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New control structure for NCL

10th May 1974, Page 22
10th May 1974
Page 22
Page 22, 10th May 1974 — New control structure for NCL
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Keywords : Business / Finance

THIS WEEK marks the introduction of a new management structure by National Carriers Ltd. The company's 109 depots and sub-depots will be formed into 22 districts, each a "profit centre". A typical district will employ 800 people and 300 powered vehicles and have a :urnover of £3m — so each iistrict will, in effect, be a iizeable business in its own -ight.

Considerable staff hanges result from this najor "rethink" in NCL's )rganization. Most staff dis)laced are being reedeployed within the cornany with the full co-operition of the trade unions ;hiefly concerned, the NUR Ind TSSA.

The executive board at 'JCL hq has been trengthened with three terriorial directors and four unctional directors responible for marketing, operaions, personnel, and finance .nd administration.

The territorial directors vill each oversee a third of he new districts but this is or administrative conenience; it is not intended to endow the territorial directors with powers to develop non-standard operating practices.

Announcing the reorganization last week, managing director Dick Teager explained: "This new organization is the culmination of two years' planning, with the aim of getting closer to the customer on his own ground. Previously, customers often dealt with two or even three levels of management. Now, it will only be one except in the case of very large national customers like Woolworth and Marks and Spencer."

The new structure gives each district manager his own profit target and a much larger measure of authority. It is designed to make NCL much more responsive to customer needs and the company's 20,000 customers are • being told about the new setup.

When the annual report of the National Freight Corporation is published shortly it is expected that NCL's movement towards profitability will be shown to have slowed down last year. Diffi cult trading conditions -experienced by all parcels and smalls operators were the cause.

A feature of the NCL reorganization, believed to be unique within the transport industry, is that the presentation of it to managers throughout the country was by closed-circuit video-tape, followed by a company management conference using the Post Office telephone conference facility.

Tags

Organisations: Post Office
People: Dick Teager

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