Catering for the Aviation Industry
Gategroup is the leading global airline catering, retail onboard and equipment solutions provider with the largest global network in the airline industry, serving more than 700 million passengers annually. gategroup requested Kinect Energy Group, a World Fuel Services division with significant business within the airline industry, to provide a competitive solution for fuel and energy management, inclusive of procurement, portfolio management, cost and consumption reporting, bill validation, budget support and market intelligence.
To begin the process, Kinect Energy conducted a Risk Strategy workshop to ascertain the risk level for various stakeholders in gategroup’s organization.
Gategroup and Kinect Energy Group executed a global agreement managing the procurement of gas, electricity and land fuel. The contract includes full reporting of the energy costs and consumption through the Kinect Online portal, which gives fully transparent reports and easy accessible data. Information is collated at invoice and meter level and aggregated to match business structures. In addition, the Kinect Online provides market and commodity price information for constant benchmarking and monitoring.
The flexible hedging solution, the ability to provide fuel and energy procurement, marketplace knowledge, and the total transparency and reporting were the keys to moving forward with gategroup. In the short time since the agreement was completed savings have already been achieved not only directly by improvements in energy management, but indirectly through the centralization of two commodities with one supplier.
‘The combination of providing both fuel, electricity and gas management was what made working with Kinect Energy and World Fuel Services so easy, as they managed the global project as one team. Other companies could only provide energy or fuel and that meant we would have to deal with two suppliers, which would have meant investing far more time to communications, administration and not having one view of our energy and fuel portfolio.’
Kevin Verburg, Director of Asset & Technology Procurement