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Expense Reduction Analyst Mark Davis first began his partnership with Don-Bur over three years ago in order to reduce their expenditure costs. Financial director for Don-Bur, Rick Bloomfield initially engaged Mark to review stationery and white cotton cleaning wipes. Great results were achieved for Don-Bur when over 35% worth of profits were found and implemented in each category.
This gave Mr Bloomfield the confidence to engage Expense Reduction Analysts in larger, annual expenditure categories. Mark continued to review expenditure in engineering consumables, the first being fasteners and fixings, a category in which costs are in the high six figures annually. Due to the high volume of data for analysis being covered Mark invited fellow Expense Reduction Analyst Bruce Windeyer into the project to assist in profiling the current purchase data.
Despite the steeply rising steel market at the time, Expense Reduction Analysts achieved a good result. Increasing the profits of the company by 5% on fasteners and fixings with the incumbent supplier. As quality remains a top priority for Don-Bur, two of the key objectives were to ensure that disruptions were kept to a minimum and the quality of goods was not compromised.
Mr Bloomfield proceeded to suggest further engineering projects to be undertaken, and as a result Mark also invited fellow Expense Reduction Analysts consultant John Stringer who had many years experience within the engineering sector prior to joining Expense Reduction Analysts and was therefore an ideal candidate to review the categories in engineering consumables.
The categories covered general engineering consumables, through to specific consumables such as welding and special fixings. John, having carried out extensive research was able to achieve excellent profits that ranged from 14% to 26%.
Mr Bloomfield has been highly impressed with all the work Expense Reduction Analysts has done for the company, he states; “I am perfectly happy to share the profits made with Expense Reduction Analysts as these profits would not have been achieved in the same timescales with our own resources. Their involvement during the audit period also provides a second check for our accounts department that correct prices have been invoiced and when not the case, Expense Reduction Analysts were tenacious in their pursuit of credits on our behalf”. As a result of the profits achieved further projects have followed in the areas of Plywood, graphic supplies and couriers.
The client had a free ‘health check’ on their courier distribution costs, since Expense Reduction Analysts could not improve upon their current rates, due to the nature of the client’s traffic. During the last three years, Expense Reduction Analysts has also carried out numerous energy cost renewal negotiations on a fixed fee basis, and their relationship continues moving forward.
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