The Challenge

The South Marston Distribution Centre in Swindon (SDC) provides a just in time component delivery service to Honda of the UK Manufacturing Ltd. (Honda). For optimum flexibility and cost effectiveness, SDC has supplemented their core workforce with up to 50 temporary logistics staff supplied by Wise Employment.

In May 2000, following a global reorganisation, Honda started production of their new CRV in Swindon, for the Europe market. This new operation, exacerbated by delayed completion of Honda’s Swindon facility and changes in the way that parts were supplied for the new vehicle, meant a heavy workload for SDC.

The Wise Solution

Having worked with SDC since 1992, Wise Employment has an excellent understanding of the type of staff required. Our Operations Manager had spent considerable time on site, observing the work and analysing the skill sets required before putting together an effective assessment for temporary workers. This knowledge gave us an excellent base from which to build our understanding of the more labour intensive requirements of the new contract.

Our first challenge was to supply SDC with an additional 80 warehouse operatives and forklift truck drivers to work over two shifts at a single site. As Swindon’s leading employment agency, we were able to source a significant number of these staff from our existing industrial temporaries database. However, we also launched a recruitment campaign within the local area to ensure that we built a pool of staff to provide replacements for absence and attrition and to meet any additional needs. This was a wise move as demand for the new Honda was high.

By August 2000 the pressure was really on and the operation had spread to a further three sites. Ensuring that the right staff were in the right place to provide just in time services to Honda required tight control and a willingness from the workforce to be deployed to another site at a moment’s notice. To facilitate this, Wise Employment provided SDC with a member of our permanent staff to act as a site-based coordinator. This person carried out Health & Safety Induction Training for all new staff, checked the workforce in on a daily basis and ensured that temporaries were re-deployed to the site where they were most needed.

By September 2000 Honda’s Swindon plant was producing CRVs not only for Europe, but also for the American market. This necessitated a larger workforce, now working up to three shifts across five sites. Wise Employment was now supplying an average of 240 workers per week through the combined resources of our Swindon and Gloucester branches.

In February 2001 the new Honda Civic was fast-tracked for the pre-launch. This development did not require a just in time response and was on a smaller scale. However, the combination of this requirement and continued high demand for the CRV meant that SDC’s requirement for temporary workers reached a peak of 352 per week in May 2002. By this time there were few industrial temporaries in either Swindon or Gloucester that were not aware of our contract to supply SDC. Transport was no barrier to supply. In Swindon our fleet of minibuses made regular trips between the town centre and the various sites. In Gloucester our Industrial Consultant paid travelling expenses and arranged a car pool.

A workforce of this size required more support and management to reduce the administrative burden for SDC’s Team Leaders, ensure the effective control and deployment of workers and minimise any payroll issues. Wise Employment increased its on-site team to two coordinators and a payroll administrator. We also introduced electronic attendance monitoring systems to facilitate early identification of absence for fast replacement and streamlined our time sheet system to one more suited to high volume supply. Our on-site coordinators became an integral part of SDC’s operation, attending daily manpower planning meetings to establish requirements for recruitment or re-deployment. In peak periods our Operations Manager also attended weekly management meetings to maintain a high level view of the progress of the contract and to ensure that the appropriate resources were in place for successful delivery.

With increased volumes of temporary workers, a greater number of supervisors were required. Wise Employment’s on site team worked with SDC to identify temporaries who showed leadership capabilities and could be fast-tracked for promotion into supervisory posts at enhanced rates of pay.

Since May 2002 a combination of successful permanent recruitment, change to working practices and a reduction in demand for the vehicles has meant a steady reduction in demand for temporary staff. We are currently supplying a total of 95 temporaries, with the support of one on-site coordinator.

The Outcome

With Wise Employment’s support SDC has always been able to meet their service commitments to Honda. In the words of General Manager, Jeff Robinson, There’s no way we could have done it without you.

In expectation of needing support to meet rapidly escalating requirements, we put service levels in place with selected sub-contractors. However, they were used rarely and only for small numbers of staff.