OUTSOURCING CRITICAL NON-CORE SERVICES
In the increasingly competitive food and drink industries, manufacturers are refocusing their efforts on what they do best (core) and outsourcing other functions (non-core) that are not adding maximum value.
If you take a look across your complete business, you will admit that you cannot be the best at operating every individual activity. There will be areas where significant improvements could be made, and large amounts of additional value could be added. Usually these will be functions which aren’t critical to your operation or where you don’t have special capabilities. They will tend to be “have to do” activities, which include plant and building maintenance, provision of utilities and soft services such as cleaning, security and catering.
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“Steam is essential to our malt and cereal extract process. With Dalkia providing an operation and maintenance of our steam plant, we can rely on our steam supply without needing to develop our own expertise in energy plant management.”
Mr J Rushby, Engineering Manager British DiaMalt
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Outsourcing: it isn’t as big a secret as you’d think… It’s all about your core and non-core activities
Why outsource? With competition accelerating and customer buying power driving down margins, manufacturers need to decide whether outsourcing these non-core functions to external service specialists makes business sense. If after careful evaluation, these activities can be performed more cost effectively, efficiently and reliably by a service provider then outsourcing can often be the best option.
By specialising in the specific capabilities and technologies underlying each of these functions, service providers become more proficient than manufacturers who spread their efforts across all of their business processes.
Dalkia is one of these service providers. A proven specialist in the provision of outsourced facilities, energy and utilities management services, currently, over forty food and drink manufacturers throughout the UK such as Heinz and British Diamalt trust us to drive down their costs, improve their energy efficiency and maintain their facilities better than they can do. And we’ve been doing this for customers since 1966.
Tapping the hidden benefits Multi-site giants such as Diageo and Nestle and single-site companies such as Gerber Foods are reaping the following benefits by outsourcing FM services and the management of utilities provision to Dalkia:
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Maximum return on internal resources by concentrating investment on what the company does best, whether food manufacture, brewing or brand development |
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Access to Dalkia’s capabilities including R&D, specialist knowledge and procurement (eg Dalkia is the UK’s largest purchaser of boilers) |
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Introduction of better work methods and new technology, all of which improve the cost effectiveness and efficiency of your non-core activities |
As a result:
• Plant reliability improves
• Productivity improves
• And service levels improve
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