Summary
Cheshire Mouldings is moving into a new distribution centre.
• The focus is on flexibility and service.
• It has invested £700,000 in Weinig machinery.
• It has won the solus mouldings supply contract for the National Buying Group.

It’s all change at Cheshire Mouldings. New premises are being kitted out, state-of-the-art new production equipment installed and new product lines developed. The company has also just signed a major new supply contract, which will potentially take its products into an additional 270 merchant outlets.

Cheshire announced in early June that it was opening a new distribution centre about 400 yards from its current site in St Helens. It started moving into the 38,000ft² warehouse, which is on a 2.5-acre site, at the start of July and should be settled in within a couple of months.

“We don’t hang about,” said office manager Jacquie Capper. “When we decide to do something, we get on with it!”

Output growth

Managing director John Carney said that the company was taking on the new facility because it was increasingly short of space in its original premises, partly thanks to growing output, partly because of the introduction of new lines.

“We’ve developed a range of new products, largely in response to customer requests,” said Ms Capper. “They include louvered doors, solid oak and walnut and engineered flooring, stair and decking components. Merchants wanted us to introduce these items so they can order them in a package together with their mouldings – they’re looking for a one-stop shop.”

The distribution base will also enable Cheshire to respond to customers’ need for more rapid order turnaround.

“They don’t want to hold a lot of stock themselves these days,” said Ms Capper. “Rather than a few pence being shaved off 1,000 stair spindles, their priority increasingly today is flexibility and service – and we can now supply most areas of the country in three to four days.”

The new warehouse, she added, is now being fitted with racking and will probably require additional lift trucks and personnel. “We’re also looking at a new bar code picking system,” she said.

Moving storage and distribution out of its main Norman Road plant also gives Cheshire room to install its new equipment, two Weinig planer moulders, a Powermat 2000 and Powermat 1000, which Mr Carney ordered at the Ligna wood machinery show in Hannover in May. They’re coming complete with automated infeed, outfeed and stacking equipment, adding up to a total investment £700,000.

Increasing capacity and product range

The new machines, said Mr Carney, should be in place within weeks and will enable Cheshire to increase output capacity and expand its product range. Equally importantly, they’ll enhance its ability to provide a quick response, just-in-time service. The Powermat 2000, with a Waco inline resaw, can run at up to 60m/min and the 1000 at 30m/min. The 1000 has been specified with CNC movements to all tool holders and a bar code reader. And both machines can be controlled with Weinig’s PowerCom software, along with Cheshire’s existing Weinig moulders, and use the company’s PowerLock tool system. The latter allows tools to be changed very quickly, giving very short set-up times so users can rapidly switch to a new profile and undertake short runs efficiently.

The new machines will also help Cheshire meet demand from its latest big customer, the National Buying Group (NBG).

The company has been trying to woo the NBG from a rival producer for a number of years and finally concluded the two-year deal to become its sole mouldings supplier in June. At the time, Mr Carney described the contract as “very big news and a major step for both parties”.

“It’s a fantastic achievement and cements our position as the number two in the UK mouldings industry and a credible competitor to the market leader,” he said. He put winning the deal down to a number of factors, including Cheshire’s range of products.

NBG Timber Committee chairman Paul Conboy said that the company’s use of certified raw materials played a part too and that it “gave an excellent presentation”. “We were impressed with the overall package and the committee was unanimous in appointing them solus suppliers,” he said.

NBG has 83 partner merchants who between them turn over £750m and operate 270 outlets. Cheshire will supply them with stair parts, decorative mouldings and decking accessories and, to cope with the increased workload, has also invested in two new delivery trucks.

“Our reps are already liaising with NBG member merchants to find out exactly what they want, and supplying merchandisers, brochures and other marketing and promotional material,” said Ms Capper.

Confident

She acknowledged that servicing the extra business generated by the NBG contract would be challenging but said that Cheshire was confident of rising to it. That sums up its perspective on the market too.

Mr Carney said the company had detected some customers switching from bulk buying of imported products to take advantage of the just-in-time, more responsive service offered by a domestic producer with more of a finger on the market pulse. But the sector remains demanding.

“There’s no significant sign of market improvement and what drive there is comes from the DIY and refurb sectors,” said Ms Capper.

Against this background, and even more so after its latest developments, Cheshire is still, in Mr Carney’s words, bullish about “getting out there and fighting for business”. It continues to consult with customers on developing its product range and, further underlining its confidence, has just appointed two more southern reps.