J6 Ltd cost reduction

Expense categories

 

Overhead category Typical Savings Achieved
Air Travel (long haul) from 10% to 25%
Bank Charges from 10% to 25%
Catering and Vending from 15% to 35%
Cleaning / Maintenance Materials from 15% to 45%
Cleaning Services from 10% to 20%
Computer and Maintenance from 15% to 35%
Computer Consumables from 15% to 65%
Document / Data Storage from 20% to 55%
Delivery Services from 20% to 55%
Freight and Import Costs from 20% to 55%
Insurance from 10% to 35%
Janitorial Supplies from 20% to 45%
Marketing / Promotions from 20% to 65%
Merchant Card Fees from 15% to 60%
Office Stationery from 15% to 65%
Packaging Materials from 15% to 45%
Photocopiers and Office Machines from 15% to 35%
Postage and Distribution from 5% to 25%
Printing and Forms from 15% to 50%
Point of sale - Printing from 15% to 50%
Security / Cash Handling from 10% to 30%
Telecommunications from 10% to 50%
Transport from 10% to 45%
Utilities from 15% to 40%
Vehicle Costs from 10% to 45%
Waste Disposal from 15% to 40%

Try our three minute cost reduction calculator and see how much your organisation could save with J6
 

Air travel

There are approximately 50 different types of fares for economy, business and first class travel.  
J6 has access to all fares and is able to check that you are getting the best prices without:

  • Contacting your travel agent
  • Changing your current travel agent
  • Affecting the relationship with your travel agent
  • Diminishing the flexibility or class of travel that executives require

It may be that you qualify for a special bespoke rate.  We are able to negotiate on your behalf directly with our contacts at major airlines.

J6 will not interfere with the process you have in place currently and that the only changes will be the price paid per ticket.

The Corporate Travel Division of J6 Ltd has been helping companies reduce their air travel expenditure since 1997.  Since that time, we have saved our clients in excess of £5 million and we have a 98% success rate in achieving savings.

We also advise on areas where best practise can be introduced and assist in developing a travel policy to ensure that the arrangements we put in place will remain competitive in the long term.

Our average typical saving is 10%-25%

Back to top


 

Bank charges

Customers dealing with banks sometimes make the wrong assumption regarding the possibilities of savings.

Because J6 deals with most banks, we possess a great deal of information not available in the public domain that could bring financial saving benefits to your company.

This does not mean that you will have to change your current service provider.  We can usually achieve the best, most competitive rate with your current service provider.

Our average typical saving is 15%-45%

Back to top


 

Catering

We will audit all locations where you provide catering services to ensure you are operating efficiently, with the objective of turning it from a cost to a profit centre.  The audit will include a review of:

 

  • Choice of food
  • Number of people providing the service
  • Display of food
  • Space utilisation
  • Health and Safety
  • Purchase of raw material
  • Gross margin and profitability
  • Optimisation of service and cost
  • KPI (Key Performance Indicators)
  • Kitchen layout
  • Training requirements
  • Benchmarking against similar sized companies
  • Waste disposal

Typical savings 15%-40%

Back to top


 

Vending

Our audit will include

  • Type of food and drink provided
  • Type of machines used
  • Number of machines used
  • Food and drink item purchase prices
  • Selling prices
  • Review of contract in place
  • Suggest alternative solutions to provide savings

Back to top


 

Cleaning/Maintenance Materials

We have developed patented web-based Intelligent Purchase™ software which enables the company to purchase cleaning and maintenance materials knowingly at best price.  Savings in the region of 15-65% have been achieved by companies currently using our website for their purchases.  

The system is also very effective for companies with multiple locations, maximising compliance of centrally agreed contracts and enables an appointed manager to review all purchase requisitions before an order is confirmed.  This provides additional control and results in reduced expense.  The system includes many additional features and functionalities geared toward reducing cost of purchasing and ordering process time.

To our knowledge, no other company provides this solution.

Typical savings 15%-65% on over 20,000 products

Back to top


 

Cleaning services

Our audit will review your current requirement and will assess how competitively priced your current services are.

We will provide you with alternative solutions that will provide savings that can be negotiated with your current supplier if you wish to maintain an existing relationship

Back to top


 

Computing, maintenance and IT support

We will look closely at your current suppliers and suggest alternative options for you that will satisfy both existing and future requirments for the business. Consolidating several support contracts to a single supplier can bring significant operational efficiency and cost savings.

Back to top


 

Computer consumables

We have developed patented web-based Intelligent Purchase™ software which enables the company to purchase computer consumables knowingly at best price.  Savings in the region of 15-65% have been achieved by companies currently using the website for their purchases.  

The system is also very effective for companies with multiple locations, maximising compliance of a centrally agreed contract and enables an appointed manager to review purchase requisitions before orders are confirmed.  This provides additional control and results in reduced expense.  The system includes many additional features geared toward reducing cost of purchasing and ordering process time.

To our knowledge, no other company provides this solution.

