The government's announcement that new regulations will restrict labourers using heavy machinery to only a few hours a day has far-reaching financial implications, not just for building companies, but for organisations that supply to them. Shorter hours mean slower contract fulfilment, less work done and therefore less demand for materials. It is clear that suppliers who rely on bulk orders and high turnover must now look for alternative ways of making cost efficiencies. UK-based software house Strategix believes it has the answer: more efficient supply chain management solutions.

"Yes, the legislation will put greater financial strain on British building supplies companies, but it isn't all doom and gloom. Smart companies are already exploring new ways of saving money through the implementation of processes that streamline their business operations," says Peter Lusty, chief executive of Strategix. "The regulations aren't going to go away - we now need to focus on ways to make efficiencies elsewhere, and a key area to target is the supply chain. So much time and money is wasted by inefficient management systems that result in non-delivery, contract penalties and sometimes even the loss of a contract! An effective solution enables greater productivity at lower costs."

The new regulations have been approved by the European Parliament and restrict labourers' use of machinery such as pneumatic drills, industrial trucks and ride-on mowers that can allegedly lead to harmful exposure to vibration.

With the new regulations set in place, it is clear that building supplies companies need to find new ways of improving margins. Strategix, along with its existing distribution customers in the building supplies sector such as Douglas Concrete, Aggregate Industries, and Ambion Brick, has already proved that cost-efficiencies can be made with the right supply-chain management systems.

about strategix
Strategix is a leading European software house, dedicated to the development and rapid deployment of supply chain software.

We focus on the wholesale and retail distribution, logistics and service sectors where our software maximizes supply chain efficiency and accelerates customer service. Our systems are designed for reliability, availability and performance. Our customers enjoy a rapid return on their investment and genuine competitive advantage.

Focused on key growth sectors which range from high technology to household and building products, Strategix numbers businesses such as Fired Earth, Fuller Smith & Turner, Jewson, London Underground, MacLean Electrical, Midwich, Routeco, Virgin Mobile and Wolseley among its customers.

november 2001

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