Builders' Merchants News
Wolseley outsources van fleet management
Published:  06 March, 2012

LEAMINGTON SPA: Wolseley UK has outsourced the management of its 636-van fleet to Fleet Logistics after the fleet management company saved 10% on the running costs of its 2150-car fleet.

The extension of the deal with Fleet Logistics replaces a previous single supply agreement Wolseley operated for its commercial vehicles. The new contract will include vendor management, validation and processing of supplier invoices, consolidated total cost of ownership reporting and a single point of contact helpline for Wolseley drivers.

All new vans will be competitively tendered when they come up for renewal through Fleet Logistics' multi-bidding solution that uses a panel of approved contract hire and leasing suppliers to achieve the most price-effective contract hire rates.

A similar approach on the Wolseley car fleet has saved 7% per month on acquisition costs over the two years Fleet Logistics has run it.

Julie Farey, indirect procurement manager - fleet, at Wolseley, said: "I'm very pleased to appoint Fleet Logistics to manage our van fleet, bearing in mind the outstanding job they have done in managing our car fleet. The emphasis will be on increasing efficiencies and reducing costs, especially sourcing costs, across the fleet."

Martin Hill, Fleet Logistics' operations director, said: "We will be looking to achieve major cost savings and process efficiency, improve transparency and maximise our expertise to innovate. We will also provide strategic support and expertise to further increase Wolseley's return on investment."

Wolseley currently operates a mix of Ford Transit and Mercedes-Benz Sprinter vans for distribution of heating and plumbing supplies.