Arco selects CLM to reduce costs and increase service delivery
Hull-based Arco runs a fleet of 332 vehicles, 296 cars and 36 vans, mainly for national accounts and sales staff, managers and directors, and operates a Volkswagen Audi Group and BMW badge policy.
Following a lengthy period with the same fleet supplier, Arco put out a tender to find a new partner offering the best fit with regard to service provision and the most competitive supplier from a cost point of view.
'CLM stood out as a company that could meet our cost objectives via its unique Contract Management offering, which competitively tenders every new vehicle order, but was also small enough to offer a more personal service and support to the Arco business,' said Jimmy Fegan, indirect services manager at Arco.
'While reduction in costs is a key area for us, the fact that CLM offers a diverse range of support services means that we can outsource different elements of our current internal fleet support as we choose to do so,' he added.
As a result, CLM will be responsible for all new vehicle acquisition and will use the Contract Management solution and a panel of preferred leasing suppliers to find the most competitive monthly rentals. Previous experience has shown acquisition cost savings of 8-10% can be achieved as a result.
CLM will also provide a range of diverse fleet management services, including accident management for all new cars added to the Arco fleet: invoice management and payment; and control of all charges from the legacy supplier for fair wear and tear, tyres and service, repair and maintenance costs.
CLM will also check that all Arco vehicles are included on the Motor Insurance Database to ensure they are legally compliant and will provide fleet administration through a dedicated support team.