Penske to handle Eaton’s North American logistics

READING, Pa. — Penske Logistics announced that diversified industrial manufacturer, Eaton Corp. has selected the firm to serve as its lead logistics provider for the company’s North American-based automotive and truck business segments.

Under the agreement, Penske Logistics will manage the inbound supply chain for these segments. The process encompasses the material flow of thousands of component products from more than 300 suppliers into Eaton’s North American manufacturing locations.

“We are very pleased to work with Eaton in the U.S. and Europe,” said Penske Logistics President Vince Hartnett in a press statement. “Our goal is to help customers drive supply chain excellence and enable them to focus on running world-class manufacturing operations.”

Part of the relationship between the two companies is already underway and includes moving to a highly efficient pull system, driven by Eaton’s production schedules, versus the system currently in place today. Penske Logistics also has a dedicated logistics center and management team focused on North American transportation management and network design for Eaton.

“Our team is working to standardize processes, introduce new metrics and systems for better forecasting and supply chain visibility, reduce inventory, and improve both static and dynamic routing,” added Hartnett.

Mario Hegewald, Eaton’s Director of Global Logistics, added that Penske’s Transportation Management System currently manages Eaton’s day-to-day inbound transportation.