ERA accelerates business savings for Kia
Esther McLeod, head of human resources for Kia, engaged Expense Reduction Analysts (ERA) analysts Marc Page and Andy Mahon to assist with managing the expected growth in business overheads. She explains: "What really impressed me about ERA was the fact that Marc and Andy would be in a position to utilise the knowledge and expertise of any member of the ERA network if they needed to when conducting any expenditure reviews for us. This was particularly appealing given our rapid growth and relocation plans."
Thorough analysis
During the months prior to Kia's relocation, ERA advised on a range of expenditures. Some of these cost areas were completely new to Kia as the company was moving from a serviced office into its own larger new offices. This first round of analysis work involved investigating expenditure upon postage and capital equipment, print, office stationery, and mobile communications.
The relocation meant that some suppliers would no longer be in a position to provide a service to Kia and so ensuring high service levels from new suppliers was fundamental to the smooth implementation of each project. Andy and Marc addressed this issue by undertaking a thorough analysis of Kia's revised service criteria, as well as reviewing the financials and reported all of their findings back to Kia in clear and comprehensive recommendations.
Significant cost savings
Each project resulted in significant cost savings and enhanced service levels. Sean Stewart, head of facilities and office services at Kia, is now Andy and Marc's main contact within the organisation. He says: "My first meeting with Marc and Andy was to establish the status of each project so that I could begin to understand how the cost savings and service enhancements had been achieved.
"Marc and Andy's attention to detail was obvious to me, as was that of Tobias Morris. Tobias is a consultant who was invited by Marc and Andy to conduct the communications analysis work due to his expert knowledge of this particular market."
Further areas of expenditure
With a number of projects now delivering savings on an ongoing basis for Kia, Sean is keen for ERA to look at further areas of expenditure. The first of these areas are business rates, insurance and fixed line communications.
Sean concludes: "I have every confidence in engaging ERA to investigate a further range of expenditure areas, which leaves me able to focus on the strategic issues which affect the growth of the business. I would have no hesitation in recommending ERA as an effective way of managing costs and enhancing supplier service levels." 21.08.2007
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