NewBase 14 March 2024 Energy News issue - 1707 by Khaled Al Awadi_compress...
ADAS Case Study
1. Expense Reduction Analysts Success Stories
£412,700 of savings for ADAS
ADAS first engaged the services of In total, the team of 12 representatives
Expense Reduction Analyst Tony Catling from Expense Reduction Analysts has
in 2000, as it was keen to streamline its reviewed over £2.1 million of costs across
purchasing function but did not have 21 different categories and achieved in
sufficient purchasing staff to do so. Tony excess of £400,000 of savings.
and his colleagues were willing to offer
a fully outsourced Profit Improvement
Table of Savings
Programme, to ensure ADAS received
best value from its suppliers, all on the Category Saving(%) Saving(£)
basis of no-saving, no-fee.
Merchant card fees 40% £1,600
Tony Catling explains, “Working with ADAS
General stationery 27% £45,500
£412,700 has been enjoyable but challenging. A lot of
my initial work involved visiting many of its
offices in order to understand the various
Couriers
Industrial gases
22%
16%
£12,900
£5,300
aspects of the business and to ascertain
Sample milk pots 26% £30,500
Darrin Hawkins, Brian Pinner, Harry Duff, the needs of the staff.” The magnitude and
Mark Talbot (ADAS), Ashley Carr, variety of the project work has led Tony to Postage 2% £4,000
Tony Catling and Jonathan Hotopf invite colleagues, each with expertise in Chemicals 27% £56,300
particular areas, to work with him for ADAS.
He explains, “I do not pretend to be an Workwear 33% £6,700
expert in every category of expenditure so Document printing 37% £28,600
I asked a number of my colleagues to assist
Mobile communications 24% £35,300
me in certain areas. “Expense Reduction
Analyst Brian Pinner has investigated ADAS’ Fixed telephone assets 12% £25,900
spend upon print and courier services, Harry Printing 15% £5,000
Duff has focused his attentions on stationery
Computer hardware 6% £5,500
expenditure and Darrin Hawkins has
concentrated on vehicle hire. Tony also Landline communications 13% £14,200
called upon the knowledge of Ashley Carr Vehicle hire 12% £12,300
and Jonathan Hotopf of to conduct several
separate analyses of ADAS’ communications Total Savings £289,600
expenditure.
Categories revisited Saving(%) Saving (£)
Fixed telephone assets 5% £6,700
Stationery 51% £63,600
“Expense Reduction Analysts has Printed stationery 8% £1,000
helped ADAS to achieve significant Mobile communications
Landline call charges
20%
12%
£23,100
£23,700
profit across a range of expenditures Landline line rentals
Total Savings
4% £5,000
£123,100
and over a period of several years. Meanwhile Brian Pinner is conducting a
It is now our intent to continue to re-analysis of courier costs.
ADAS Profile
work closely with them over the Established for nearly 60 years, and with over
650 staff covering more than 60 specialisms,
coming years to further fine tune ADAS provides independent scientific
research, consultancy (both Agricultural and
Environmental) and contracting services to
our purchasing function.” more than 20,000 clients. The company
operates from a network of offices and
research sites in England, Scotland and Wales.
find extra profit
www.erauk.net