Cardinal Health (NYSE: CAH) is planning to build “a new flagship forward distribution center” in Indianapolis, Indiana, to expand its national pharmaceutical distribution network.
“The state-of-the-art forward distribution center will feature automation and the latest technology advancements in support of the segment’s distribution of more than 70,000 pharmaceutical and specialty deliveries daily across the United States,” Cardinal Health said in a Sept. 30 press release.
“This 230,000-square-foot facility will establish a new benchmark in pharmaceutical distribution, featuring an industry-first robotic storage and retrieval system, designed and implemented in partnership with Swisslog, a leading provider of warehouse automation, robotics and software,” the company added. “The facility’s advanced automation technology provides real-time inventory visibility, intelligent order fulfillment and coordinated management of material flow — from receiving to shipping — across state-of-the-art robotics, conveyance and sorting systems.”
“We’re continuing to make strategic investments in our core distribution network to drive service, enhance efficiency and meet the evolving needs of our customers with even greater reliability and responsiveness,” said Debbie Weitzman, CEO of Cardinal Health’s pharmaceutical and specialty solutions business. “Expanding and modernizing our distribution footprint reinforces our ability to drive growth and support our teams.”
The distribution center, the second to be announced since 2024, is expected to be fully up and running by fall 2027.
“Automation remains a key component of our strategy, and this innovative facility demonstrates Cardinal Health’s commitment to operational excellence, safety and the efficient distribution of the products and services that improve the lives of people each day,” said Jamie Barker, senior vice president, pharmaceutical and specialty supply chain operations. “It marks the next major step in our multi-year strategy to drive productivity, improve customer service and enhance employee safety and well-being.”