Cost Reduction Solutions:
Identifying Challenges, Creating Opportunities
month bills come in, are hopefully reviewed, and then paid
– many without question. Some vendors are paid quicker
than others, but your financial obligations are met and the
business carries on.
It has been our experience that most
organizations do not regularly review their expenditures – and that costs money – lots and lots
of hard earned dollars.
OPEX Canada has saved its clients hundreds
of thousands of dollars. Our Cost Reduction Solutions use
many tools to identify and expose those areas of your business that could be bleeding money.
Saving money is a corporate responsibility – it must be engrained in the culture. Adopting an ‘every
penny counts’ attitude from the top executive
on down creates prudent fiscal management.
What are some of the OPEX Cost
Trial Balance Review: Question
- Do you know where and how much of your money is going
each line item on your ledger?
- How much is going to energy consumables?
- What are your telecommunication costs: land lines and
Recently OPEX saved an organization $18,000
in payroll services annually; $25,000 in fuel annually; reduced
it telephony costs by 35% and more. We can and will do the
same for you!
“OPEX Canada left no rock unturned. The focus, speed and energy invested were to say the least “breath taking”!
As the newly appointed President of NCVW Bay City Michigan, I contracted OPEX Canada LTD to review the organization and conduct an initial Business Tune-Up Analysis. The quality and insightfulness of the recommendations, combined with the professional and unobtrusive speed of execution of the survey, resulted in the contracting of OPEX Canada to implement operationally and most importantly without exception all recommendations. Under the OPEX Canada credo - “Every Single Penny Counts” - the following areas of improvement potential were identified:
- Review all manufacturing plants to improve efficiencies
- Assist Sales with a forecasting strategy for committed purchase orders from largest customers
- Assist in the growth and development of the newly created position of Chief Operating Officer
- Assist with the implementation of a 3 vendor rule to assure best possible pricing and service
- Overhaul the archaic IT systems within the organization to set the required parameters for growth
Within the 4 months allotted to the project, OPEX Canada left no rock unturned. The focus, speed and energy invested were to say the least “breath taking”. The regular and dependable feedback, to myself the President on progress and recommendations (learning by doing), was in my opinion second to none. OPEX Canada is self-initiating in its approach and execution of agreed objectives.
In its fee structure, OPEX Canada displayed no hesitation defining payment based on performance – such is its belief in its own capabilities. It was a pleasure for NCVW to make the final “bonus by results” payment to OPEX Canada on completion of the project.
On a personal note - every company is defined by its differentiating resource – its employees. David Balaban fits firmly into this definition of a valuable resource. I not only highly recommend OPEX Canada the company but also David Balaban personally. NCVW will most definitely be utilizing both of these two resources in the continuation of its quest for growth and excellence.
Vendor Analysis: Actively
Pursue Best Pricing
We all have our favourite vendors. Have
you challenged their pricing lately? Many people
get into a comfort zone with their vendors – don’t
let that become a challenge for you.
Creating relationships so that you are
always on your vendor’s radar scope for best customer
discounts is one thing – and a good thing to foster,
but compliancy or familiarity can breed unnecessary
expenditures and WASTED money!
OPEX has relationships with various vendors
in many industries – hardware, furniture and office
supplies to name a few. Relationship management has always
fostered the best pricing practices.
We have saved our clients thousands of
dollars by implementing a 3 vendor philosophy; any expense
over a certain dollar value must be quoted by 3 vendors or
it is not even considered.
Keep your vendors working for you; be on
your toes and don’t ever get passive;
vendor management is an active process – be
active, in tune and save money.
Employees: They want praise
not a raise!
Notice your employees. Write a personal
note thanking them for going the extra mile. It costs you
NOTHING but gives you everything – an employee
will work harder to make you money if s/he is praised for
- Do you have your ‘A’ Team helping you run your business?
- Are you settling for ‘B’ or ‘C’
An ‘A’ team player will reduce
your daily burden and allow you to concentrate on
growing your business, maintaining client relationships and
save you money.
How would it feel
if your employees
told you how to save the organization money?
Really good. Why not save money by creating
an incentive program in your company? Remember,
if it saves you money, you can reinvest a portion of the savings
on an incentive package.
Praise is important and required
but a show of good faith with a monetary investment now and
then goes a long way.
OPEX has assisted companies on culture
change and accepting new ways of doing things better. By helping
organizations instill an ‘every penny counts’
philosophy coupled with recognition and incentive programs
is worth its weight in gold.
When an employee sees their picture on
the front of your company’s newsletter explaining how
Jennifer or Mike saved the organization $10,000 annually by
implementing a new way to do business – the floodgates
will open; foster in-house creativity.
There is no
better time to start
saving money than right now.
Call OPEX Today
Let Us Help You