Highways Agency
Strategic Review of Central Distribution Centre
The Highways Agency is an Executive Agency of the Department of Transport and is responsible for the upgrading and maintenance of roads within England.
The Agency operates a Central Distribution Centre at Yate that consists of two warehouses and a considerable area of open storage. Following a number of inconclusive reports regarding purchasing policies and the requirement for Yate, The Highways Agency invited Davies & Robson to determine if a Central Distribution Facility was required, whether it should continue to be based at Yate and whether the whole operation should be outsourced.
The project encompassed a commercial and operational review of the logistics operation. This included:
Reviewing the requirement for a consolidation centre to support new road projects
Reviewing the requirement of a central warehouse to support maintenance operations
Reviewing the requirements of the Agency to provide facilities for equipment commissioning and testing
Reviewing order lead times and determining a stockholding policy and defining the stockholding requirement
The recommended outcome was that The Highways Agency should operate a Central Distribution Centre, with the ability to flex the size of operation in response to fluctuating demands. Davies & Robson has now been engaged to determine whether outsourcing the entire operation would provide greater flexibility and increased value for money.
www.highways.gov.uk
|