TEI facility improves business
By Jeff Linville -- Furniture Today, February 17, 2008
Tupelo, Miss. — Tupelo exhibitor Tennessee Enterprises Inc. says its operations are running smoother thanks to consolidating into one larger distribution center last year.
TEI had four warehouses around its home base in Chattanooga, Tenn. The company completed its move into a single, larger complex last summer, and has had a few months to get the hang of the facility.
While not revealing a dollar amount, Ray Cranfield, marketing manager, said the company's sales have grown slightly since the summer, which could be attributed to the benefits of the new distribution center. He said product is more accessible, logistics are improved, and shipping times are more consistent.
The new facility is 265,000 square feet compared with about 168,000 square feet among the four old warehouses, but Cranfield said floor space is only part of the story.
"Most all the warehouse has a four-high racking system," he said, whereas before the company could only stack boxes about two high, to avoid damaging the packaging on the bottom.
"The larger facility makes it possible to service all dealers in one central location," he said. The facility has 42 docks to allow rapid loading and unloading, and can stock most of its product line there.
The center has about 125 workers, including office personnel housed in about 5,000 square feet. There's also an 11,000-square-foot showroom for retailers.
Workers do some chair assembly, but mainly handle imports. TEI's product niche includes case goods with solid-wood surfaces such as oak and birch. Natural and medium-brown finishes are popular, but the company is doing a growing business in cherry and two-tone finishes.
Dining furniture continues to be the top category, but home office is growing. The company has a wide assortment of desk silhouettes with matching bookcases and file cabinets.
TEI shows here in the Tupelo complex, space TB-5024.
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