What Is Expense Reduction Analysts Linkedin PowerpointPresentation Transcript
Working together to find extra profit
Nadine Stewart | Director Expense Reduction Analysts T 425.277.4084
M 206.226.2188 [email_address] www.expensereduction.com
How can you…
… find extra profit…
… with no loss in quality…
… with minimal impact on staff…
… at no additional cost to you…
… on a sustainable basis?
About Expense Reduction Analysts
Global consultancy firm focused on helping clients increase profitability by reducing G&A/non-core operating expenses.
Network of more than 700 consultants in 35 countries, with 300+ in the United States.
Proprietary tools and benchmark data from more than 14,000 cost-reduction projects.
Find average savings of 20% in multiple G&A expense categories, in 90% of the companies.
100% Contingency Fee = No Savings, No Fees
Lowering Non-core Costs can have a faster and more direct impact in your bottom line A 20% cost reduction or a 40% sales increase would have a similar effect in the profits line. Which one is more feasible? Column1 20% Cost Reduction $ 1,000 $ 350 $ 350 $ 160 $ 140 Today $ 1,000 $ 350 $ 350 $ 200 $ 100 40% Sales Increase $ 490 $ 490 $ 280 $ 140 $ 1,400 Revenue Direct operating costs Labor costs Non-core (indirect) costs Net profit
Small Package Freight
Expense Categories we review
Lab and Medical
Packaging and Shipping
Stationery and Office
Merchant Card Fees
Bottom line: Why engage ERA?
We operate on a contingency-fee model .
ERA requires no budget allowance.
We find and realize savings in 90% of the companies that hire our services.
Average savings generated: 20%
Results No Financial Risk Expertise
Unlimited categories simultaneously reviewed and completed in 90 days.
Experts in 40+ expense categories.
In business since 1992.
Operating in 35 countries.
700+ expense reduction consultants.
Benchmark data from over 14,000 completed projects.
The best tools
A systematic and proven process.
Category experts with industry knowledge.
Cutting-edge proprietary analysis and procurement tools.
Unbiased third party with no preferred vendors.
100% of our revenue come from our share of savings generated for our clients.
We implement the authorized recommendations, and audit and monitor vendor/supplier compliance for 24 months.
Some of our clients
Example of Savings Packaging Client — Cosmetics and consumer products manufacturer Spend — $450,000 Annual Savings — 33% Hidden Savings — $150,000 a year Client — Universal Printing and Manufacturing Company Spend — $325,000 Annual Savings — 21% Hidden Savings — $68,200 a year ____________________________ “ I’m glad we asked for ERA’s assistance. We’re pleased with the savings found.” ~ Mike Dehlic Vice President-Operations Universal Printing
13% Example of Savings Merchant Card Processing Client — NutriSystem Spend — $370,000 Annual Savings — 59% Hidden Savings — $220,000 a year ____________________________ Client — Goodwill of the Heartland Spend — $84,000 Annual Savings — 25% Hidden Savings — $21,000 a year “ It didn’t take me long to appreciate ERA’s professionalism and innovation.” ~ Tammie Erb, CFO Goodwill of the Heartland
Client — Wholesale distributor Spend — $2.1 million a year Annual Savings — 23% Hidden Savings — $400,000 a year ____________________________ 13% 17.8% Example of Savings Freight (LTL, FTL, International) Client — Manufacturer Spend — $256,000 a year Annual Savings — 34% Hidden Savings — $73,000 a year Industry expertise and propri- etary benchmark data led to better pricing with tiered rates
When you combine industry expertise and knowledge with best practices, you can achieve sustainable cost reduction and