Archive for January, 2012


Utility Costs and Four Other Items You Never Knew Could Be Negotiated Down

Cost Cutting Ideas From the Experts

Companies are always looking for new ways to reduce costs, especially during a down economy. It seems as if we have hit a plateau in terms of cost reduction in labor productivity, but what’s next? Joseph Szuba, President of National Cost Reduction Corporation, has the answer.

“Nearly every business, regardless of their industry, has supply costs. What most don’t know is that significant savings can be made in non-labor costs, without changing how the company operates. There is almost always a way to lower prices with existing suppliers, including a few that no one would think to challenge,” says Szuba.

The area Szuba and his partner find that companies don’t negotiate cost reduction with most often? Utilities. “Most people don’t know that you can save money and change the price of commercial utility costs in both electricity and natural gas. Even if the price is lowered by a small fraction, in the long run, that yields significant savings,” says Szuba.

It doesn’t end with utilities. Szuba also says there are savings in credit card transactions and freight – both in-bound and out-bound – costs. For example, companies that take Mastercard or Visa as payment can negotiate with the third party and reduce a small percentage.

For more information, contact Joe Szuba or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Joe Szuba

NCRC Provides Proven Capabilities in Reducing Administrative Expenses

Permanent Time Saving Expense Reduction at No Cost

National Cost Reduction Corporation (NCRC) has been servicing clients by reducing administrative expenses to improve cash flow and increase net profit for 11 years. By working with current suppliers and alternative national and regional suppliers, NCRC saves clients an average of 10-35 percent against their previous expenditures and has saved Chicago area companies over $3 million.

“Now that companies have cut their labor and personnel to a bare minimum they’re looking for other ways to reduce costs,” says NCRC CEO Leonard Levey. “Exploring budgets and negotiating lower costs is a huge project to take on, and many companies find that they don’t have the time or staff to handle it in a professional manner. As experts in cost management, we have a disciplined and practiced process, and in just eight weeks we’ll present our findings and recommendations.”

Unlike other cost reduction companies, NCRC delivers SKU documented performance-based measurements of over 20 categories while maintaining a client’s established quality and service levels. NCRC works with their clients’ current suppliers and alternative suppliers to reduce costs without changing the way the client conducts business.  “All analyses and potential savings forecasts are developed at no cost to our clients as our fees are based on our clients’ savings,” says NCRC President Joe Szuba. “If we conduct our complete analysis and find that the client has the lowest costs throughout all categories then the pricing confirmation was free. However, it rarely ever happens that we can not find any savings throughout the over 20 categories we evaluate.”

Contact Leonard Levey, Joe Szuba or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Joe Szuba

Five Smart Business Moves for the New Year: How to Thrive in 2012

This past year has not been great for many businesses and many are predicting drastic changes in the business landscape in 2012. Leonard Levey of National Cost Reduction Corporation has put together a list of the top five ways businesses can manage costs and improve their cash flow in 2012.

Review Your Business Plan

Chances are that most businesses don’t review their business plans as often as necessary. It’s important to change priorities in order to become or remain successful, so now is the time to go over the business plan and decide what needs to be changed.

Rekindle Relationships with Your Business and Social Network

Even if it’s as simple as e-mailing someone to wish them a happy new year, it’s essential to re-open any lines of contact that may have been lost. Many people are no longer at their place of business, so now is a good time to reestablish a connection. (They may even become a good source for your business!)

Institute New Measures to Assess Positive Performance

We’ve become so focused on how bad the economy is that we have forgotten how to measure the positives within businesses. Set benchmarks and clear standards to determine the effectiveness and efficiency of implemented strategies.

Cut Administrative Expenses and Supplier Costs

When it comes to non-labor, administrative costs, many companies are throwing away thousands and even millions of dollars every year. Call your suppliers to negotiate reduced pricing for expenses like utilities and freight. A 5 percent reduction here and a 10 percent reduction there can work out to huge savings for you!

Resolve to Improve on Weaknesses

Businesses know where they should improve, and rather than continuously saying what needs to get done, now is the time to actually do it. Take stock of all aspects of business operations and list areas you would like to change.

