Qantas’ review of the two-year contract forms part of its Procurement Transformation Programme. The switch is expected to deliver savings on print in excess 25 per cent as well as service improvements through a digital asset management system and a consolidation of the supply base with routine form printing.
Anthony Karam, managing director of TMA says, “The contract represents further expansion of our print management presence in the market place, and allows TMA to continue to grow on its strong B2B foundation. Print management continues to be an area of growth for the Group.”
Responding to the lost contract IPMG said the Qantas review was a process driven by the need to reduce organisational cost by $500m. To achieve this goal, respondents to the tender were asked, amongst many other concessions, to source pricing from low cost countries. IPMG outlined that as a large employer, supplier and supporter of Australian print industry, chose not to comply with this requirement.
Stephen Anstice, CEO of IPMG says, “IPMG holds industry leading environmental standards, occupational health and safety standards and complies with all Australian Labour laws. We will not represent anyone who does not either meet these standards or have documented polices demonstrating a commitment to strive towards these standards.
“We are also requested to agree to fixed costs in both material and labour for an extended period and in our view this is simply not possible. These factors have obviously worked against us in the evaluation process.”
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter