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Keystone Distribution Gears Up for Growth with Manhattan Associates


Leading logistics services provider upgrades strategic DC with Manhattan Associates' supply chain solutions platform

Global supply chain optimisation provider Manhattan Associates, Inc. (NASDAQ: MANH) today announced that Keystone Distribution UK has completed a successful implementation of Manhattan Associates' Warehouse Management solution as part of a supply chain enhancement programme it is undertaking to improve service levels and prime the business for future growth. The project has seen Keystone deploy the Manhattan solution at its 190,000 sq. ft. distribution centre (DC) in Hemel Hempstead, Hertfordshire.

Keystone Distribution UK is a subsidiary of Keystone Foods LLC, which provides food manufacturing and distribution services to a wide range of customers in America, Asia, Australia and Europe. Keystone Distribution UK has set its sights on growing the business while continuing to focus attention on enhancing the already high service levels it provides to its existing client, restaurant chain McDonald's. As its strategic partner, Keystone contracts directly with the fast-food giant and its suppliers. The arrangement involves Keystone managing a large part of McDonald's' UK supply chain and replenishing its 1,200 UK stores with everything from mops and ketchup to the essential ambient, fresh and frozen foods that make up the McDonald's menu.

In December 2005, a series of devastating explosions took place at an oil storage depot at Buncefield, near Hemel Hempstead. That started a fire which destroyed Keystone's Hertfordshire DC. Keystone had already put growth plans into place. So, the company decided to invest in a state-of-the-art DC with spare capacity. Last year, Keystone began looking for a new warehouse management system to manage the new facility. Manhattan Associates was selected to provide the systems platform that would run it because of the extensive experience it had in the logistics and food sectors and because of its global reach.

Mark Ridgewell, Keystone's head of information systems, commented, "I had experience of working with Manhattan in the past. I knew its people had a great depth of expertise and knowledge and I also knew its systems were highly configurable, scalable and proven to work in a wide range of industry sectors. Following the implementation at our Hemel Hempstead DC, we're delighted that our pick rate has increased so significantly and that we're able to provide our clients with a much clearer picture of inventory levels and status."

Allen Scott, UK managing director of Manhattan Associates, commented, "Keystone is an ambitious company with an exceptionally high reputation for service excellence. With customers such as McDonald's, its service needs to be consistently reliable, fast and effective. We are delighted to be in a position to help Keystone deliver on its service commitment and look forward to playing our part in supporting the company's future growth."

About Keystone Distribution UK

Keystone Distribution UK manages the complete supply chain for its customer, McDonald's so that the restaurant can focus on providing service excellence. It has a vision to grow its business by offering innovative and sustainable solutions.

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