Contact Leonard Levey or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Len Levey

Cut Costs, Not Corners

Cutting cost in this economy is crucial, but companies need to be able to reduce costs without cutting corners. National Cost Reduction Corporation can help your firm do just that.

For the last eleven years, National Cost Reduction Corporation has saved companies in Chicagoland over $3,500,000. Clients, on average, save 10 to 35 percent against their previous expenditures. By reducing administrative expenses (the cost of office supplies, utilities, telecommunications, etc.), we help companies improve cash flow, increase their bottom line, and manage costs, all with excellent results.

National Cost Reduction Corporation operates at no net cost to you, the client. If our Propriety Cost Reduction Process doesn’t save your company money, then our services are free. We are compensated by you, the client only if we bring  documented savings of administrative expenses. We receive a percentage of the documented savings in the first year only. The savings are all yours after the first year (special arrangements on contracts).

Not only can NCRC save your company money, it also saves you time. On average, clients spend less than 12 hours annually working to reduce costs with NCRC. We manage the rest, including the negotiations with current and alternative suppliers. With this new found time, you can focus on important issues, growing your business and managing your staff.

Thanks to our 40 years of cost reduction management experience in retail, wholesale, manufacturing, non-profit, service and other industries, we have the proven ability to service clients in all industries. Along with our aggregated procurement power of national, regional and local suppliers, we can negotiate the lowest prices for our clients.

Contact Joe Szuba or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Joe Szuba

Your Next Wave of Productivity is in Purchasing and Procurement

Millions of people have been laid off from their jobs, but companies still continue to lose money. What’s next in cost reduction and productivity? According to the National Cost Reduction Corporation it’s reducing administrative costs.

“It’s amazing how much money you can save by cutting costs like utility and freight, simply by negotiating with suppliers,” says Leonard Levey, CEO of NCRC. “Exploring budgets and negotiating lower costs is a huge project to take on, and many companies find that they don’t have the time or staff to handle it in a professional manner. On average we find companies could be saving 10 to 35 percent on their non-labor, administrative costs.”

In today’s down economy many suppliers would rather negotiate their pricing rather than lose a customer. NCRC finds that even if a supplier has a multi-year contract with a company there is always room for cost reduction negotiations. Some of the largest non-labor costs like utilities, telecommunications and freight can all be negotiated.

“A 5 percent reduction here and a 10 percent reduction there can work out to huge savings,” says Levey. “When we create a cost reduction analysis, we look at over 20 expense categories down to the SKU level, and we almost always find items that will reduce costs.”

Contact Leonard Levey or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Len Levey

New Year, New Prices

Resolve to Reduce Costs in 2012

When the rush of the holiday season dies down, many businesses will find they are making fewer profits. This is the perfect opportunity to approach your suppliers – telecommunications, janitorial, utilities, etc. – and request a reduction in pricing.

“This is the slowest time of year for many businesses, but it’s also the time when people start to examine their budgets and plan how to manage costs for the upcoming year,” says Leonard Levey, CEO of National Cost Reduction Corporation.

“I’ve found that more often than not people are paying too much for their basic administrative expenses like in and outgoing freight and office supplies. Simply negotiating lower prices with suppliers will free up a large sum of money within a company budget.”

Cost reductions should begin at the stock keeping unit (SKU) level and be measured in dollars, not percentages. This will give the most accurate perspective on expenditures. Once you have your expenses outlined at the most basic level, talk with your suppliers about lowering your prices – they would rather negotiate their pricing than lose a customer.

“A five percent reduction here and a 10 percent reduction there can work out to huge savings,” says Levey. “When we create a cost reduction analysis, we look at over 20 expense categories down to the SKU level, and we almost always find items that will reduce costs.”

Contact Leonard Levey or request a Free Cost Reduction Analysis from NCRC.

Posted on: January 23rd, 2012 by Len Levey

CONTACT US

Len Levey, CEO
773.472.2951  |  EMAIL  |  BIO

 

Joe Szuba, President
312.925.0489  |  EMAIL  |  BIO