Typical savings 15%-65% on over 20,000 products

Back to top


 

Document/data storage

A review of your archiving requirements will verify how competitive your prices are and may also (in the case of companies with multiple locations) allow for consolidation of services to one national supplier.

Back to top


 

Delivery services

By reviewing the current rates that you pay for deliveries to each destination, we will probably be able to provide alternative competitive prices to enable you to continue to operate nationally and globally using one supplier, whilst maintaining a high level of quality and service.

Back to top


 

Freight and import costs

A review of your transport costs will verify how competitive your prices are and we will be able to suggest a course of action that will provide savings, whilst at the same time maintaining or improving the level of service and quality without necessarily changing suppliers.

Back to top


 

Insurance - Typical savings 15%-35%

Insurance renewal notices are normally dispatched just a few days prior to the renewal date, which leaves little time to either obtain alternative quotations or negotiate new rates. Because J6 works with a diverse range of companies and brokers, we can provide alternative quotes in a short timescale. This will enable the client to request the incumbent broker to either match the price or reduce it. It is not uncommon for our analysis to show that unnecessary fees are charged, unknown to the client.

Back to top


 

Janitorial supplies - typical savings 15%-65%

We have developed patented web-based Intelligent Purchase™ software which enables the company to purchase janitorial supplies knowingly at best price.  Savings in the region of 15-65% have been achieved by companies currently using the website for their purchases.  

The system is also very effective for companies with multiple locations, maximising compliance of centrally agreed contracts and enables an appointed manager to review purchase requisitions before orders are confirmed.  This provides additional control and results in reduced expense.  The system includes many additional features geared toward reducing cost of purchasing and ordering process time.

Back to top


 

Marketing promotions

J6 will analyse marketing expenditure across all elements of your marketing strategy and identify opportunities for savings. These may include helping to renegotiate more favourable terms with agencies, improve media buying rates by using our considerable buying power as well as looking at high cost expenditure categories such as print and point of sale materials.

Back to top


 

Merchant Card Fees - Our average typical saving are 15%-45%

Customers dealing with banks sometimes make the wrong assumption regarding the possibilities of savings.

Because J6 deals with most banks, we possess a great deal of information not available in the public domain that could bring financial saving benefits to your company.

This does not mean that you will have to change your current service provider.  We can usually achieve the best, most competitive rates by renegotiating contracts with existing service providers.

Back to top


 

Office Stationery - Typical savings 15%-65% on over 20,000 products

We have developed patented web-based Intelligent Purchase™ software which enables the company to purchase office stationery knowingly at best price.  Savings in the region of 15-65% have been achieved by companies currently using the website for their purchases.  

The system is also very effective for companies with multiple locations, maximising compliance of centrally agreed contracts and enables appointed managers to review purchase requisitions before orders are confirmed.  This provides additional control and results in reduced expense.  The system includes many additional features geared toward reducing the cost of purchasing and time spent processing orders. No other company provides this solution.

Back to top


 

Packaging Materials

By reviewing your packaging material requirements and usage patterns, we will be able to verify how competitively you currently buy. Once this process is complete, we will be able to suggest a course of actions that will provide savings, whilst at the same time maintaining or improving the level of service and quality, without necessarily changing suppliers.

Back to top


 

Photocopiers and office machines - Our average typical saving are 15%-35%

Photocopier expenses can be reduced dramatically with detailed knowledge of how the photocopier market operates.

Our approach is to analyse your company's total print requirements, from day to day photocopying to printed colour literature and provide you with an overall picture of print requirements and possible savings. Sometimes short runs of externally printed materials can be printed more efficiently on a modern colour printer, without reducing quality.
Our experience shows a better than 97% success rate in providing our customers with savings of up to 35%.

We will also be able to review your contracts and agreements, analysing your past expenses to ensure that you have been invoiced correctly, and where applicable arranging any credits that are due.

Furthermore, where applicable, we will replace your old equipment with up to date digital technology to suit your requirements, whilst maintaining the same saving.

We will ensure that our solution will be integrated with your overall IT requirements and strategy.

Back to top


 

Creative agency contracts

If your company spends large sums of money on PR, advertising and media agencies, it is important to check and verify that the supplier is in compliance with the contract and charges.

Advertising agencies, media companies and other marketing suppliers often hold client monies which they pay on to 3rd parties. J6 will make sure that they have accounted for them properly and that any reconciling balances are refunded to the client. We also review the level of discounts and rebates you are getting. We review fee levels and production costs to make sure these are both in compliance with the existing contract and are competitive.

Back to top


 

Postage and distribution

By reviewing past invoices, we will be able to benchmark your prices against other similar companies and advise you on areas where you can make savings.

Back to top


 

Printing and forms, plus point of sales - Typical savings 15%-50%

Companies will purchase printed items such as letterheads, business cards, compliment slips, envelopes, brochures and other items either from their current office products (stationery) supplier or from a dedicated printer.

As the printing market is very sensitive, pricing varies greatly between printers.  J6 works with a number of printers across several industry sectors and therefore has a great deal of market knowledge when it comes to choosing the best value printer to maximise the savings.

