Cat loses out as CNH brings spares logistics in house

Global agricultural and capital equipment machinery manufacturer CNH Global (formerly Case New Holland) has brought its North American spare parts depot operations back under its own management. These are presently being managed by Caterpillar Logistics Services, the warehousing and logistics business of Caterpillar, a contract which it has held for the past 14 years.

The statement from the head of CNH Parts and service seemed to indicate that the decision to take over operational responsibility from CLS was part of a wider push to improve service levels in the CNH aftermarket.

Ugo de Carolis, President of the division commented, "Our decision to assume direct responsibility for our distribution network represents a strategic change in the way we service our customers. This change is consistent with our new brand-focused strategy and will allow us to take a more hands-on approach in providing best-in-class parts and service support to the brands, which is key to building long-term relationships with our customers."

The depots in the network are in Saskatchewan and Toronto in Canada, Illinois Indiana, Texas, Georgia and Pennsylvania. However the depot in Nevada will continue to be run by CAT Logistics.

The US based, but FIAT owned, machinery maker has a worldwide business particularly strong in North and South America. It has recently undergone a revision of its logistics management, transferring senior managers from FIAT Auto to CNH.