Don’t forget your business costs will still be there after your summer holidays…

Auditel [http://auditel.co.uk/] is the UK and Ireland’s leading provider of strategic cost management. Over the last two decades, their team of over 200 highly-skilled professionals has built a reputation as trusted advisors to medium and large organisations.

Chris Allison, Auditel’s Managing Director says: “Many companies still choose to divert in-house resources from their strategic roles to carry out time-consuming cost management exercises. These may do little more than scratch the surface of what is achievable. By outsourcing your organisation’s cost management to Auditel, your team will regain the time and peace of mind to use their talents and excel in their specific areas.”

Auditel began to lay the foundations of Strategic Cost Management in 2012. Extensive independent research was undertaken. Together with leading business publication Management Today a survey was conducted. The results, from over 120 business leaders, underlined the fact that there is a genuine lack of understanding in the business world between simple cost cutting exercises and strategic cost management.

The survey showed that cost reduction is just part of the process. You need a strategy in place to make sure that those costs are monitored on a regular basis. You need the right people, tools, knowledge and processes.

In addition to these features, Auditel provide independence, aggregated buying power and experience of the supplier market. This means that their service, far from becoming yet another cost can pay for itself, over and over again, by delivering highly effective and sustainable cost management solutions for the long term.

Over the past 20 years, Auditel has helped more than 5,000 businesses. Here is a case study taken from one of their recent clients.

WBC – better known as The Winebox Company – is the UK’s leading trade supplier of gift packaging to independent delis and some of the biggest names in the specialist food and drinks market. Success depends on anticipating trends and offering the right products at the right price.

Joint Managing Directors, Tim Wilkinson and Andrew Wilson were sure that they were on top of their business costs, but felt there would be no harm in examining the rates and benchmarking some of their suppliers. They initially asked Auditel to investigate their logistics, merchant cards, energy and insurance costs. Andrew says: “It made sense to ask an expert to check”.

First of all, Auditel analysed WBC’s tariff for palletised freight and reported that these were competitive. “We would never recommend changing supplier unless it was truly in the client’s interest.”

Next, Auditel helped to better a well-priced insurance renewal offer from WBC’s existing brokers while obtaining an improved level of cover. A simple example of how a fresh pair of eyes can make a real improvement.

With millions of pounds taken via credit and debit cards, with multi-currency accounts, card processing fees were next under the microscope. Auditel saw that although the headline rates for processing looked reasonable, the premium and other charges meant WBC were paying too much. Four unused merchant accounts were quietly racking up minimum usage charges.

Cancelling the dormant accounts and finding a better deal for the online processing gateway were quick wins that will return some £2,500 to cash flow. Careful tendering of the card processing achieved a 29.5% reduction in charges, worth around £52,600 over the next three years.

Energy was next, and Auditel is in the process of bringing the various head office and warehouse supplies of gas and electricity under one umbrella. This has already resulted in some £700 of savings with further economies to come. The next project will be energy efficiency, seeking to make further savings while minimising WBC’s environmental footprint.

“Auditel has achieved substantial economies and process improvements, leaving us free to concentrate on running the business,” says Andrew Wilson. “The cash released can now be put to strategic use, helping us to innovate and grow. At first I was sceptical, but now I’m an Auditel convert!”

Total savings to date on electricity, insurance and merchant cards: £59,620

Chris Allison adds: “As with most companies, there is a constant barrage of sales calls offering a wide range of products and services. With Auditel on board, the staff no longer have to spend their time dealing with those calls. They simply pass them on to us.”

“With the current uncertainty about the economy, strategic cost management could play an important part in your continuing success. If you would like to enjoy the tangible benefits and peace of mind between now and your next summer break that Auditel delivered to WBC why not contact us today to book your Strategic Cost Review”?

About Auditel.

For over 21 years, Auditel has been reducing financial waste and improving bottom line profits for thousands of organisations throughout the UK and Ireland with their strategic cost management. Their clients range from small businesses to global brands such as Pizza Express, YMCA and Oxford University. Auditel's flexible fee structure gives clients' the choice and the ability to manage costs and strategy for the long term.

For more information about Auditel, please contact Norman Grossman on 07966 436717 or by email: norman.grossman@auditel.co.uk