Indesit, the UK provider of domestic appliances, has renewed and extended its contract with Jigsaw, the large-scale managed transport solutions provider, to include all national bulk transport operations in a £15m deal. Jigsaw now has full responsibility for all UK bulk operations including movements between Indesit's factory and distribution warehouses as well as to customers and retailers. The new fully-outsourced solution will reduce costs and wasted vehicle miles to support enhanced sustainability across the supply chain.
Indesit Company UK Limited is the country's leading supplier of domestic appliances with brands including Indesit and Hotpoint. It has a national distribution centre at Raunds, Northamptonshire with a regional warehouse in Sharpness, Gloucestershire which supports the company's nearby Yate factory.
Jigsaw has been working with Indesit since 2007, originally managing deliveries from Raunds, Sharpness and Yate in partnership with Indesit's own account operation. Indesit has seen significant change to its business in recent years which resulted in additional supply chain complexity. The company wanted to enhance the transport function to support the agility required for continued growth and new operational models.
"The company had a positive experience working with Jigsaw and recognised that the current bulk transport requirement could be managed more efficiently by a specialist transport integrator with an experienced team, market understanding and the resources to provide a scaleable solution that integrated seamlessly with its business," says David Hannam, Bulk Operations Manager, Indesit Company UK Limited. "In particular, Jigsaw was able to demonstrate a value proposition based on collaboration to optimise flows, reduce costs and remove risk. Its ability to reduce complexity and provide Indesit with a single point of contact for all transport processes was another key factor in the decision."
The new contract continues and extends the existing services provided by Jigsaw to include inter-depot trunking, operating on a day-one-for-day-one basis from Raunds to ten satellite warehouses nationwide, factory replenishment, direct customer deliveries from all locations as well as managed collections and returns.
The inter-depot trunking operation is geared to support Indesit's supply chain working in partnership with Indesit's home delivery network. Items are cross-docked through its warehouses for home delivery on Indesit's owned radial fleet, unique in the UK white goods sector, which supports the company's multi-award winning delivery and installation service.
Jigsaw has introduced efficiencies into the operation by exploiting opportunities to integrate third party flows available through its other contracts. For example, a new flow utilises extra long trailers which deliver loads from Raunds to a location in London, then collects a full-load consignment from another Jigsaw customer for transportation to Sharpness before collecting products from Indesit's south west depots for transfer to Raunds. This involves very few empty vehicle road miles, maximises vehicle utilisation and makes best use of drivers' time.
The site-based fleet is operated by Jigsaw's shareholder Downton with additional services provided by the company's remaining partner hauliers to ensure national reach. Jigsaw has introduced 16 new double-deck trailers with fully-hydraulic moving decks to drive efficiency across inter-depot trunk movements. It is also using 10 extra-long, high-cube trailers as well as a conventional high-cube fleet. This combination supports excellent vehicle optimisation with the flexibility and scaleability required to match transport provision to routes, loads and flows.
To support the extended operation Jigsaw has introduced an on-site management team at Raunds. This controls and oversees all vehicle movements by co-ordinating with Indesit and Jigsaw's National Operations Centre to execute the contract, plan the site based fleet operations and allocate resources to ensure transport meets exceedingly high service level requirements. The service also includes control of the vehicle maintenance unit (VMU) and covers utilities such as vehicle washing and fuel bunkering. Drivers and office staff previously employed by Indesit have been successfully transferred as part of the contract award.