Flexible contract saves pet food company thousands

News Story
- 23 Jun 2011 ( #519 ) - Cannock, United Kingdom
2 min read
Golden Acres expects to save thousands of pounds with new forklift hire contract.
Golden Acres expects to save thousands of pounds with new forklift hire contract.
Briggs Equipment will supply 34 new Yale counterbalance forklifts as part of a five-year, flexible contract to pet food manufacturer Golden Acres.

The "Flexihire" contract, which allows customers to hire their fleet on a five-year contract but withdraw with one month's notice after a 12-month period, is expected to save Golden Acres thousands of pounds as it undergoes a major expansion program. The company plans to double in size over the next 10 years and is altering its fleet to match its growth.

Golden Acres production director Jim Whittingham says the company aims to double its turnover to GBP100 million (USD161.6 million). It is currently in the process of building a 100,000 sqft. (9,290 sqm) warehouse at its main site in Bretherton, Leyland. It is also purchasing a 200,000 sqft. (18,581 sqm) warehouse, which will be its new distribution centre for all finished products, and for its mail order distribution.

"Briggs' Flexihire contract will help us to proactively manage our operations to minimise any disruptions to our services. Plus, with the new Yale trucks, we will see significant reductions in repairs and maintenance, improving usage and, therefore, productivity," Whittingham says.

Golden Acres had been using short-term rental equipment on a week-to-week rolling contract with Briggs, where a service engineer was continuously needed onsite to repair and maintain the machines.

Briggs sales executive Mark Welsby says the Yale forklift distributor suggested a Flexihire contract to give Golden Acres more flexibility in a time of major change.

"Now that the older trucks have been replaced with brand-new Yale machines, our engineer spends less than half the time onsite and performs only the necessary preventative maintenance to ensure optimum truck [use]," he says.

The Yale machines come with a speed restriction control of 10 mph. (16 km/h) to reduce accidents and damage. An engine shut-down facility, which automatically switches the machines off after 30 seconds of idling, has reduced machine usage by nearly 50%.

Golden Acres has a relationship with Briggs that goes back nearly 18 years.

The value of the contract is confidential.
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