A BRIEF HISTORY: Public sector
efficiencies, in particular the need for more efficient cost management became
the Government's prime focus some three decades ago. As a result of this in the
late 1980s, the Government recognised that privatisation and by default,
outsourcing of non-core activities, was crucial for the growth and development
of the nation.
With this came the onus to create higher service levels, for
which close cooperation with the private sector was necessary as both are
mutually responsible in achieving the aspirations of the nation.
SETTING UP OF SPANCO: SPANCO is a good example of how
professional private organisations with specialised skills are used to manage
the Government's non-core activities more efficiently so higher service levels
can be achieved.
Through outsourcing, SPANCO manages the Government's fleet of
saloon cars, and the Government is relieved of this non-core operational
SPANCO was incorporated on 16 August, 1988 and commenced operations on 1 January, 1994. Today
is the leading independent fleet management company in the country, with all the
Federal Government ministries using SPANCO to provide and maintain their
fleet of saloon cars.
CORE BUSINESS: SPANCO manages the supply and maintenance of
our customers' fleet of vehicles. Clients are therefore relieved of huge upfront
capital expenditure including administrative and manpower related hassles.
ACCREDITED SERVICE CENTRES: As a Professional Fleet Manager, vehicles are
replaced at fixed replacement cycles, and regularly serviced and checked for
optimum performance and road-handling. We have two
regional service centres, supported by a network of over 200 Accredited Service
Centres nationwide that ensure vehicles are kept on the road with minimum
We utilise a sophisticated and fully-integrated
Fleet Management Information System that besides helping manage the fleet,
delivers real-time information on vehicles. Developed internally, this system
also provides our customers with up-to-date fleet reports.
IS09001:2008 CERTIFICATION: In our quest to attain the highest levels of
professionalism and efficiency, SPANCO's main service centre, SPANCO SERVICES
SDN BHD, successfully obtained the prestigious and internationally recognised
IS09001:2008 certification for fleet repair and maintenance services. This
certification confirms SPANCO's high standards. We also have access to
international standards and practices and is a member of The Australasian Fleet
Management Association. It is affiliations such as these that afford SPANCO the
opportunity to continually review our systems, procedures and technology.
A Focused, Customer-Centric Structure...
SPANCO & the
Government of Malaysia
Outsourcing, defined as the practice of contracting work to a
third party, was identified by the Government as a way of increasing
FULFILLING THE GOVERNMENT'S NEEDS: One specific administrative duty of the Government's was the provision and
maintenance of its fleet of saloon cars. The Government recognised that
budgetary constraints led to an aged fleet that in turn affected timely
replacement cycles, escalating maintenance costs, frequent breakdowns and poor
serviceability of its vehicles.
SPANCO was given the responsibility to supply and maintain
all the Federal Government's fleet of saloon cars effective 1 January 1994 for a
period of 25 years. With this, the Government was able to address these issues
while fulfilling the need to have a professionally managed fleet of saloon cars
with high serviceability levels.
The Government has
benefited in the following ways:
overcome budgetary constraints
cost-savings and reliable service
replacement of vehicles on pre-determined cycles
improved availability of vehicles (97%) and operational
efficiencies through better maintenance programmes
a new and current fleet
revenue from sales of its existing aged fleet
dispensed with replacing aged vehicles
current fleet is less than 5 years old
no cost overruns
relief from managing fleet
SPANCO has since transformed the fleet
through the seamless application of our integrated fleet management solutions.