Ogilvie Fleet delivers affordable outsourced van solution to housing group
The ability to make fleet operating cost savings and the
‘simplicity’ of monthly fixed costs contributed to Grand Union Housing Group
(GUHG) switching to a fully outsourced contract hire solution with Ogilvie
Fleet for its 45 light commercial vehicles.
Historically, GUHG, a provider and developer of affordable
housing and related services in Bedfordshire, Buckinghamshire and
Northamptonshire, managing almost 12,000 properties, has purchased its fleet
However, Richard Pearce, the organisation’s health, safety and business services manager,
undertook a root and branch funding review to ascertain the most cost
effective method of acquisition for its vehicles.
Ogilvie Fleet, one of the UK’s fastest growing vehicle
leasing and fleet management companies with more than 16,000 company cars and
vans on its books, was among the contract hire providers approached to provide
a detailed whole life cost analysis of the fleet.
Utilising the Deloitte modelling tool, Ogilvie Fleet
identified that contract hire was the most cost-effective funding mechanism for
the procuring of vans by GUHG.
Ogilvie Fleet subsequently worked with Mr Pearce and van
users’ representing the various operatives’ skill sets within GUHG, including
electricians, multi-trade operatives and ground maintenance staff, to select
vehicle make and models and specify the vans to ensure they were
Vauxhall was selected as the supplier due to its ability to
meet cost, vehicle specification and van delivery times as well as its
capability to provide service, maintenance and repair though its local
franchise network. Additionally, Ogilvie Fleet involved preferred vehicle
conversion specialist Bott to equip the vans.
The all-diesel van fleet, which operates over a
five-year/75,000-mile replacement cycle, is largely comprised of Vivaro panel
vans with tippers based on the Movano chassis cab.
Mr Pearce, who is in charge of the fleet, said:
“Value-for-money is clearly vital, but the key reason for opting for contract
hire and moving away from outright purchase was that it delivered budgetary
simplicity due to monthly fixed costs. We previously found that service,
maintenance and repair costs could escalate rapidly in the final year or two of
a vehicle’s operating life and that could impact on budget certainty."
The Vauxhall vans are replacing Ford vehicles and Mr Pearce
said he was pleased that the marque has recently announced that the new
generation Vivaro will continue to be built in Luton.
He said: “The new Vivaro will be built in Luton from 2019
and as an organisation operating in Bedfordshire and surrounding counties and
employing local people, we are delighted to be supporting another local
employer by operating Vauxhall vans.”
The full suite of in-life services provided by Ogilvie Fleet
to GUHG also includes: Accident management, daily rental and management of the
legacy vehicle fleet and assistance with its disposal.
Furthermore, the organisation will benefit from being able
to access the supplier’s industry-leading and multi-award-winning MiFleet
Showroom online reporting tool.
In addition a new corporate identity for GUHG is also being
rolled out across the fleet beginning with the delivery of the first 12
vehicles, which is already underway.
Jo Clark, director of sales
at Ogilvie Fleet, said: “Our detailed analysis of GUHG’s van fleet requirements
from acquisition costs through to operational requirements has provided the
organisation with a fleet of cost-effective, modern, smart and efficiently
converted vehicles along with a 24-hour support service ensuring vehicle
mobility and driver safety.”