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Press Release:
Alliance Cost Containment Saves
$1.6 Million for National Food Distributor.
by Max Friar, Business Development Manager, Alliance Cost
Containment
Article:
FOR IMMEDIATE RELEASE - Facing strong pressure to
increase profits, a large food distribution company engaged
Alliance Cost Containment to help reduce its indirect operating
expenses. With $400 million in revenue, 4,000 employees, and
more than 50 locations across North America, this company
faced significant challenges with its corporate cost containment
efforts. Alliance Cost Containment was asked to review over
$13 million in annual expenses and $3 million in projected
capital spend. The results from ACC's strategic sourcing,
negotiation and implementation methodologies netted $1.6 million
in annual cost savings.
In regard to maintenance and capital savings, the VP of Engineering
said "ACC managed to collect and compile a large amount
of disparate information about our fleet in a short amount
of time. It was obvious ACC understood the ins and outs of
the materials handling industry because it wasn't long
before they came up with a strategy and implementation plan
to reduce our expenses with several initiatives".
In addition to material handling, maintenance and capital,
ACC delivered savings with outsourced payroll processing,
express mail, packaging, uniforms, mats, telecommunications
and office supplies.
Snapshot of Savings
• MRO/ Capital: $960,000 Savings
• Packaging: $270,000 Savings
• Payroll Processing: $170,000 Savings
• Uniforms: $70,000 Savings
• Office Supplies: $60,000 Savings
• Express Mail: $40,000 Savings
• Telecom: $30,000 Savings
In addition to the significant direct cost savings, the client
consolidated suppliers, eliminating 98 suppliers, as a result
of this successful engagement with ACC.
Alliance Cost Containment is a national expense-reduction
advisory firm.With over 40 offices spanning North
America, ACC's purchasing aggregation and vendor-management
processes provide small and mid-sized business access to the
kind of large corporate purchasing power they are often unable
to capture on their own. ACC also facilitates detailed vendor
management and reporting processes to make sure our clients
capture the savings that we help generate. Established in
1992, ACC is headquartered in Louisville, KY and has served
over 700 clients nationwide.
View press release on Prlog.com
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