Explosive growth for new kid on the block

IRON MOUNTAIN is a 70-year old company, traditionally strong in records management, that has diversified into warehousing and logistics, largely since the pandemic.

Its approach has been based on its ability to invest heavily in new warehouses, with all the benefits this brings.

Iron Mountain warehousing & logistics strategy director Maria Torrent-March, says: “As a newcomer, we have no legacy so we’ve been able to specify warehouses exactly how we want. All of our warehouses have high ESG credentials. 

“We work with developers that offer really high quality buildings, exceeding than what is required by legislation. For example, we work with Tritax and have incorporated solar and rainwater harvesting into buildings. We also value Tritax’s concept of placing an energy centre within the campus.”

In one campus, where Iron Mountain has four buildings, it will have an energy centre collecting power from solar arrays on each of the buildings. This will give Iron Mountain the ability to direct power to where it is most needed. Given that one of the warehouses will be fully automated, this energy balancing feature should be put to good use. That said, Maria stresses, the campus will not be entirely self sufficient in terms of energy.

Maria explains further: “Importantly, these innovations will help us meet our sustainability targets, and help our customers hit their Scope 3 sustainability targets. We have just started so we don’t have a legacy of warehouses that are performing poorly from an ESG perspective, which is an advantage.”

Tech innovation

In a similar vein to its approach to warehouse property, Iron Mountain’s blank slate means it has designed the entire 3PL business from the ground up, using modern methods and investing in the latest technology.

This includes the use of a mobile robotics driven pallet shuttle system at one of the firm’s sites in Rugby.

“The mobile robotics system gives us the flexibility to scale up and down as we need, by, for example, adding more robots to the system,” explains Maria.

The 3PL operation started with pallet storage and has expanded into case and item picking over the last few years.

“Rather than investing in peak infrastructure and then waiting for clients, we grow and scale according to client need,” says Maria. “The operations we have today are sufficient for the scale we have. We also have an AutoStore in another facility, so we can be creative about how technology is used to meet the demands of our eComm clients.”

Iron Mountain has also partnered with Dexory, who provide a scanning robot for inventory checks, creating a robust, real-time view of stock.

Maria says: “I am very proud of what we have achieved with them. Starting with a blank piece of paper allowed us to look at inventory management in a fresh way and create a new strategy.

“Every night, we have a full check of inventory, which also creates a digital twin, which gives us lots of data and insights, which can inform the service we provide to clients.”

Iron Mountain has deployed the technology to three sites, with plans for a fourth. 

Maria explains further: “We were presented with a choice between an innovative solution or the traditional path of recruiting stock controllers and a manager, who would physically check stock. 

“The traditional approach came with problems. First, it gives you a limited view of reality. Secondly, we thought we would have issues finding labour. We also were concerned about colleagues carrying out such repetitive tasks.

“Now, the robot checks inventory and if there is something unexplained, a person can investigate.”

Investing in people

The progressive approach from Iron Mountain extends to its work with employees and the local community. For example, the 3PL has partnered with Creating Tomorrow College, a college specialising in teaching young adults with learning difficulties, to gain and sustain employment from within the premises of one of its Lutterworth facilities.

Maria explains: “We are working together on a programme, aiming for 15 students per cohort. The first year will focus on classroom training and work experience on site, with a common area where learners can mix with our workers. 

“Learners will progressively be introduced to operational roles, with the ultimate aim that students will take jobs with Iron Mountain.”

As not all students will be able to work eight hour shifts, Iron Mountain will work with the school on job carving, to see what parts of the tasks in a role will suit learners best and carve out a shift for them. Iron Mountain is hoping to roll the programme out to other sites, and it also open to other such partnerships.

“The board is committed also to supporting women in the workplace,” says Maria. “We promote women in leadership programmes, for example, and I am currently on one of them!

“There are a lot of sessions, it’s a lot of work, but it gives you the awareness, confidence and skills to progress. I am finding it very interesting, and I am receiving a lot of peer support, from women who have already held these senior positions.”

Collaboration

There have been repeated calls for collaboration in the 3PL industry over the years, particularly with a view to share routes to cut road miles. The idea has not always fallen on fertile ground. Iron Mountain, however, is keen to explore business opportunities with other 3PLs.

Maria explains: “We are fulfilmentcrowd’s operational arm. We receive the orders on behalf of its clients, process them in our warehouses, and ship them.

“As well as being a traditional 3PL, we also collaborate with other 3PLs. It’s not something the industry has done very well in the past, but people have been more open to collaboration since the pandemic.”

Iron Mountain can be flexible, and deploys various material flows at each facility, depending on the type of operation. 

“We want to be flexible,” adds Maria. “For example, in Lutterworth there are areas designed for eComm, and there is another area that is used for a specific cross dock operation, an extension to the operation of a supermarket customer to help deliver goods to their stores. This is really key for us, we are open to being creative to help customers solve supply chain problems."

Future

For the future, Iron Mountain has key verticals in its sights. 

“One of the verticals we want to attract is retail. As well as operating as a traditional 3PL, we can support other 3PLs who may have challenges with their real estate or pool of people.”

Food and beverage, FMCG and technology are other important verticals Maria is targeting.

She explains: “Due to our records business, we are obsessed with security, so high value goods is an area we can do very well in. There are other parts of our business that focus on recycling of electronic components, so the technology sector fits with our values.”

It looks set to be an interesting few years for Iron Mountain, with the 3PL pushing on multiple fronts and continuing to invest in its network.

For more information, visit www.ironmountain.com