Telecom, utility, and waste disposal expense management presents a challenge to most organizations, because they lack the time and expertise necessary to properly verify the charges. This creates a risk of wasting organization funds and typically requires the help of an external industry expert to verify the charges. However, there are some things your organization can do to minimize the amount you might be overpaying. See below for three ways your organization can reduce each of these costs. Let us us know if you have questions.
Telecom:
Understand what services are included on your invoices. Telecom companies are known for their complicated billing processes. Gaining a clearer picture requires allocating extra time and personnel. Begin by reading your service contract and listing all of your services and devices. There are many terms and hundreds of codes that you might not understand. Call your service provider to seek clarification. Cut down on bandwidth waste. Certain sites, such as video streaming services, consume lots of bandwidth. Consider a policy to reduce/eliminate the use of social media and video-streaming sites. Consider filtering or blocking high-bandwidth sites. Re-evaluate support and maintenance agreements. Some organizations pay both flat and recurring support and maintenance fees for telecom and networking hardware. Unless you run a massive network, these fees might not be necessary. Gather a report detailing the number of times you used tech support and maintenance and the associated cost. Calculate the cost per use and contact your provider to determine if a pay-as-you-go option is cheaper.
Utilities:
Contact your utility company for a free energy audit. Where is energy being wasted? You will not only identify energy-saving opportunities, but help the environment. Enroll in educational programs and learn the latest best practices in energy efficiency. Replace inefficient HVAC equipment. Check with your facility manager to find out if any equipment is breaking down frequently. Contact us to learn about opportunities to replace equipment with no capital expenditure, no loan, and no lease. Review your energy supply rates. New York State is a deregulated energy market, which means you have access to many electric and gas suppliers other than your utility company. Most organizations have over 50 suppliers who will compete for your business. It makes sense to request a quote from all of them and review all proposals. Compare rates between all suppliers, including your incumbent utility.
Waste Disposal:
Track the wastes your organization generates. You can’t manage what you don’t measure. Observe the types and amounts of waste produced and how you are disposing of it. Identify waste-producing activities and equipment. Are there items that could be reused or recycled? Can you purchase less of items that turn to waste. Detect inefficiencies in operations or the way waste moves through the organization. Assess existing space and equipment that can be used for storage and processing recyclables. Collect information through interviews with supervisors and employees. Review your packaging and shipping. Order merchandise with minimal packaging, in concentrated form, or in bulk. Work with suppliers so they don’t over-package orders. Request materials you order be shipped in returnable containers. Replace cardboard boxes with durable, reusable boxes for shipments to your other locations. Be a student of the industry. Become knowledgeable of how waste haulers’ costs vary by region due to diverse local regulations, competition, vendor route concentration, availability of recycling services, and the cost structure of local landfills. These factors along with site-specific requirements, such as those for restaurants, healthcare facilities, multi-family housing, manufacturers, retail locations, and commercial property, can make waste a difficult area to manage, unless you take time to learn more about the industry.