Organisations overlook simple tactics to drive down costs

02 June 2014

Businesses are missing economies of scale by unnecessarily using a number of different suppliers and over complicating the facilities management process.

Failing to recognise supplier potential can lead to companies losing out on a number of benefits. By thinking more broadly about their cleaning supplies, and sourcing all requirements from a single source, efficiencies can be increased and costs driven down.

Office Depot uses its buying power and extensive network of suppliers to procure virtually everything needed for any workplace, competitively. The company constantly seeks new and innovative ways to help its customers reduce costs and ease the buying process. 

Reducing cost can be as simple as recognising that even small-scale orders, which may have very minimal costs, can become part of a larger order, covering several business areas. Organisations often use different suppliers for different products and services, and fail to recognise that, potentially, all their needs could be met by one supplier. By changing the way they operate and consolidating suppliers, organisations can often better manage their supplier base and find it easier to stick to budgets.