Outdoor Media

The skills and tools we bring have been developed through our past work experience. This included with a group of Scandinavian businesses of an international outdoor media firm with an annual spend on subcontract labour in region of £8m, There was huge variation in spend/contractor ranging from commercial teams to part-time labour totalling over 250 suppliers. There was no analysis of cost per activity (factory vs. field force) or output efficiency of teams.

The challenge

There was a requirement to conduct a spend analysis to identify total costs, average costs per activity and spend per supplier. Market intelligence was need to compare labour rates with market and agree an approach to reduce labour spend with business operations to ensure immediate cost reduction without impact on the day to day business.

Benefits achieved

  • Completed full spend analysis to identify spend over next 1-3 years
  • Supported the EUC team to work with group Bus to agree to a rationalised number of standard specifications (e.g. 7 laptop types reduced to 3)
  • Designed RFP to identify players
  • Ran an eAuction to drive savings

Successfully delivered savings as well as improving output

  • Achieved 23% reduction in subcontractor spend (c£2m) with benefits felt within 30 days
  • 45% reduction in the overall number of subcontractor labour suppliers
  • Improved business operational efficiency through new contracts that drove higher performance with retained suppliers

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Annual cost reduction

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Reduction in number of suppliers

A satisfied customer is the best business strategy of all

Michael LeBoeuf