TNT joins tender fray
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• TNT has joined rival Wincanton in launching a specialist public sector division to cash in on Government legislation forcing local authorities, the NHS and other bodies to tender out their transport operations.
TNT Public Sector will be part of the larger TNT Contract Services and aims to have at least three contracts worth a total of £7 million by next year. It is currently in "active discussions" with 30 health authorities and an announcement on one of these will be made shortly, says general manager sales and marketing Paul Carvell.
Two executives will head the operation. Bob Deeney, who used to be with National Freight Consortium and Bob Ewings, director of planning at East Birmingham Health Authority, who is on secondment to TNT.
The division will offer packages on refuse collection, removal of hazardous waste, street cleaning, school transport and distribution for local councils or health authorities. TNT says it can also handle purchasing for these bodies.
TNT and Wincanton are not the first transport firms to offer packages to the public sector. Transfleet and other smaller local-based companies have been in the market for several years and are looking to step-up business with the 'corning into effect' of the new legislation.
Transfleet says it will announce a major deal with a Midlands council for 100 vehicles within days and two other contracts are in the pipeline.
Public service contracts manager Rob Kerridge, appointed four years ago, admits that Transfleet has had "its own way" until the TNT and Wincanton launches, but says he is "not particularly worried by the competition".
Transfleet claims it was the first transport company to win the contract to run and maintain a council's entire fleet with Three Rivers District in April 1984. It followed this with similar deals with Woking Borough Council and Runnymede Borough Council, maintaining both sets of vehicles from a joint workshop.
When it acquired Mitchell Colts transport company this year, Transfleet took over its contract-hire agreement with Hammersmith and Fulham council and with North East Thames Regional Health Authority. Transfleet already has a contract with South West Thames Regional Health Authority.
Although TNT predicts that several other big transport companies are likely to follow by setting up specialist public service arms, rival National Carriers Contract Distribution says it has no definite plans. NCCS, however, does work with the armed forces and the prison service in certain regions.