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Group 4 cuts its costs

25th May 1995, Page 10
25th May 1995
Page 10
Page 10, 25th May 1995 — Group 4 cuts its costs
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Which of the following most accurately describes the problem?

• Parcels delivery firm Group 4 Nightspeed is replacing subcontractors with owner-drivers in a bid to cut costs and improve service in outlying areas.

Three self-employed drivers have replaced Kernow Express for the delivery and collection of Nightspeed parcels in Cornwall; a similar scheme is due to be launched in Scotland and will be extended to other areas if successful.

Sales and marketing director Keith Brook says the selfemployed drivers are paid a set daily rate for deliveries with an extra payment for each collection. "They lease the liveried high-roof Transit van from us and we supply uniforms and the input technology," he says. "We have encouraged them to be sales and customer-care conscious—in a couple of weeks collection volumes have already doubled."