33
IRN JANUARY 2014
SPEEDY HIRE INTERVIEW
“The Superstores mean a redistribution of sites,
but we will have a more balanced range of services
from a single site, and with a much better customer
experience. It will give customers a ‘One Speedy’
experience”, he says.
Consistent servicing
Centralising the workshops at the MSC, says Mr
Naylor will reduce risk by creating a more consistent
level of servicing and repair.
More important, perhaps, and one of the reasons
that the company is increasing the pace of the
programme, is that the new network will drive up
utilisation by making more of the fleet available.
“In future we will be able to increase utilisation
and potentially reduce CapEx as well, all by
getting the right products at the MSC locations for
on-demand delivery”, he says, “Rather than have 10
locations each with 10 of a particular machine, we
can have 90 at one location, pushing it on demand.”
Of course, this requires a logistics system behind
it, from trucks and delivery drivers with PDAs to a
new system enabling depots to source products,
particularly the core fleet - the so-called ‘Never Ever
Run-Out’ (NERO) items - which Speedy always aims
to have available.
“Depots like to hold on to equipment, but the old
model is disappearing”, says Mr Naylor, “Now, if a
depot needs to find equipment, rather than making
dozens of calls [to other depots], they will make one
call to the asset search team. The asset team can
repair, move or buy equipment.”
The new network scheme dovetails with Speedy’s
strategy to target large, long term rental contracts
with major accounts in sectors including water,
power, road and rail. These kinds of contracts place
particular demands on suppliers, with Network Rail,
for example, requiring a response within 4 hours
at any time of night and day. The MSCs will remain
open 24/7.
A big investment
The level of investment for the programme is
sizeable. The 60000 ft
2
Glasgow location – an
existing warehouse in the east end of the city that
Speedy is renting – will cost Speedy around £1
million to refit, including wash-down areas, paint
shop, indoor training areas, more than 70 workshop
bays and office space.
Speedy is expecting to spend around £10 million
over the next 18 months in fitting out new locations,
as well as £13-15 million costs in relation to departing
from current rented properties that are now surplus
Glasgow MSC
The new Multi Service Centre (MSC) in
Cambusland, Glasgow, is replacing eight
existing Speedy locations in the area, including
dedicated Rail, Power and Tool hire locations
and two workshops sites.
Colin Naylor says all existing staff from these
centres, just over 100 people, are moving to the
location. “No colleagues left the business. It is
about gearing up to grow – eight locations into
one and creating a springboard to grow.”
The working environment for the workers will
improve, with changing rooms equipped with
wet and dry lockers and showers, plus a canteen
area for breaks and lunch.
The enormous outside area, including wash-
down zone, is complemented by an equally large
covered warehouse, with 57 separate 2 m by 2 m
workshop bays, ten 5 m by 7.5 m bays and six
5 m by 5 m bays. There is a separate 130 m
2
survey workshop. There is also an 80 m
2
trade counter, including a stock of popular
consumable items and an area for customers to
have a coffee.
The site has seen a phased commissioning,
with tools, lifting equipment and surveying first
in, followed by power, plant and rail equipment.
The MSCs will each have a significant stock of replacement
parts for the fleet.
Speedy’s Colin Naylor at the new Multi Service Centre (MSC) in Glasgow. A spine of seven MSCs will cover the UK, supplemented
by Superstores and Express branches.
Repair and maintenance work will be consolidated at the Multi
Service Centres. The Glasgow facility has over 70 workshop bays.
to requirements.
A considerable amount of work is already
complete: three of the MSCs are up and running –
Glasgow being the latest - and four more will follow,
including one each in Tamworth (the largest at
160000 ft
2
), Teeside and Bristol. There are now 26
Superstores in operation with 14 more in planning.
The accelerated programme is placing demands
on Mr Naylor and his team. He says working in their
favour is the fact that they now have a ‘template’
for the new locations and are working with the same
contractors, who know the format.
“Anything is possible with cash and hard work”,
he tells
IRN
, “The Board has agreed the concept; it’s
now down to hard work and the project teams. I’m
comfortable with the schedule.”
With the Glasgow site up and running, the proof of
the concept will be in the response from customers.
Mr Naylor is optimistic about that as well; “We’ve
brought a number of customers to the site and the
general reaction is wow!”
IRN