The role of FM in keeping the warehouse and logistics sector moving
The logistics sector plays a vital role within the UK economy. It is estimated that it’s worth £55billion, comprising 5% of the UK GDP, and employs 1.7m people.
According to a report compiled by Mordor Intelligence, around 89% of all goods transported by land in the UK are moved directly by road and, as it forms a key part of the supply chain, businesses up and down the country rely on the logistics and warehousing sectors to keep their businesses running smoothly.
Warehouse management can be time-consuming and often resource-intensive. Any unforeseen delays can be costly as they have a direct impact on a warehouse’s ability to supply the products and services its customers require. There are also added demands for the industry to increase productivity while at the same time reduce operational costs.
Warehouses and businesses involved in logistics are likely to have sizeable buildings storing large quantities of goods or materials. They may operate 24 hours a day, 365 days per year in order to service their customers, resulting in a high number of staff members on site. This type of business model will depend on all aspects of the operation running efficiently and, if faults are found or maintenance is needed, that they will be dealt with swiftly and smoothly reducing any downtime.
By working with a facilities management company, businesses in this sector can ensure their facility is managed effectively, helping to reduce operating inefficiencies.
Precision FM has been working with a large automotive parts supplier for over five years and looks after the facilities management of their distribution warehouse in the West Midlands, which is one of the largest of its kind in Europe. The team at Precision FM knows that in order to provide the best level of service, they must first align their own deliverables with the stringent KPIs their client will be measured against, and ensure that they can work in partnership with them to deliver real value.
As Brij Thankey, CEO at Precision FM, explains: “The warehousing and logistics industry plays a crucial role in powering the UK economy. Keeping these facilities running forms part of the facilities management services we provide to our clients in this sector.
“We know how effective FM can contribute to the bottom line, helping to drive workplace improvements and we base many of our recommendations to clients on metrics, with the data being used to analyse and improve the quality of the service delivered to our customers.
“In the warehouse sector, we set these metrics across a number of areas from the effectiveness of our client communication to ensure all aspects of compliance are covered. These are developed based on our understanding of the key drivers for the client as facilities management can, in turn, help them to meet their own KPIs.
“From ensuring that warehouse doors open and the lighting works reliably, to enabling the lifts to function as they should to move goods around a facility, all the important health and safety issues are monitored right the way through to disposal of waste. Our teams work to make sure that warehouse assets and equipment are all in working order, all of the time.”
For an FM company like Precision FM, there can be savings achieved when there is a true understanding of their client’s own KPIs. For example, by developing a planned preventative maintenance schedule, issues such as air conditioning servicing can be identified and dealt with in advance, reducing the likelihood of a major breakdown that could impact business operations.
Brij continues: “when we looked at how we could best service one of our clients in the warehousing sector, we reviewed how we could pass on some efficiency savings. By recommending that the client had a full-time electrician based on-site, it meant that not only would they be able to perform all tasks which formed part of the planned preventative maintenance schedule, but they would also be available to deal with any unplanned maintenance issues quickly.
“When this is viewed against the cost and the time taken if they were to bring in an external contractor each time, having someone on-site was a much more cost-effective and convenient option for the client.”
By outsourcing the management of a facility to an external company, businesses in the warehousing and logistic sector can benefit from a wide range of services that can help keep operations running efficiently.
To find out more about the services offered by Precision FM to the warehouse and logistics sector, click here or contact the team on 0116 366 6508 or info@precisionfm.co.uk