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Auditel saves thousands of pounds for UK manufacturing companies

By 18th November 2013July 26th, 2022No Comments

The authoritative on-line business advice site, TeleManagement, recently asked: “What is the number one problem facing businesses today? Bottom-line profits! Many businesses find themselves caught in a profit squeeze, with skyrocketing expenses on one side and stagnant revenues on the other. This means that even in well-managed manufacturing companies, costs have a tendency to creep up with the passage of time. Small incremental price increases are so gradual that no one takes any notice. Over a five year period, a 5% annual price increase will result in product’s costs rising more than one quarter!”

Chris Allison, the Managing Director of Auditel, the UK and Ireland’s leading independent cost management consultancy, agrees: “Few businesses have the time or resources to manage their essential running costs effectively in-house. These can be as diverse as utilities, communications, office supplies, merchant card fees and catering. This function is in addition to finding the time to keep on top of contract renewals and seek out innovative cost management solutions. It is an uphill task without dedicated outsourced professional help.”

Since 1994, Auditel has built a reputation for delivering ethical and sustainable solutions for over 3,700 organisations  through their Total Cost of Purchase® model. Their approach is now widely regarded as the most effective in cost management. Auditel regularly achieves results that not only meet, but exceed clients’ expectations.Allison notes: “We have  assisted organisations in the Manufacturing sector in effectively managing their costs. Here is one major example.”

British Bakels

The Bakels Group is truly global, with manufacturing sites all over the world. Its bakery products are available in more than 120 countries through Bakels companies and selected agents.  British Bakels recently completed a major factory extension which will enable capacity and product ranges to be increased. For this reason a cost-reduction programme was considered to be of particular value. With this in mind, their Financial Controller engaged an Auditel Consultant to  conduct a thorough review of Bakels’ essential services overheads.


Auditel started by investigating fixed wire communications and was able to achieve savings of 29%. “By analysing the call profiles in detail we were able to recommend an alternative least cost routing provider which saved on call charges. Our analysis also uncovered several payments which were being made for services which were no longer being utilised and so these payments have now ceased.”

Mobile phone usage and call profiles were reviewed and a number of cheaper options were presented to Bakels. They selected an option which allowed them to stay with the same mobile network whilst enjoying a significant tariff reduction. Auditel also discovered that employees working remotely had been using expensive phone cards and they switched over to a cost-effective mobile phone tariff.  On expenditure upon gas, Auditel were able to negotiate a reduction in rates when the contract came up for renewal. A tender of electricity contracts and a review of business rates are currently being conducted.

A tender of electricity contracts and a review of business rates are currently being conducted.
Their Financial Controller  was delighted with the results and comments, “This last year has been vital for the growth and development of our business. Knowing that all our utilities and communications costs are under control is a great benefit in terms of our management time and peace of mind. Auditel offers a comprehensive outsourced service which reviews our expenditures on a monthly basis.”

Total Savings

As Allison points out: “Manufacturing is key to the survival of the UK at this time. If we can  assist this sector to manage their business expenses in a more effective way, we will have given considerable help to the economy as a whole. Cost management is an ongoing task of monitoring your expenses, keeping track of what is spent and constantly watching the marketplace to ensure that you are receiving the best value for your pound. So, Even if you think you’ve got all your essential costs under control, it won’t hurt to make sure. Why not book your Auditel Business Health Check today?”