Levi Strauss & Co. is strategically shifting towards third-party logistics (3PL) services, partnering with Maersk to enhance its distribution capabilities. The company’s new Groveport facility will leverage state-of-the-art warehouse technology, including two EuroSort sortation systems, which are known for their efficiency in managing apparel logistics. According to a Maersk spokesperson, each EuroSort system is equipped with 40 induction and 600 order locations, enabling swift matching of products to orders. This technology can sort up to 28,000 products per hour and manage approximately 100 million units annually.
The installation of the first EuroSort system is currently 70% complete, with the second unit expected to arrive in November. Full operational capability is slated for early 2025. Notably, the EuroSort systems also automate the handling of leftover cartons, minimising the number of trips needed by pickers through batch picking processes.
Additionally, the facility will utilise Maersk’s Warehouse Management System, providing real-time visibility into inventory management. This allows Levi’s to adjust production dynamically and will serve as a training centre for operational improvements.
This strategic pivot follows Levi’s announcement to transition away from a primarily owned-and-operated distribution network in the U.S. and Europe, aiming to reduce fulfilment costs. The Groveport location marks the tenth global facility operated by Maersk for Levi’s, further solidifying their partnership. As Craig Jones, Levi Strauss’ Senior Vice President of Global Distribution and Logistics Operations, stated, “This facility is an important step in our strategy to transition to a hybrid distribution and logistics network.”
