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Charles Eddolls - Consulting
From CDM to Cost Reduction
Hands on support with a pragmatic approach
Competitions averaged savings of over 30%
Reducing Costs Not QualityNovember 2015
Lower Costs with Increased ProfitsNovember 2015
• Help increase your profit opportunities
• Experience that can solve operational problems
• History shows ongoing supply relationships to be excellent
• Working in partnership with your staff
• Knowledge from reverse auctions and recycling through to purchasing
• Your information always treated in confidence
A broad range of support
November 2015
Lower Costs with Increased ProfitsNovember 2015
Increase your profits with an experts advice
• Produced hundreds of millions of pounds worth of savings
• Reduced costs by over £100 million in a single competition
• Undertaken a £2 Billion supply tender / auction
• Developed a world leading purchasing procedure
• Introduced reverse auctions to HM Treasury saving them
66% in their first auction with an 80% betterment!
• Supplied innovative recommendations
“An Auction in Progress”
Structured reverse auctions from warship refits to
International logistics and:
Lower Costs with Increased ProfitsNovember 2015
Undertook reverse auctions for:
• The Ministry of Defence
• OGCbuying.solutions
• The Office of Government Commerce
• Birmingham City Council
• Tameside
• The UK Hydrographic Office
• Oldham Council
• Cheltenham Council
• The Gloucester Purchasing Partnership
• Tube lines Ltd
• NHS Hammersmith,
• NHS The Royal Free,
• NHS Newham
• NHS Maidstone
• NHS Bath etc
Public sector Private sector
• Aramark
• Balfour Beatty
• BAX Global
• BMW
• Compass Group
• DBC
• European Metal Recycling
• Hellman Worldwide Logistics
• Holt JCB
• London Taxis
• Milklink
• Pall Corporation
• P&O
• Sims Group
• Thyssen Krupp Automotive etc
Lower Costs with Increased ProfitsNovember 2015
Some savings created
Air filters 36%
Aluminum Extrusion 12%
Architects services 14%
Audio & Video Cassettes 26%
Audio/Visual/installations 49%
Automotive Metalwork 20%
Bakery Ingredients 6%
BT Lines 20%
Building Surveyor 14%
Camp Beds 14%
Cameras 10%
Catering 18%
CCTV service contract 43%
Cheese 8%
Chilled/Frozen Goods 18%
Chocolate 7%
Civil and Structural 13%
Cleaning Cloths 54%
Clinical Consumables 18%
Coffee 17%
Commercial Tyres 10%
Compasses 27%
Computer Consumables 63%
Contrast Media 65%
Copier Paper 8%
Corrosion & Icing Inhibitor 5%
Courier parcel services 22%
Derv & Gas Oil exc duty 12%
Diving Apparel 63%
Domestic Couriers 23%
Domestic Linen 10%
Desk top stationary 46%
Electric Office Supplies 33%
Electricity 6%
European Freight 11%
Frigate Refit 21%
Frozen Veg 6%
Fuel DERV 5%
Fuel Gas Oil 5%
Fuel Kerosene 21%
Fuel Transportation 62%
Glasses 6%
Gloves and Linen 43%
Hand and Cutting Tools 39%
Hydraulic and Engine Oil 26%
Incontinence Products 30%
International Freight 32%
Landlines 19%
Lease 22%
Lifts maintenance 25%
Lorry Tyres & Services 11%
Mattresses 40%
Mech and Engineering 13%
Mobile Phone 17%
Mount 54%
Oils and Lubricants 37%
Operating Theatre Products 19%
Parts Haulage 31%
Plastic bins 26%
Pasta 36%
Plasma Torch Consumables 19%
Pocket Pack Tissues 62%
Postage 16%
Power Cables 26%
PPE 37%
Printer Consumables 40%
Printing 47%
Project Manager 16%
Quantity Surveyors 13%
Rehabilitation Consumable 19%
Risk and Value 13%
Rock Salt 24%
Shirts 47%
Specialist Batteries 5%
Stainless Steel Sheets 9%
Stationery 64%
Steel 15%
Steel Storage / Furniture 8%
Tarpaulins 27%
Temporary staff 16%
Thomas Bins 14%
Tissues 66%
Trailer 22%
Trailer Hire 16%
Urology Consumables 7%
Welding 45%
Wound Management 15%
“Explaining auctions to Sir Michael Lyons”
Lower Costs with Increased ProfitsNovember 2015
