Scottsdale-based consumer electronics wholesaler DBL Distributing is scrapping its 100,000-square-foot local distribution center and nearly 200 local jobs by the end of August.
DBL's headquarters and more than 200 corporate positions will remain in Scottsdale, but distribution operations will be consolidated into two other warehouses in Pennsylvania and California, said Don Anderson, executive vice president.
Unlike many companies contracting along with the economy, DBL is expanding, said company spokeswoman Jayne Tomasz. The move is an attempt to improve customer service, she said.
"We found it difficult to manage a national distribution operation out of Scottsdale," Anderson said.
DBL represents more than 450 consumer electronics manufacturers and distributes more than 20,000 of their items to 32,000 retail clients nationwide.
The company has been averaging 25 percent annual growth, Anderson said.
But with 55 percent of DBL's customers east of the Mississippi River, shipments from the Scottsdale distribution center take four to five days, he said. Shipping everything from California and Pennsylvania means providing one- to two-day service to every customer, he said.
More than 200 employees currently work in the warehouse; about 10 percent of them will be offered newly created jobs at the corporate headquarters, Anderson said. The rest will be offered spots in the other warehouses, free relocation and job placement assistance for anybody who doesn't want to go, he said.
"Everyone in Scottsdale is guaranteed a job if they choose to take it," Anderson said. The Pennsylvania distribution center management has already visited Scottsdale for interviews, and DBL will send a busload of employees interested in relocating to the California center there for interviews, he said.
The local company moved into its north Scottsdale headquarters and distribution center in 2004.
Anderson said there are no plans to move the headquarters from Scottsdale.