Outsourcing & Contractors

Outsourcing & Contractors

Outsourcing & Contractors

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Outsourcing is big business and RP Adam realises that our expert services are relied upon across this hugely varied “industry”. We deal with FM and contract cleaning companies, contract and in-flight catering operators and most recently with the growing prominence of independent purchasing organisations which are becoming more influential in the commercial purchasing space.

Businesses operating in the foodservice contractors industry provide catering services to clients on a contract basis. Major markets for the industry's services include businesses; government departments and local councils; sporting and entertainment venues; tourist attractions; hospitals; schools and universities; nursing homes; airlines; prisons and other institutions. The sector generates annual sales of approximately £9bn and is growing at a rate of 2.5% per annum. Current employment in the industry stands at 149,811 across 2,909 companies. However, the number of enterprises and sector employment are expected to decline over the next decade or so as a consequence of industry consolidation and new technology which is making catering less labour intensive.

We have to be dependable partners for outsourcing service providers none more so than the in-flight catering industry. Within an in-flight operation, 75% of the chemical spend is on mechanical dish and glass washing, and supporting this critical industrial-scale wash process is highly demanding. Planes cannot be delayed waiting for catering carts to arrive, so our clients rely on us to play our part in eliminating machine downtime and ensuring rewash rates are at the lowest possible levels.

We also work with some of the leading Independent Purchasing Organisations in the UK whose role is to deliver cost reductions and/or increased efficiencies across direct and indirect spend categories, resulting in bottom line improvements for companies. We regularly participate in initial benchmarking, supplier assessment e-auctions to help these businesses obtain the best overall value and quality of service from us as a potential supplier.

Some companies shy away from engagement with IPO’s, but RP Adam has over the last five years developed close professional relationships with some of the leading players and have delivered our part in the overall savings package for the IPO and their client. With a reputation for reliability and credibility, we are a perfect IPO partner.

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The FM market in the UK is a relatively new one, probably only 20 years old, but is already a central pillar to the UK economy, valued at an estimated £125billion each year. As procurement processes have become more sophisticated and structured, outsourcing has become a commercially viable option for both the private and public sectors. Although a few larger operators dominate the sector, where economies of scale bring greater efficiencies, the smaller operators also provide quality cleaning services to many private businesses.

RP Adam products cater for the soft services side of facilities management, and are used to clean many diverse high traffic areas ranging from busy shopping centres, airport concourses and concessions through to Category 1 prisons. The sector has traditionally tried to drive down commodity costs from suppliers to protect ever diminishing operating margins, but at what hidden cost? If labour is the most expensive part of the integrated FM offering, then doing the job first time, on time and in full is more profitable for the business and more effective for the customer.

That is why RP Adam offers a service based cleaning package to the contractor market - where we utilise our own employed customer service team to act as extra sets of eyes for the contractor, monitoring site activities and ensuring that the correct products are being used at the right dilution to get the best results first time, every time.

The UK contract cleaning industry has an estimated turnover in excess of £7.2 billion per year, employing over 440,000 people in approximately 13,600 companies. Following several years of lacklustre demand and sustained pressure on contract prices, the industry experienced a return to positive growth in 2014. Inflation busting growth of 3% is forecast for 2015 and beyond, reflecting rising demand from a number of key end use sectors. The industry should return to pre-recession levels by early 2016. By 2019, total industry sales are forecast to increase by £700 million, underpinned by both volume and value growth. We go into more detail on our blog with an article titled ‘The Contract Cleaning Market: Assessment & Future Growth Trends’.

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RP Adam has been a reliable core supplier to the Brakes Group for over a decade and we rely on their technical support to keep our cleaning chemicals range fit for purpose and legally compliant. As a business we demand high standards from our supply chain and the way the technical department assist us on an ongoing basis is of the highest standards. We trust RP Adam’s advice and value their expert opinion.

Non Food Procurement Manager - BRAKES GROUP