approach
supply
the
other
way
round…
Following the tender I agreed to :
• Buy at least 50 machines per year for five years
• An 85% buy back after year one
• Be paid for the buybacks as we paid for the new machines
• Pay for the machines against a one year promissory note
• Have the machines maintained by the supplier within the cost
The result was that:
• We always ran new machines (max twelve months old)
• We had no cost of maintenance
• Each machine cost 15% of the discounted new price each year
• We had total reliability and improved productivity at a low cost
• We had a nominal cash flow requirement
Think “Outside-of-the-Box” in supply contracts
At Coopers we needed over 50 new cranes so I tendered for long reach
machines with Ardennes grabs and wired for magnet use.
Lower Costs with Increased ProfitsNovember 2015
· My transport knowledge enabled me to advise a Blue Chip client to
stop its sub - contractors deliberately overloading vehicles. This
practice could have resulted in prosecution with a serious cost to the
client and an irreversible loss of reputation
· Commercial experience enabled me to remove historic “provision cost
inclusions” in contracts that amounted to £3 Million on each of up to
five separate contracts that were placed each and every year
· By structuring a tender and auctioning a supply contract I saved
London Taxi International over15% on their steel supply costs whilst
retaining the same provider
Find the solution
Lower Costs with Increased ProfitsNovember 2015
Loading the “Bella Mondo” with scrap metal
Let a specialist with a unique track record assist you and your team
Tel +44 (0) 1793 752 485
http://dld.bz/dXGTh
How to contact me
Email me for free information:
charleseddolls@cygnetconsultancy.com
Charles Eddolls – Consulting

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CE Power Point.ppt November.ppt 3

  • 1. .. Charles Eddolls - Consulting From CDM to Cost Reduction Hands on support with a pragmatic approach Competitions averaged savings of over 30% Reducing Costs Not QualityNovember 2015
  • 2. Lower Costs with Increased ProfitsNovember 2015 • Help increase your profit opportunities • Experience that can solve operational problems • History shows ongoing supply relationships to be excellent • Working in partnership with your staff • Knowledge from reverse auctions and recycling through to purchasing • Your information always treated in confidence A broad range of support November 2015
  • 3. Lower Costs with Increased ProfitsNovember 2015 Increase your profits with an experts advice • Produced hundreds of millions of pounds worth of savings • Reduced costs by over £100 million in a single competition • Undertaken a £2 Billion supply tender / auction • Developed a world leading purchasing procedure • Introduced reverse auctions to HM Treasury saving them 66% in their first auction with an 80% betterment! • Supplied innovative recommendations “An Auction in Progress” Structured reverse auctions from warship refits to International logistics and:
  • 4. Lower Costs with Increased ProfitsNovember 2015 Undertook reverse auctions for: • The Ministry of Defence • OGCbuying.solutions • The Office of Government Commerce • Birmingham City Council • Tameside • The UK Hydrographic Office • Oldham Council • Cheltenham Council • The Gloucester Purchasing Partnership • Tube lines Ltd • NHS Hammersmith, • NHS The Royal Free, • NHS Newham • NHS Maidstone • NHS Bath etc Public sector Private sector • Aramark • Balfour Beatty • BAX Global • BMW • Compass Group • DBC • European Metal Recycling • Hellman Worldwide Logistics • Holt JCB • London Taxis • Milklink • Pall Corporation • P&O • Sims Group • Thyssen Krupp Automotive etc
