03-04-2009 | Office Depot New Headquarters - Leicester
How support from Invest Leicestershire helped to facilitate the major move that safeguarded 750 jobs to boost the local economy in Leicester
Company background
Office Depot is a US-owned global supplier of office products and services to customers in 43 countries throughout North America, Europe, Asia and Latin America.
Office Depot's international direct channel was launched in 1990 under the Viking Direct® brand with the start-up of operations in the UK and in March 1999, the company's first international public internet site for consumers and businesses was also introduced in the UK. A facility in Beaumont Leys, Leicester was established in 1996.
Development plans driven by business growth
The Viking business grew rapidly over time and after a further acquisition of European business, Gilbert in 2003, Office Depot was faced with the challenge of renewing the Leicester facility or moving the volume production elsewhere in the UK or Europe. The move would enable Office Depot to meet increasing demand and to consolidate its operations and property.
New development plans were drawn up with a footprint for a UK distribution centre and head office facility.
Richard Carvell, Director - Direct Sales from Office Depot explains: "It was vital for Office Depot that we could build on the right configuration of site with a building that was fit for purpose.
"Despite having a Leicester presence for several years, we had other options including a potential site in Northampton and an existing distribution facility in Andover. Consequently, there was a very real possibility that if the centre couldn't have been planned in Leicester, we would have moved out of the city."
Safeguarding jobs in Leicester
Richard Carvell continues: "By working closely with local agencies such as Invest Leicestershire, we were able to commit to retaining our base in Leicester. By building our new state-of-the-art facility in Beaumont Leys, we could safeguard the 750 people already employed in Leicester, as well as ensuring the continuity of staff recruitment and retention, and taking advantage of the easy access to transport links afforded in Leicester."
Consequently, Office Depot invested in a new UK headquarters at a 19 acre site in Beaumont Leys. The parent company moved, with its mail order business Viking Direct, into 350,000 sq ft of office and distribution space - with the potential to handle almost two-and-a-half times the volume of its previous site.
Minimal impact on local environment
"When planning the building, we were keen to create a state-of-the-art structure that would minimise the environmental and social impact on the local area," says Richard Carvell. "We have implemented rainwater flushing toilets, movement sensor lighting, translucent walls to minimise the requirement for artificial light. We've landscaped a large unmanaged external area, imposed a limit on vehicle movements after hours and a solar-powered public art installation colours the building overnight."
Invest Leicestershire plays a key role
Invest Leicestershire and East Midlands Development Agency (emda) helped to safeguard the business in the local economy by supporting Office Depot through the planning process and helping to minimise build costs.
Invest Leicestershire continues to provide on-going support for the company's logistics operation and through training programmes.
Richard Carvell adds: "Invest Leicestershire was instrumental in the development and planning of our new site. This enabled Office Depot to remain in Leicestershire, securing 750 jobs."
Looking to the future
Richard Carvell continues: "The Leicester facility is our centerpiece; a landmark head office that guarantees the city's role as the company's leading UK distribution centre. Over 12,000 orders are processed here each day for UK-wide distribution and we will put even more volume through as our business grows.
"It has helped to secure our future and our ongoing strategy is built on this basis."
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