DHL’s £100m school food bill taster
SUPPLY chain management firm DHL is whetting the Government’s appetite for budget cuts by claiming it could make £100million in savings from outsourcing food-buying operations for schools.
DHL, which operates the NHS supply chain estimated to have saved over £100million through outsourced procurement, believes a more collaborative approach to food-buying could reduce spending by a fifth.
It said many local authorities operated in isolation with procurement efforts and costs “needlessly duplicated” across the network.
Its proposed system would see schools and other public sector food-buyers served by a range of competitive suppliers, helping to drive down costs, while new opportunities would open up for food suppliers.
DHL head of procurement outsourcing, Roger West, said: “This model works in retail and has been proven to work for the NHS.”