Plant hire specialist Speedy Hire this week said it expected to grow revenues from its fledgling training and advisory services business from the current 10% of total turnover to 25% within five years.
While the core of the business will remain around plant and material supply, UK managing director David Graham said the challenge was to work more closely with clients and contractors under long term partnership arrangement.
“We are not simply in the business of providing bits of kit to our clients,” explained UK managing director David Graham. “The business is increasingly helping clients with their compliance, process, control and logistics problems.”
Graham said that Speedy’s existing deal with contractor Carillion to provide all hire, training and logistic services was already delivering great savings to the contractor.
He added that since January the firm had also been acting as sole equipment and logistics supplier for retail giant Tesco’s construction activities under a three year deal.
Graham pointed out that forming more such direct partnerships with major clients was part of his strategy, helping and advising across training, regulation, health & safety and logistics.
The move to increase its focus on consulting service comes on the back of its successful work running the London 2012 Olympic on site tools and material supply and training facility.
Graham said that the lessons and benefits from the working on the Olympics site, not least around the commitment to sustainable construction and the value of training local apprentices, was filtering through the business and would eventual pervade the entire industry.
Programmes such as the recently launched One Plan sustainability strategy and the Go Scheme to rate and promote higher performing products are designed to encourage the entire supply chain to become involved.
However, he emphasised that any sustainable or low carbon solution had also to demonstrate that it would add rather than subtract from contractors’ increasingly squeezed margins.
“For any “green” scheme to be effective you have to help clients to save money,” he said. “They all have commitment to sustainability but they also have to measure how well (products and services) perform.”