Headcount & supplier problems at a leading motor manufacturer

A major vehicle manufacturer was suffering from a headcount shortage in its Company Vehicle department due to extended maternity leave. This occurred at a time when internal customer satisfaction was low and an outsourcing relationship with a major logistics organisation had just been established.

Our consultant, working with the existing team, identified a number of issues notably the lack of service level agreements with suppliers and virtually non-existent communication with internal customers. Suppliers had no few formal objectives or means of reporting their performance and company vehicle drivers were unsure of their responsibilities in relation to the vehicles in their stewardship. In short, what wasn’t being measured wasn’t being done.

Service level agreements incorporating metrics, measures and reporting requirements were developed to reinforce and formalise the quality and turnaround objectives expected of suppliers and brought a new focus on achieving specific and measurable objectives.

A cost-effective internal communications programme including posters, broadcast emails to vehicle end users, leaflets and the use of the company intranet site, led to significant improvements in previously unmeasured satisfaction levels. Furthermore, as a bank of consistent data builds, trends can be examined and actions planned to further improve both supplier performance and customer satisfaction.