The benchmark of VRT Catering and VRT Security has led to a better understanding of our cost structure and ensured we were able to define clear and achievable targets for the next 5 years.
VRT proposed the outsourcing of non-core activities in its transformation plan. The outsourcing of these non-core activities would only be carried out if the internal services could not proceed under market terms and conditions.
The subject of this study was the benchmark concerning market conformity. The non-core activities in the scope of this assignment were divided into two major components: catering and security.
An inventory was created of both the service delivery to the VRT staff and VRT customers with respect to personnel catering, production catering and security, up to the level of the service levels and the variations in the menus. The details about the origins of this service delivery and the cost structure were then viewed in detail. Möbius carried out the check via a detailed cost comparison check to see whether the internal services could proceed under market conditions.
Meetings were held with external caterers and security companies, and compared with the Joint Committee scales. All current internal catering and security activities were objectively compared with a realistic external supplier. Different scenarios and improvement points were calculated. Alternatives to outsourcing were developed.
The result of the study is as follows:
- An objective cost-benefit analysis, and a detailed comparison with external suppliers of catering and security.
- The identification of a series of quick wins with cost savings.
This study enabled the management to make an informed decision about the outsourcing of non-core activities.