AI-driven inventory management and autonomous robots, is designed to expedite the retrieval and dispatch of these parts. Toyota aims to ensure these parts are readily accessible to keep customer fleets operational.

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