JB sent an email earlier this morning notifying folks that Shelby and SD1 are the latest Nike DCs to close. Another victim of outsourcing, these sites are closing in favor of a DHL run 3PL outside of Atlanta that will be activated in May/June 2027.
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Automation is much cheaper in the long run.
:(
Yes this true I work for sd1 in Memphis tn the building is closing in October and going to ATL .
@ag from a scalability lense this decision does make sense. The new site is a newer and larger facility, previously occupied by ASOS. They invested heavily in equipment and automation in that facility that Nike couldn’t do at Shelby due to the smaller footprint and age of the site.
The reality here is if Nike can pay less to someone else and get the same or better fulfillment then why not do it? Seems logical. Does it su-k to lose team members in the DC? Sure. However, cannot save everyone in these situations and it's a public for profit company not a charity to keep people employed. I might not like the people impact, but we can all at least understand it.
This feels different than the outsourcing of IT roles to lower quality and lower cost resources in India which will eventually cost the company more.
Just Sc--w It
@OP “Just Cut It” the new Nike slogan