WHY DO ORGANISATIONS STRUGGLE TO MANAGE COSTS?

WHY DO ORGANISATIONS STRUGGLE TO MANAGE COSTS?

 

Poor buying can be the silent killer of profit for any organisation. Unless you know what to look for and what can be achieved, price creep can go undetected for years.

Gardele Business Solutions can help organisations of all sizes and across all industries to get the most competitive deals on their essential spend.

Our ‘primary market’ is the small & medium-sized businesses as within this size of organisations it is generally not financially feasible to employ procurement specialists for the full spectrum of goods and services that need to be purchased, and so focus is reserved for specialist costs.

 

Why aren’t we, as organisations, managing our costs effectively?

 

There are a variety of reasons, assumptions, and challenges as to why

Reasons

Who has taken responsibility? We have already mentioned that it is, generally, not realistic to employ procurement specialists.

 

When are your contracts due to end? Who checks these, who agrees new ones or do the assumptions come into play?

 

Apathy in business.

Are business owners and directors taking their financial responsibility seriously, do share-holders realise money is being given away?

 

Assumptions

Suppliers that I buy from give me their best prices

Supplier allegiance does not result in best pricing or service.  Suppliers price on opportunity and ability to drive margin it is their business. Our experience shows that better results can be achieved.

 

I have employees experienced in that area (of business) so we are fine

Expertise in I.T. does not make someone an expert in purchasing in the Telecommunications cost area.

 

Challenges

Benchmarking

What do ‘good’ deals look like? Which suppliers can deliver them? Who are they checked against?

 

Lack of expertise

Purchasing decisions may be made by untrained staff. Are the details of the deal comparable?

 

Lack of contract management

Is the contract being checked, what is the end date, what are the out of contract prices?

 

Removing individualist spend

Ensuring that there aren’t any personal inducements that benefit a decision maker rather than the business.

 

Our aim

Our aim is to find your business the most competitive rates in the market. We work with over 30 utilities’ suppliers for water & energy as well as the best for telecoms and payment solutions and can guarantee savings. We give you our findings for you to make a decision - so don’t sign yet!