  • 5. Lower Costs with Increased ProfitsNovember 2015 Some savings created Air filters 36% Aluminum Extrusion 12% Architects services 14% Audio & Video Cassettes 26% Audio/Visual/installations 49% Automotive Metalwork 20% Bakery Ingredients 6% BT Lines 20% Building Surveyor 14% Camp Beds 14% Cameras 10% Catering 18% CCTV service contract 43% Cheese 8% Chilled/Frozen Goods 18% Chocolate 7% Civil and Structural 13% Cleaning Cloths 54% Clinical Consumables 18% Coffee 17% Commercial Tyres 10% Compasses 27% Computer Consumables 63% Contrast Media 65% Copier Paper 8% Corrosion & Icing Inhibitor 5% Courier parcel services 22% Derv & Gas Oil exc duty 12% Diving Apparel 63% Domestic Couriers 23% Domestic Linen 10% Desk top stationary 46% Electric Office Supplies 33% Electricity 6% European Freight 11% Frigate Refit 21% Frozen Veg 6% Fuel DERV 5% Fuel Gas Oil 5% Fuel Kerosene 21% Fuel Transportation 62% Glasses 6% Gloves and Linen 43% Hand and Cutting Tools 39% Hydraulic and Engine Oil 26% Incontinence Products 30% International Freight 32% Landlines 19% Lease 22% Lifts maintenance 25% Lorry Tyres & Services 11% Mattresses 40% Mech and Engineering 13% Mobile Phone 17% Mount 54% Oils and Lubricants 37% Operating Theatre Products 19% Parts Haulage 31% Plastic bins 26% Pasta 36% Plasma Torch Consumables 19% Pocket Pack Tissues 62% Postage 16% Power Cables 26% PPE 37% Printer Consumables 40% Printing 47% Project Manager 16% Quantity Surveyors 13% Rehabilitation Consumable 19% Risk and Value 13% Rock Salt 24% Shirts 47% Specialist Batteries 5% Stainless Steel Sheets 9% Stationery 64% Steel 15% Steel Storage / Furniture 8% Tarpaulins 27% Temporary staff 16% Thomas Bins 14% Tissues 66% Trailer 22% Trailer Hire 16% Urology Consumables 7% Welding 45% Wound Management 15% “Explaining auctions to Sir Michael Lyons”
  • 6. Lower Costs with Increased ProfitsNovember 2015 approach supply the other way round… Following the tender I agreed to : • Buy at least 50 machines per year for five years • An 85% buy back after year one • Be paid for the buybacks as we paid for the new machines • Pay for the machines against a one year promissory note • Have the machines maintained by the supplier within the cost The result was that: • We always ran new machines (max twelve months old) • We had no cost of maintenance • Each machine cost 15% of the discounted new price each year • We had total reliability and improved productivity at a low cost • We had a nominal cash flow requirement Think “Outside-of-the-Box” in supply contracts At Coopers we needed over 50 new cranes so I tendered for long reach machines with Ardennes grabs and wired for magnet use.
  • 7. Lower Costs with Increased ProfitsNovember 2015 · My transport knowledge enabled me to advise a Blue Chip client to stop its sub - contractors deliberately overloading vehicles. This practice could have resulted in prosecution with a serious cost to the client and an irreversible loss of reputation · Commercial experience enabled me to remove historic “provision cost inclusions” in contracts that amounted to £3 Million on each of up to five separate contracts that were placed each and every year · By structuring a tender and auctioning a supply contract I saved London Taxi International over15% on their steel supply costs whilst retaining the same provider Find the solution
  • 8. Lower Costs with Increased ProfitsNovember 2015 Loading the “Bella Mondo” with scrap metal Let a specialist with a unique track record assist you and your team Tel +44 (0) 1793 752 485 http://dld.bz/dXGTh How to contact me Email me for free information: charleseddolls@cygnetconsultancy.com Charles Eddolls – Consulting