Amazon’s New £500m Leeds Hub to Create 2,000+ Jobs

Amazon has announced the opening of a major new fulfillment center hub in Leeds, which is set to create over 2000 jobs and strengthen the company’s logistics network across the UK.

Investment and Economic Impact

The new fulfillment center at Gateway45 represents a significant £500 million investment. This expansion is expected to provide a substantial boost to the local economy by creating job opportunities across various roles, including engineering, HR, and warehouse operations.

Advanced Robotics and Technology Integration

Spanning three floors, the Leeds facility will incorporate Amazon’s latest robotics technology. These systems are designed to streamline operations, improve processing efficiency, and enhance the speed of customer order fulfillment. This focus on automation and technological innovation is a key part of Amazon’s logistics strategy. Similar technologies are already in use at other Amazon centers, like in Tilbury, where robots help move shelves directly to workers, reducing time and effort.

Sustainability and Regional Investment Strategy

The fulfillment center is equipped with energy-efficient features and solar power provisions, reflecting Amazon’s commitment to reducing its carbon footprint while maintaining operational efficiency. This development forms part of Amazon’s regional investment strategy, which has exceeded £1.5 billion since 2010. Other UK facilities, such as the Dunfermline center, have also implemented similar sustainability measures. By investing in facilities like the one in Leeds, Amazon continues to expand its footprint in the UK while contributing to local economies and enhancing its supply chain capabilities.

Looking Ahead

As Amazon gears up for the facility’s full operational launch in late 2024, the company’s focus remains on creating opportunities, driving innovation, and supporting sustainable development within the logistics sector. The Leeds fulfillment center is poised to become a central hub in Amazon’s UK network, supporting both local communities and the company’s broader global operations.

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Podcast: Is Micro Fulfilment the Right Fit for Grocers?

As customers demand faster and more accurate grocery deliveries, microfulfilment centres (MFCs) are becoming a key part of the solution. In our most recent episode of our podcast, Logistics Business Conversations released on Tuesday, 20th August, host Peter Macleod talks with expert Danielle Dakin of Dematic about why these centres are so important in today’s retail world.

Microfulfilment centres are small, tech-driven hubs that allow retailers to quickly process and deliver orders. During the podcast, Danielle highlights Tesco’s use of nine microfulfilment centres across the UK as a prime example of how leading retailers are adapting to meet growing customer expectations. These centres help Tesco accelerate order processing and improve delivery times, allowing them to stay competitive in a fast-paced market.

The podcast discussion also explores how these new technologies are reshaping the grocery supply chain. With businesses increasingly turning to MFCs, staying competitive means adapting to this new wave of grocery fulfillment.

If you’re curious about the future of grocery shopping, this insightful conversation is a must-hear, offering a clear look at how microfulfilment is transforming the way we get our groceries.

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Sephora Names New Supply Chain Partner

Sephora UK has announced a new logistics partnership as part of its growth strategy, selecting DHL Supply Chain as its lead supply chain provider for the next five years. DHL will manage Sephora’s warehousing, eCommerce fulfillment, and UK transport network, supporting the beauty giant’s ambitious retail expansion plans.

Advanced Distribution Hub to Drive Growth

A key feature of this collaboration is the launch of a state-of-the-art omni-channel Distribution Centre (DC) in Coventry. The facility, entirely powered by renewable electricity, is DHL’s first operationally carbon-neutral site in the UK, marking a significant milestone in Sephora’s sustainability journey. The Coventry DC is also one of DHL’s most sustainable sites in Europe, setting new standards in green energy and employee well-being.

Tailored Supply Chain Solutions for Seamless Operations

The new facility integrates sustainable, recycled, and natural materials throughout its design, ensuring a positive working environment for employees while seamlessly supporting Sephora’s omni-channel operations.

Throughout the partnership, Sephora and DHL have worked closely to design a logistics operation that aligns with Sephora’s expansion plans in the UK beauty market. Leveraging DHL’s expertise in the beauty sector, tailored solutions have been developed to optimize efficiency, including the use of pick-assisting robots to manage fluctuating demand while maintaining high quality control. Each order is processed quickly and efficiently with minimal handling to preserve product integrity.

DHL’s eCommerce fulfillment capabilities will enable Sephora to offer later cut-off times, improved product availability, and a more responsive supply chain ready to meet peaks in demand driven by marketing campaigns and influencer promotions.

Sarah Boyd, UK Managing Director for Sephora, expressed her excitement about the partnership: “We are delighted to be working with DHL. The UK is a really important growth market for our business and one with huge potential. The transition to this state-of-the-art facility is a pivotal project that underpins our UK expansion. It is critical to us that we ensure our growth is sustainable, as we reduce our carbon footprint and provide an excellent working environment for our teams in the warehouse.”

Natalie Frow, Managing Director for eCommerce & Retail at DHL Supply Chain, added: “Sephora’s relaunch was a major moment for UK retail, and the iconic brand has made a huge impact in a short space of time. Our team is delighted to be working with a business so open to collaboration and innovation, that shares our values for driving sustainable logistics and being a great place to work. We’re proud to be supporting Sephora on its expansion journey and helping the business shape the UK beauty industry.”

This partnership and the advanced distribution centre highlight Sephora’s strategy to establish itself as a leader in the UK beauty market while prioritizing sustainability and innovative supply chain solutions.

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