On Friday 6 July, Estée Lauder Companies’ subsidiary, Estée Lauder Lachen AG, broke ground on a new distribution centre in Galgenen, Switzerland, dedicated to The Estée Lauder Companies’ travel retail business.

The ‘state-of-the-art’ distribution centre expands the company’s existing supply chain presence in Switzerland, creating a ‘modular distribution network built to react rapidly to the dynamic retail environment’, says Lauder.

Designed in partnership with New York-based architect and long-time collaborator of The Estée Lauder Companies, Richard Dattner, the three-storey, over 20,000sq m facility is said to feature the latest in automated supply chain mechanics and will be The Estée Lauder Companies’ third wholly-owned and operated distribution centre in Switzerland.

Intended as a complement to the company’s existing site in Lachen, the two distribution centres will work in partnership to ensure an ease of scalability based on business demand.

GROUNDBREAKING MOMENT

Over 300 guests including local authorities, representatives of The Estée Lauder Companies and employees joined the ground-breaking ceremony, celebrating the company’s long-term commitment to the region.

Left to right: Ron Norris, Vice President, Global Finance and Strategic Planning, Travel Retail Worldwide; Sascha Trabelsi, Vice President, Supply Chain, Travel Retail Worldwide; Jamal Chamariq, Senior Vice President, Global Supply Chain, Europe, the Middle East and Africa.

The Galgenen site is expected to be completed by the end of 2021, with the Lachen facility slated for a similar modular and automated upgrade following the completion of the Galgenen site.

Operating in Switzerland since the establishment of a manufacturing plant over 40 years ago, The Estée Lauder Companies’ presence has continued to expand and today Switzerland serves as the global distribution hub for the Company’s high growth travel retail business, supplying airports, airlines, cruises, downtown locations and border shops in more than 120 countries.

Most recently, the Company opened a new supply chain hub in 2017 in Wollerau, Switzerland to service the Europe, Middle East and Africa region.

A rendering of Estée Lauder Lachen AG’s new distribution centre.