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Businesses are making major cost-savings and improving company car and van operational efficiencies as a result of accident bodyshops used by Fleet Support Group implementing industry-leading ‘lean-flow’ management techniques.
And while the impact of ‘lean-flow’ delivers significant benefits to FSG’s fleet customers it is also improving operating productivity at the company’s nationwide network of bodyshops that have so far implemented the programme.
Across the UK bodyshop marketplace the industry average work time on a vehicle is about two hours per day. However, following the implementation of the ‘lean-flow’ initiative at 10 of FSG’s network of 115 bodyshops they are achieving five to six hours work per vehicle per day.
As a result, the ‘lean-flow’ approach, which has been developed by constraint management training experts I & J Munn, of Melton Mowbray, promises to deliver:
Julian Bailey-Watts, FSG’s Technical Services Director, said: “Our bodyshops that have so far introduced ‘lean-flow’ are getting vehicles back on the road faster than anyone else. This massively reduces administration costs, means our fleet customers are getting their vehicles back quickly and that significantly increases customer satisfaction.
“Reducing key-to-key time is absolutely paramount for FSG and our customers because it means saving money. Many people lose sight of the overall cost of vehicle repairs when they look at the hourly labour rate, repair times etc. The actual bottom line is how long the vehicle is off the road because a reduction in that time cuts overall repair costs dramatically.
“Every moment a vehicle is off the road costs money in relief vehicles and management time. Reducing that time period produces tremendous savings. Being able to give our fleet customers the actual turnaround time of an accident claim enables FSG to give true and absolute value for money to our customers.
“We are now encouraging many of our bodyshops to achieve industry-beating fast turnaround crash damage repairs. This programme delivers huge benefits for both the bodyshops as well as our fleet customers.”
Lean-flow uses many of the skills from manufacturing processes to drive through bodyshop efficiencies and change traditional behaviours.
Mr Bailey-Watts said: “FSG is completely focused on delivering top-class customer service every time. What every fleet operator requires is a high-quality, fast vehicle repair and the promise that it is carried out on time.”
One of the first of FSG’s bodyshop network to introduce ‘lean-flow’ was the Manchester-based Academy Group, which is now recording a 97% on-time repair rate with the vast majority of vehicles back on the road earlier than scheduled, while any delay is typically the result of the late delivery of replacement parts.
Academy Group introduced ‘lean-flow’ 12 months ago and Managing Director Jason Mawdsley said: “‘Lean-flow’ has enabled the company to have guaranteed on-time delivery because we can plan the business better. For customers, including fleets, it means than when we say a vehicle is going to be ready; it is ready.
“Sometimes, in the past, we over promised and under delivered. Now we promise and deliver at the same time. Before ‘lean-flow’ our key-to-key time was running at about 14 days, but we are now down to 4.6 days which gives a big advantage to our customers. ‘Lean-flow’ gives us a competitive edge.”
Mr Bailey-Watts said: “We thought that the Academy Group was one of the bodyshops in our network that was at the top of its game. We didn’t believe that ‘lean-flow’ would bring very much to them. As it transpires both ourselves and Academy have been astounded by what has been achieved.”
A second FSG bodyshop to implement ‘lean-flow’ is Scarborough-based Trenhams Accident Repair Centre, which is now achieving 98% on-time delivery. Additionally the period of time from notification of an accident to invoice has improved from the industry average of about 22 days to 12-14 days.
Managing Director Mick Trenham said: “‘Lean-flow’ has meant at least a 20% increase in vehicle throughput, which is the ultimate aim. We have always tried to achieve high throughput but ‘lean-flow’ has been a brilliant tool to enable us to achieve our ambition.”
Mr Bailey-Watts added: “’Lean-flow’ has been a revelation to us and, as a consequence, we are looking at developing similar practices in other areas of our business.”
Editors Notes
Fleet Support Group (FSG) is the largest independent vehicle management company in the UK and looks after approximately 50,000 vehicles.
The well-established organisation based in Chippenham, Wiltshire, has gained an enviable reputation within the industry by continually concentrating on delivering a consistent, quality service embracing full vehicle acquisition and disposal, vehicle outsourcing, fleet management, risk management and work-related road safety, maintenance management, accident management, breakdown recovery, short-term car rental and truck management.
Within the FSG team, there is significant industry experience and qualifications across the range of services provided. This in turn is supported by an in-house IT operation which is continuously upgrading the internal systems and applications to ensure that, by innovation and product development, FSG leads the field in the provision of vehicle management.
For further information contact: FSG chairman Geoffrey Bray on 0844 8000 700