VERMILLION, S.D. - .The Vermillion Polaris facility completed a 128,000-square-foot addition to its warehouse in January of this year to improve business and continue a growth trend in its Parts, Garment and Accessories Division.
The construction was a 50 percent expansion of its existing warehouse and was a project the company had discussed for several years. Completion of the project brought the Vermillion site to a total of 384,000-square-feet.
"I've been here for six years and we've talked about it ever since I came," Paul Eickhoff, Vermillion warehouse operations manager said. "It's a long-term cost play that grew out of discussions about whether or not we would have multi-regional distribution hubs."
One element of the expansion project included termination of the company's Winnipeg, Man., warehouse operation in 2007. That decision was part of the company's decision to consolidate their distribution process through the Vermillion site.
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"Administrative services will be retained in the Winnipeg office," Eickhoff said. "Closure of the warehouse there affected less than 20 full-time positions. Our total workforce in this facility is approximately 150. Companywide, we employ approximately 3,500 people."
Polaris' expansion project began in July of last year and all but some minor portions of the construction are complete.
"We inventory about 50,000 different items here," Eickhoff said. "Those range from garments and parts to accessories for Polaris products, like snow plows, winches, spark plugs, chrome rims, nuts and bolts. We've moved about 3,000 new items into the new working area where we set up a pick module. We'll also be bringing off-site storage items into the new addition."
Polaris is a Medina, Minn.-based manufacturer of snowmobiles, ATVs and motorcycles. The company was established in 1954 with the sale of snowmobiles.
Vermillion's distribution center was built in 1997. Polaris' business sales have more than doubled over that time. Vermillion's available labor force and central location to Polaris' customer base made it a desirable location for the distribution center.
The conveyor system occupies nearly one-third of Polaris' building. Polaris ships products to 125 countries around the globe.
"We've been growing every year since we came here," Eickhoff said. "We hire more people every year. With the expansion, we'll add up to 10 new jobs."
Eickhoff said the dedication and commitment of his staff have made it possible for the company to enjoy the growth it has experienced.
"We all love what we're doing here," he said. "Many of us go out on weekends and ride our machines. Everybody here is very flexible and willing to work to make us more productive every year."
The willingness of Polaris employees to modify their work processes to improve efficiency has played an important role in the company's success in recent years.
"They're always very flexible and don't just try new things, they're willing to work hard and see what works best," Eichhoff said. "We have a great work force here."