Back to top


 

Security/cash handling

Reviewing your invoices, we will be able to benchmark the prices you pay against other similar companies and advise you how competitively you buy. This information will enable you to renegotiate with an existing supplier or consider alternative suppliers which J6 will be able to recommend.

Back to top


 

Telecommunications

The telecommunications industry offers over 3 million rates, and over 6000 exclusions and special conditions.  

This makes it virtually impossible to find the best rate for your company without having specific market knowledge and/or bespoke software to provide the analysis.

J6 works with partners who buy airtime (over £80m pa) from a number of Tier 1 service providers such as BT, Energis, Cable & Wireless and similar companies.

We use sophisticated technology to enable us to “mix and match” rates from various service providers, ie “cherry pick” the cheapest rates for particular destinations to suit the call profile of your company.  

This maximises the saving potential, with no effect on service or quality.

If your telecoms spend is considerable, we will arrange at either three or six monthly intervals to review your telecoms charges and adjust the rate inside the contract term to provide you with additional savings and manage your telecoms account accordingly.  This results in the client operating as if they are not having a time contract on calls.  To our knowledge, no other telecom service company provides that offer.

We will arrange to provide a bespoke invoice format to suit your accounting and budgeting and to eliminate and/or minimize the handling and analysis you are currently doing on expenses and also P11D personnel allocation (if required). We can separate the personal calls from the business calls and provide you with cost allocation for the various locations and/or departments as required.  

As part of the invoice we are able to provide you with a number of exception reports to give visibility per extension or CLI, for example on call spend limits exceeded or premium rate numbers called.  These are provided by email and accessible online, allowing you to take immediate corrective action.

Most service providers will offer a separate deal either for landlines or mobiles.  Our solution will encompass both landlines and mobiles (since your office make calls to mobiles, and vice versa) to maximise the savings.  

If you run telephone campaigns, we can provide you with software that will tell you how successful a particular campaign has been.

All invoices are provided electronically, accompanied by hard copies of management reports.

If your telecom invoices are available electronically, we can check if you have been paying the correct amount.  In more than 90% of cases we find billing errors and arrange a credit back to the company.

We will be able to provide you with very low calling rates by “piggy-backing” your requirements with other clients, using J6's £20m+ aggregating power for this category..  We will also be able to arrange that you get ongoing revenue from your incoming calls.

Back to top


 

Transport & couriers - Typical savings 15%-45%

We are able to verify whether your current prices are competitive.  We would be able to provide alternative competitive prices to enable you to operate nationally and globally using one supplier, whilst maintaining high level of quality and service.

Back to top


 

Utilities (electricity, gas, water)

It is most likely that your contract start date will be either 1st April or 1st October.  You should be aware that this has been established for the benefit of the utilities company and not yourself.  

We have combined our energy trading and pricing background with our financial markets experience, using a dedicated consultant who has considerable experience in buying utilities from the generating companies. This consultant has developed a range of flexible purchasing structures that seek to remove some of the price volatility that is now inherent in the UK wholesale gas and electricity markets.  

An analysis of your utilities account will:

  • Ensure that you have been invoiced correctly.
  • Review your half hourly reading profile and match it with the most competitive cost and contract date, to maximise the savings.
  • Provide a fully comprehensive report combined with market knowledge information.

Carbon Management Organisations are increasingly managing their carbon footprint proactively, both voluntarily from a sense of corporate social responsibility, and in order to comply with government legislation. The government is currently consulting on measures to reduce direct carbon emissions in large non-energy intensive businesses as well as the public sector. Both mandatory and voluntary measures are under consideration, but it is clear that businesses will come under pressure to have robust procedures to collect, analyse, verify and benchmark the impact of their operation on the environment.

We are able to carry out all aspects of an Energy and Carbon management program in keeping with the organisation’s Environmental Policy, including Carbon Trust Accredited site and energy audits, direct and indirect emissions reduction activity, utility contract analysis, review and negotiation, energy and carbon data collection, best practice carbon offsetting products and sophisticated risk management of the energy portfolio to take full advantage of market conditions.

Typical savings 15%-40%

Back to top


 

Vehicle costs 

Companies will either purchase or lease cars, depending on their cash position, tax benefits or other reasons. We are able to reduce car leasing or purchasing costs through our bespoke arrangements with both dealers and financial organisations,.

Back to top


 

Waste management (including recycling, special and confidential waste)

Reviewing the type of waste that you remove and the level of pricing that you pay, we will be able to suggest an alternative arrangement that will include recycling (if appropriate). This will ensure lower pricing and your company operating in a more environmentally friendly fashion.

Back to top


 

What J6 brings to your organisation

  1. Buying power of over £500m
  2. Market knowledge of complex tariffs and up to date deals
  3. Access to benchmark pricing information for your sector
  4. Knowledge of best practice procurement methods
  5. Access to unique technology to help you buy better
  6. Project management resources to help implement new processes
  7. Expertise in making sustainable savings in 26 overhead categories