British Bakels has recently completed a major factory extension which will enable capacity and product ranges to be increased. The extension will result in increased factory services and associated utility costs.
For this reason a cost-optimisation programme was considered to be of particular value. With this in mind, Financial Controller Ade Abass engaged Auditel Consultant Gillian Gibbon to conducat a thorough review of Bakels’ essential services overheads.
The Bakels Group is truly global, with manufacturing sites on all five continents. Its products are available in more than 120 countries through Bakels companies and selected agents.
British Bakels manufactures and distributes a wide range of ingredients, some of which are tailor made while others are specifically developed. Its customer base includes Industrial bakeries, In-store bakeries, Craft and Foodservice sectors.
Gillian started by investigating fixed wire communications and was able to achieve savings of 29%. She explains, “By analysing the call profiles in detail I was able to recommend an alternative least cost routing provider which saved on call charges. My 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. Gillian also discovered that employees working remotely had been using expensive phonecards. On her advice they were switched over to a cost-effective mobile phone tariff.
Gillian has also analysed expenditure upon gas and was able to negotiate a small reduction in gas rates when the contract came up for renewal.
A tender of electricity contracts and a review of business rates are currently being conducted.
Ade is delighted with the results Gillian has achieved and comments, “This last year has been vital for the growth and development of our business and 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.”