Cost Reduction Opportunities

We were recently dealing with a controller of another high-tech company that has been expanding rapidly. The controller was very concerned that the company’s cellular costs were increasing out of control but didn’t have the time to monitor them. Not only the costs of usage, but also the management of additions and deletions of wireless devices was a significant concern causing anxiety.

The controller needed someone with knowledge to assume the management and monitoring responsibilities for this area of the company. In the beginning of the engagement, Schooley Mitchell was able to find significant savings in a few hours of analysis for one particular segment of cell phone deployment. As a consequence, we were engaged to complete a comprehensive review of all wireless communications as well as to manage the function.

We have been able to identify over $60,000 in actual cost savings so far and our client is ecstatic.

The Vice-President of a call center was in the process of buying a new phone system to facilitate some expansion just like you. She had received quotes from two suppliers but received back information that served to increase her confusion rather than to provide help. The quotes both contained industry language, and codes that she was not familiar with. The first quote would not even meet the needs that she outlined in the request for quote, and the second quote included items and features she did not need.

The poor information caused delay of the new system because the V-P was so busy with priority items. The businesses’ resources were taxed to the maximum because of confusing technologies and terminology from telecom suppliers. She needed someone with knowledge of the industry and suppliers to get her proper quotes that would meet her needs, both current and future and then help her select the best solution for the call center.

Schooley Mitchell met all of her requirements. We were able to reduce the quoted prices by 15% because of our familiarity with supplier offerings and we ensured that the call centers’ needs were met.

The client saved over 50 hours of time, the headache of going through the process, and they were secure that the right choice was made.

We were working with the CFO of an Electrical Manufacturer that was concerned about a large increase in telecom costs because of their change from selling in North America to selling Globally. He was concerned that his margins would be eroded needlessly if these costs went unchecked.

Sales reps were setting up territories in various countries and were experiencing huge long distance costs. The CFO didn’t want to inhibit their initiative but he didn’t want to throw money out the window either.

He told me that he needed to have the telecom costs reviewed at both the planning stage of opening up new territories as well as on an ongoing basis as things changed and progressed. That was right up our alley. Schooley Mitchell was able to reduce current costs by setting up the appropriate set of suppliers and plans and then adjusting on a quarterly basis for changes in volumes of calls, calling patterns and new supplier initiatives.

Total reduction of telecom costs was 26% plus the client saved all of the time and aggravation of going through the process. More importantly, we helped with the planning process and probably cut their costs by 50% of what they would have incurred without our specialized knowledge in relation to their global initiatives.

"…saved over 22% the first month."

"Though we felt we had a very reasonable cellular plan, your recommendations saved us over 22% the first month.

"We are very pleased with the professionalism and quality of service we've received. We would not hesitate to recommend you to any organization seeking to improve their telecom services and bottom line."

—PJ Kim
Accounting Manager
Galleria Markets, LA

"…reducing annual costs by >$17,000"

"You have far exceeded my expectations, reducing my annual costs by over $17,000 at the Work Source Center in Los Angeles. Obviously you've done a superior job."

—Philip Tan, CFO
UAW Labor Employment & Training Corp.

 

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