A Global Healthcare facility located in the United States and Canada, with over 300 small and medium offices, used individual small cleaning companies to clean their offices each week. Each location was responsible to hire and manage the cleaning company and out of all of the locations, only two locations had contracts.
Management was concerned with several different areas, since they were able to see each of the invoices being provided to the Accounts Payable department each month.
- 363 individual vendors set up and managed in their AP software
- Over 1,400 monthly, or 363 invoices each week since the small companies billed and expected payment weekly!
- Cost was based on service performed, and location, and the services varied by location, as well.
- Locations did not want to contractually obligate the company which led to higher costs
BNDL utilizes Atalian as the premier cleaning agency for its E-Procurement portal, and this Client was eligible to take advantage of contract pricing that was previously negotiated for all BNDL Clients. This amazing economies of scale allowed for a lower rate and uniform services for each location.
What did we accomplish?
Each invoice was reviewed for the services being performed to identify the standard services that were needed, and to identify any unique services that a location may need. Once all services were defined by physical address, the timing of the services were reviewed to ensure that the necessary timeframe of a weekly cleaning would be achieved. Once all of the service and timing factors were reviewed by location, Atalian was able to meet the needs of all 363 locations.
End Result: Reduction of $93,000.00 monthly cost by 13.6% saving them over $12,000.00 per month and $131,056.00 annually
In addition, the time savings of the reduction of over 1,400 invoices per month to 1 was another cost savings in personnel time and involvement.