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Case Studies

Do you suspect that you are paying too much for Gas,Water or Electricity?

Leaks, errors and oversights frequently lead to duplication of costs. Many companies have no idea how commonly these problems occur and consequently pay too much for water and gas.

Make extra profit without making any extra effort.

Most organisations in the public and private sector are paying more than they need to for electricity. Compounded by complex tariffs, the need to agree ‘Available Capacity ’ up front, industry deregulation and misunderstood ‘building profiles ’, companies focus on their core business and don ’t have time to investigate possible overcharging.

We can find out for you .We are totally independent, thorough and promise minimum disruption to your business.

Add £100,000 of additional revenue without spending a penny!

A company with a typical net profit margin of 5% has to generate around £100,000 extra revenue to raise its net profits by £5,000. Effective Profit enhancement can do this easily. The Profit Partnership reveals and recovers lost sources of profit without any threat to your cash flow or bottom line. In our experience, companies do not have the time and expertise to always achieve best results from suppliers.

See how we do the legwork for you in the following areas:

Gas: 46% discount on a gas bill

Water: £12,000 refund on a water bill

Electricity: Shocking Electricity bill raises questions

Stationery: Up to 75% reduction on individual stationery lines.

Telecoms: Make money on the phone without selling a thing!

Distribution: £23,000 reduction in transport costs

Waste: 25% reduction in annual waste disposal costs PLUS £24,000 refund!

Gas: 46% discount on a gas bill

The facilities manager of an international organisation supplying leading edge technology asked us to review their high gas supply costs.

Profit Booster Methodology brings results

Two companies were claiming to be the supplier .We assessed the two suppliers and noticed that one was charging far less than the other. Since neither supplier could produce the original contract, we negotiated through Transco, the company put in place by the regulator to handle such issues.We convinced them that the cheaper company was the correct supplier. This resulted in an immediate refund of £18,000 on the £40,000 gas bill as well as a 20% reduction on the future contract.

Result

Immediate refund of £18,000, 20%reduction on future bills

Water: £12,000 refund on a water bill

The Financial Director of a company providing small telephone infrastructures overseas believed his company must be suffering a water leak.

Profit Booster Methodology spots a local problem

Our profile of water usage throughout the site indicated a far higher usage than was possible. We examined the pipeline to find a potential leak but instead found a sub-meter that fed off the main one. Bills were being charged to the company based on readings from both meters. This resulted in The Profit Partnership obtaining a massive refund of £12,000 for the client. The potential for future overcharges was removed.

Result

Refund of £12,000 for our client including an £1,800 goodwill payment.

Electricity: Shocking Electricity bill raises questions

After a successful pilot project, we were asked to examine the high electricity costs of an IT systems integrator operating from several sites.

Profit Booster Methodology tracks meter malfunction

The site was a sub 100KW user. This was significant from the point of view of the tariff structure as well as the way we approached the problem. We produced a building profile from the archived electricity invoices and recognised an Available Capacity issue. Our investigations, interviews with suppliers and data from the building profile, showed a meter had started to mis-record consumption two years earlier and pushed the Availability Capacity up to a very high level which affected the charges made. The Profit Partnership spotted it and immediately negotiated a refund of £11,000. The tariff was re-negotiated. All with minimum disruption to the client.

Result

Immediate refund of £11,000, Compensation of £2,000, Profit enhancement of £10,000

Stationery: Up to 75% reduction on individual stationery lines.

A national, multi-site Housing Association was spending £85,500 annually on stationery from a sole supplier. The Client wanted more control over its costs and asked us to see what could be done.

Profit Booster Methodology passes ‘best value’ audit test

The Profit Partnership used a detailed analysis to reveal where savings could be made and future use monitored. Our business processes were subjected to rigorous testing and we were shown to be totally independent, transparent and that all savings were proven and supported by the Association ’s ‘best value ’ audit. After review, four companies were invited to tender. The incumbent supplier’s reduction of 15% was beaten by another company ’s 25%reduction. Our Post Implementation Audit now tracks the use of 180 items every quarter and makes it easy for the Housing Association to monitor its stationery usage.

Result

Cost of individual lines reduced b as much as 75% Annual reduction in costs of approximately 25%. Direct £22,000 addition to the Association ’s profitability.

Telecoms: Make money on the phone without selling a thing!

An IT company operating across a number of sites had hundreds of employees making calls.

Profit Partnership challenges Telecoms supplier records

Through detailed analysis we identified a number of questionable charges. Our expert knowledge of the telecoms market provided the solution. The company realised that our detailed negotiations would not involve itself or cause disruption.
We knew that the telecoms supplier maintained information about our client on three separate databases that were not integrated. Based on our enquiries we were able to present to the telecoms provider the telecoms provider our detailed analysis seeking a sizeable refund. They accepted our findings. This began a process that ultimately led to a very substantial refund of £90,000 plus a goodwill payment of £9,500.

Result

£26,000 for charges on circuits that the telecoms provider had already replaced. Over £33,000 from discounts not processed by telecoms provider.

Distribution: £23,000 reduction in transport costs

A Heating and Ventilating company, moving palletised products to all parts of the UK as well as overseas, wanted to reduce their overall £210,000 annual budget.

Profit Booster Methodology reduces costs through tender

We analysed consignment movements. The company spent £150,0000 on UK freight and £60,000 on overseas distribution. Following our recommendation that the contracts be put out to tender, the existing carrier reduced his UK tariff by 4% or £6,000. The client was pleased to continue with the existing local supplier as the service was excellent. A new company was elected for overseas freight forwarding who offered a range of reductions: 8% for air freight, 35% for sea and 16% for road freight. This represented an overall saving of 28% or £17,000 on export costs.

Result

The Profit Partnership secured an overall reduction in transportation costs of £23,000, an 11% annual reduction.

Waste: 25% reduction in annual waste disposal costs PLUS £24,000 refund!

A metals manufacturing company asked us to seek out any reductions to its annual budget of £270,000.

Same supplier, lower costs

80% of the waste was categorised as ‘Special ’. In this highly regulated area the company needed to make the right decisions. Following our critical audit, we identified an inadvertent overcharge of £40 on each load from just one of its waste streams –an accrued cost of approximately £25,000 to £30,000.We sought new tenders from its existing supplier and competitors. The existing supplier lowered its price, continuing a good relationship with the client.

Result

The Profit Partnership found an actual annual saving of £69,000 and a refund of £24,000 for previous overcharge.