Case study: EMS logistics in Eastern Europe

Jabil Circuit is a leading global electronics manufacturing services (EMS) company, with extended manufacturing networks in the low-cost emerging countries. This story is about Jabil's Eastern European supply chain.

Jabil in Eastern Europe

The company has 2 units in Poland, 2 units in Hungary and 1 in Ukraine (map). The Bydgoszcz (PL) plant in the "Polish electronics triangle", delivers aftermarket services, the Kwidzyn (PL) plant is a manufacturing center. In Hungary, the Szombathely plant is also an aftermarket service center, and the Tiszaújvaros plant is a manufacturing center in the Eastern Hungarian Electronics Cluster. Outside the EU, the Ukrainian facility provides a super low-cost manufacturing opportunity.

Polgar Industrial Park

Polgar Industrial Park, the "Industrial Park of the Year 2011, Hungary" is a low-cost business park in Eastern Hungary. The Park plans to develop 120,000 sq.meter (approx. 1.3 million sq.feet) manufacturing facilities for electronics and automotive industry, and warehouses for connecting logistic activities.

Jabil in Polgar

Jabil's still empty warehouse in Polgar

At the beginning of 2011, Jabil Hungary realized the need for new warehousing opportunities. The increasing number of orders required a new facility, to support the Tiszaujvaros (Hungary) and the Uzgorod (Ukraine) units. After an in-depth site selection process, the European management chose Polgar Industrial Park, Hungary. Polgar is closed to Tiszaujvaros, by the M3 motorway, which connects Hungary and Western Europe to Ukraine, and the nearby M30 motorway connects Hungary to Slovakia and Eastern Poland. The company rents a 4500 sqm (approx. 48,000 sq.feet) facility since the summer 2011 in the Polgar Industrial Park.
“The establishment of a new facility performing comprehensive warehousing tasks, meeting the demands of the Hungarian and Ukrainian needs became necessary for Jabil due to expanding requirements and the increasing number of orders. Taking the requirements of Jabil into consideration, the Polgár Industrial Park offers the best possible solution.” says Lajos Palásti, the managing director of Jabil Circuit Hungary.

Backround video: Jabil supply chain management

The following video provides a short insight to Jabil's supply chain solutions.