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The dish on DCs

Did you know the average distribution centre in Canada is 145,000 square feet in size?

That’s just one of the fascinating facts learned yesterday at the launch of MM&D magazine’s first DC Cost Benchmarking Study. The study was presented to a rapt audience at day two of the SCL Canada annual conference in Mississauga by publisher and editor-in-chief Emily Atkins and a panel of supply chain experts, Jane Henderson of RBC, Dave Wood of Mother Parkers Tea and Coffee and Aaron Lalvani of Lalvani Logistics Inc.

MM&D and it’s sponsoring partner, RBC Royal Bank, conducted the study to benchmark DC costs in Canada.

The research covers areas such as DC budget allocations, third-party versus in-house DCs, what managers are doing to cut costs, and what they see as their biggest challenges.

Highlights of the all-Canadian findings include:

  • DC managers were found to be most concerned about space issues;
  • 92 percent have taken actions in the past year to cut their costs;
  • 81 percent of warehousing is conducted in-house as opposed to by a third party;
  • The average DC budget is $3.97 million.

For the full report and many more details, watch for the feature in the May-June issue of MM&D, and on this website, in early June.

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