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MANHEIM: Transport Strategy Review

Manheim, is the UK’s second largest car auction company. The company is a part of Cox Automotive which is the world’s largest car auction company, which is part of Cox Enterprises based in Atlanta, Georgia, USA.  Cox Enterprises has two other major subsidiaries: Cox Communications and Cox Media Group.

Manheim has sixteen auction centres across the UK.  The company manages the transport, inspection, valeting, reconditioning and auctioning of cars from fleet users and dealers in to the second-hand car market.

Their traditional model was changing largely because of the development of digitalisation removing the absolute need for a physical auction to sell cars and challenging this traditional model. Manheim’s strategy is to be at the forefront of these developments – leading the market rather than following it and having an agile operation which services the new business model was essential. 

Davies & Robson were appointed to conduct a detailed review of Manheim’s existing transport operations including:

  • A review of the current operations across the business
  • A review of the processes and planning activities
  • A review of the transport solution, vehicles, depots and efficiency
  • A review of the management and administration structure
  • A review of current contracts

Working with the management team on the businesses future operating model, Davies & Robson were able to develop a number of scenarios likely to fulfil the needs of the business, which included an analysis of the operating costs of each solution as well as relative risks and opportunities. 

A number of key recommendations were put forward to Manheim for implementation incorporating a new approach to planning and infrastructure, including the recruitment of a logistics specialist to manage the transformation.

“Davies & Robson’s detailed analysis of our operations really opened our eyes to the complexity of our operations, but also allowed us to see a path to a future state that we are now implementing.”

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