Don’t forget your business costs will still be there after your summer holidays…

Business-costs

Auditel is the UK and Ireland’s leading provider of strategic cost management. Over the last two decades, their team of highly-skilled professionals has built a reputation as trusted advisors to medium and large organisations.

Chris Allison, Auditel’s Managing Director says: “Many companies still choose to divert in-house resources from their strategic roles to carry out time-consuming cost management exercises. These may do little more than scratch the surface of what is achievable. By outsourcing your organisation’s cost management to Auditel, your team will regain the time and peace of mind to use their talents and excel in their specific areas.”

Auditel began to lay the foundations of Strategic Cost Management in 2012. Extensive independent research was undertaken. Together with leading business publication Management Today a survey was conducted. The results, from over 120 business leaders, underlined the fact that there is a genuine lack of understanding in the business world between simple cost cutting exercises and strategic cost management.

The survey showed that cost reduction is just part of the process. You need a strategy in place to make sure that those costs are monitored on a regular basis. You need the right people, tools, knowledge and processes.

In addition to these features, Auditel provide independence, aggregated buying power and experience of the supplier market. This means that their service, far from becoming yet another cost can pay for itself, over and over again, by delivering highly effective and sustainable cost management solutions for the long term.

For over 21 years, Auditel has been reducing financial waste and improving bottom line profits for thousands of organisations throughout the UK and Ireland with their strategic cost management. Their clients range from small businesses to global brand. Auditel’s flexible fee structure gives clients’ the choice and the ability to manage costs and strategy for the long term.

New Year’s Resolution: “…really must talk to Auditel about my overheads this year”

Chris Allison, Managing Director of Auditel, Ireland’s growing cost management consultancy, comments: “You’d be in very good company. According to Deloitte’s third biennial cost survey 2013, 76% of respondents expect their company to reduce costs over the next 24 months. However, the survey also found that in 2012, the failure rate for cost initiatives climbed to 48%, meaning that nearly half of all initiatives fail to achieve their goals.

“Our own recent survey with Management Today, suggests that the majority of organisations are focussed on simple cost cutting or cost reduction exercises. Effective cost management, on the other hand, requires software tools to monitor what is done effectively. Then there must be a process that gives management information to the decision-makers, both at the start and through the ongoing activity, when improvements have been put in place. Many companies lack this facility and an increasing number have decided to outsource for specialist knowledge.”

Over the past 20 years, Auditel has worked with more than 5,000 firms and has delivered greater returns than their in-house resources could achieve. Although energy and communications are usually top of the agenda, Allison says that more than 80 different business expenses are covered. For example, savings between 30% to 60% have been made on janitorial supplies, print, clothing, water, cleaning, stationery, photocopiers, waste and intruder alarms.

Case Study

Reagecon are based in Shannon, Co. Clare. They are one of the largest producers of Physical and Chemical Standards and occupy a unique position in terms of range, scope, breadth and depth of products offered. These are in excess of 4,000 certified, accredited standards and reagents and supplies of over 100,000 separate pieces of laboratory consumables, apparatus and equipment.

In 2013, Don Foynes, their Commercial Director, engaged Auditel. He reveals that they have achieved between 10-50% savings across eight different cost categories. The net savings and bottom line impact will be in excess of €250K over the next three years. There are also many indirect benefits from the cost reductions put in place, such as downstream labour savings due to revised packaging formations.

He adds: “Another positive outcome is that due to a revised logistics programme managed and co-ordinated by Auditel, we can now get our products into emerging markets. I would describe their service as a process that lifts the lid on your cost base and provides detailed proposals on what can be achieved. It then presents and manages the implementation of the solution.

“The staff at all levels are highly professional. The knowledge that the particular experts in the various areas can bring to your business is huge. In short, Auditel does what it says on the tin – ‘lowers the cost of doing business and takes cost and purchase management to a new level’. With Auditel, I have 100% confidence!”

As Chris Allison points out: “There is a difference between cost cutting and cost management. Cost cutting is a one-time attempt to decrease your expenses. 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. 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 plus a Financial Health Check today and add to your bottom line this new year!

Businesses want to grow and invest but they need a helping hand…

Take one of Auditel’s trusted advisers on board?

The Auditel Cost Management Consultancy is widely regarded as being Ireland’s leading specialist in their field of saving money for over 3,500 organisations on over 80 business overheads. However, Auditel also provide a variety of additional services with their market-leading associates. These include funding, increasing cash flow, and even, record management which reduces the risk of misplaced crucial information.

Funding? If you are turned down by your bank, the advantages of using a broker to help have now become more important than ever. Auditel’s partner has access to a comprehensive range of finance facilities including commercial mortgages, leasing, factoring, invoice discounting and vehicle finance. They are sponsored by over 80 commercial financial institutions, including banks, building societies and factors which cannot be accessed by SMEs directly. Your Consultant can offer help to try and negotiate the best rates and terms for your business.

In September, John Walker, National Chairman, Federation of Small Businesses, said: ‘The message is clear – businesses want to grow and invest but they need a helping hand to do so. It is frustrating that bank finance is still difficult to get. More than 40 per cent of applicants have been refused in each quarter this year.’

Auditel can also deal with Research & Development tax credits to enhance your cash flow. These credits are the Government’s way of encouraging exciting new products and services by helping to reduce some of the financial risk for technology companies. But only 2% of the eligible  organisations are actually claiming! Thus £540 million is being lost in Scotland alone. In fact, all manufacturing sectors are entitled, including Electronics, Food & Drink, Games, Mechanical and Industrial Engineering, Product Design, Software, Oil and Gas, Textiles and Printing.

Companies usually take the traditional approach through their auditors, but Auditel’s award-winning partner has recovered funds 10 and 20 times more. For example, a large confectionary manufacturer achieved a tax benefit of £25,000 through their accountants. Subsequently, the payback via Auditel’s partner was £338,000. One of Auditel’s consultants has saved clients over £1m in his short time with them.

Sometimes you may be in real need for some important documents. Why not store them all with Auditel’s worldwide ISO-certified partner. They’ll deliver them at any time day or night!  So, whatever your business needs, contact your local Auditel Consultant. It could be one of the best calls you have ever made.

As the Group Operations Director of Pizza Express said: “This is one company that really does deliver and I would have no hesitation in recommending Auditel to any business. Anyone not using the Auditel service may be placing itself at a disadvantage.”

Energy – A Burning Issue

How Financial Directors can Regain Power Over Rising Energy Costs Impacting Their Organisations’ Profits

Wholesale energy prices have soared in the last six months as high oil prices continue, the Middle East is uncertain and the nuclear disaster in Japan causes concern. The major energy providers have passed these price increases on to their business customers. Many face energy bills which could be 50% higher than they were paying only two years ago.

In June 2011, the FT and The Economist Business Barometer Research found that leaders foresee the biggest risks to their businesses to be rising costs of oil, commodities prices and interest rates. This prompts greater scrutiny of their profit margins and higher expectation for financial directors to perform in challenging times.

In July, after a second major British energy supplier announced double-digit tariff increases, RWE npower reported: ‘Three hundred major and small energy user companies counted energy as a top risk concern, next to sales and legislation, in their Business Energy Index 2011. Only 66 percent said they had a strategy to manage it.’

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