A feasibility study carried out on behalf of Camden, Waltham Forest and Enfield Councils focused on obtaining supply chain savings and environmental benefits through procurement.
The study recommended the use of a London Boroughs Consolidation Centre (LBCC) which is a facility that channels suppliers’ deliveries into one central point. The goods are then sorted onto fewer vehicles for the final ‘leg’ (last mile) of the journey to Council sites, on a just in time basis. The LBCC is not designed to be a warehouse for long term storage. Following the study and initial trial, Waltham Forest and Islington Council joined the LBCC.
Funding for the LBCC is secured until 2015 from the Mayor’s Air Quality Fund, London Borough of Camden and the EU funded LaMiLo (Last Mile Logistics) project. LaMiLo is investigating efficient sustainable ways to carry out last mile logistics to achieve environmental benefits.
The LBCC is a shared resource between London boroughs of Camden, Enfield, Waltham Forest and Islington. The facility is based in Edmonton and is currently operated by DHL. It is a 2,000 sq ft warehouse space but could be expanded to 8,000sq ft if demand grows. It serves over 300 council buildings across the four boroughs in Central and North London.
When it first opened, only four suppliers were delivering to the LBCC. Since Camden's move to its new civic building at Pancras Square, the number of suppliers using the LBCC has increased to 72.
All inbound goods from the initial four suppliers are delivered to the LBCC at pre-agreed time slots (6.30am-8.00am). Goods from other suppliers can arrive at any time between 6.30am-6pm. The goods are then consolidated and delivered to the Councils' buildings (9.30am-4.00pm) by DHL, with collections returned to LBCC.
Two vehicles are currently making the final delivery to council buildings. Vehicles are now operating at 80% or higher utilisation. In the 12 months of operation, the LBCC consolidated 51,000 items for delivery fulfilling 9,700 orders. Only 0.64% of items were returned.
The environmental credentials of the centre will be further enhanced following the introduction of an electric Nissan commercial vehicle.
The aim is the the LBCC will be self-funding in the longer term. This can be achieved through:
As short delivery distances are travelled, the adoption of electric vehicle technology will lead to substantial environmental benefits.
By September 2015 the LBCC aims to achieve:
For more information on the pilot, please contact: Nigel.Symonds@camden.gov.uk