Overview
Waste Recycling Group (WRG) is one of the UK's leading waste management service companies. The company provide a wide range of cost effective and environmentally led processing, recycling, disposal and energy recovery services for both local authorities and private commercial customers.
Through innovation, service and expertise WRG is able to meet demanding waste management targets and react to increased regulations from the UK and Europe.
WRG is owned by Spanish construction and services Group Fomento de Construcciones y Contratas (FCC).
Testimonial
Although WRG's primary objective was to reduce costs, the primary benefits of the de Poel solution are somewhat different. Our access to real-time management information allows us to operate our temporary agency labour with control and visibility, allowing strict budgetary control.
If we had any apprehension at the beginning, with our current agencies joining the preferred agency panel they have long gone, with fulfillments of 100%. By de Poel assuming responsibility for the facilitation of temporary agency labour, they have been proficient in supplying all tender details required such as managing fulfillment, rates and charges, volumes and performance of the preferred agency panel.
de Poel's Senior Account Manager has been integrated into WRG's operation to maximise the use of temporary labour and as such constantly strives to improve efficiencies.
Claire Hill
Procurement Manager
"de Poel's in-depth knowledge of the recruitment industry and proven expertise within the waste management sector encouraged us to consult them on the management of our temporary labour.
By creating a bespoke panel of suppliers with a proven history of good service delivery, de Poel was able to resolve our issues with staff quality and retention and significantly improve supply in remote locations such as landfill sites.
Not only has de Poel delivered direct cost savings of 7% on our annual temporary workforce spend, but by introducing standardised service agreements and tailored Key Performance Indicators, which they monitor regularly on our behalf, we have noticed a marked improvement in service delivery from our agencies. The appointment of a dedicated relationship manager has significantly enhanced communication between our two companies. We receive regularly updated management information and progress reports and are confident in their ability to resolve any queries we may have and to help us maximise relationships with our agency panel."
Case Study
Client:
Waste Recycling Group (WRG) is one of the UK's leading waste management service companies. The company provide a wide range of cost effective and environmentally led processing, recycling, disposal and energy recovery services for both local authorities and private commercial customers.
Through innovation, service and expertise WRG is able to meet demanding waste management targets and react to increased regulations from the UK and Europe.
WRG is owned by Spanish construction and services Group Fomento de Construcciones y Contratas (FCC)
Client's issue/s:
- £2m spend on temporary staff through recruitment agencies including drivers, plant operatives and litter pickers.
- Despite having more than 250 suppliers throughout their UK network, WRG had experienced problems such as staff quality and retention and were looking to improve their supply in remote locations.
- Desire to leverage spend on temporary staff, fix rates across all suppliers and ultimately make significant cost savings.
- 1,388 invoices processed each year causing a high level of administration and considerable soft costs, encroaching heavily on staff work schedules.
- Increase the availability of management information and get a clearer picture of staff usage and spend companywide.
Solution
Build a structured panel of agencies that would be able to guarantee a regular supply of quality staff in remote locations such as landfill sites. Create a fixed matrix of pay and charge rates across the panel to ensure a level playing field for all agencies and ultimately deliver the desired cost savings. Introduce legally binding service agreements and client specific KPI's to determine and formalise the level of service required and monitor them on a regular basis. Reduce the number of invoices processed and provide a high level of management through the introduction of an innovative timesheet and invoice processing system.
Approach
Work alongside a vendor neutral consultant with considerable experience in the waste management sector to establish a network of reliable agencies, improve the supply of temporary agency staff and make significant cost savings.
Implementation
Prior to instigating any changes within WRG's supply network, de Poel's highly trained implementation team carried out extensive analysis of staff usage and agency spend across the company's 80 sites.
Having established accurate spend figures and ascertained detailed information on agency pay and charge rates, de Poel was able to make a series of bespoke recommendations to the WRG management team , including the creation of a preferred panel of suppliers and a fixed pricing matrix.
Once the recommendations were accepted by WRG, all existing agencies were contacted by de Poel and advised of the new supply procedures.
Those wishing to continue supplying staff were invited to submit expressions of interest and from the responses received de Poel was able to build a preferred panel consisting of 80 agencies best suited to WRG's needs.
de Poel's electronic timesheet and invoice processing system, e-tips® was introduced at all client and agency locations and users appropriately trained by the company's support services team.
The project went live in October 2007, simultaneously across all 80 locations and was completed within the given 13 week implementation period.
Results
7% net cost savings delivered across the business.
Dramatically increased supply in remote locations. At the Welbeck site in particular de Poel has delivered impressive results, improving supply and eradicating out of panel spend on litter pickers and weighbridge operatives by introducing new recruitment agencies with national coverage.
By appointing a dedicated relationship manager de Poel has enhanced communication between the two parties and ensured that WRG has a single point of contact within the business for the speedy resolution of any queries and the provision of relevant market information.
Formal service agreements and KPI's have made a marked improvement in service delivery and provided the necessary legal protection.
Post implementation surveys carried out by de Poel have ensured that operational objectives have been met and that e-tips® users have been adequately trained and are satisfied with the system.
The introduction of de Poel's e-tips® system has reduced the amount of agency invoices processed from 1,388 to just one a week, delivered further soft savings and increased the availability of vital management information across the network.
The successful and timely execution of the entire process has encouraged WRG to look at implementing PermPortTM, de Poel's web-based vendor management and invoice processing system, throughout specific areas of the business.
