Cost Containment
Cost Containment – CASE STUDY
Process yields Cost Savings
Client:
Major New England based retail distribution center serving retail stores in the Mid-West and entire East Coast.
Business Issue :
Prior to Benjamin Enterprises’ arrival, managers were on their own to contact staffing agencies for contingent labor help. There was no organized, structured procedure for maintaining the contingent labor workforce. Although the client required 40 pick/packers per shift, they would request 100 persons to ensure that they would receive 40 at the required time. The client was unable to adjust the flow of labor to meet their fluctuating need on a daily basis.
Business Solution:
Benjamin Enterprises entered into the Workforce Solutions Program with our client in 2005. The purpose was to streamline the management of labor on assignment at our client while reducing costs and spending. This program includes the recruiting, on-board and continuous training, management, invoicing and reporting processes. Benjamin was able to stop the constant turnover of labor noted prior to our contract with the client.
Benefits :
In the first month, Benjamin Enterprises obtained a Gross Labor Savings of $140,239 for this client. These savings can be attributed to:
- Pre-hire assessment of candidates to determine best fit
- Pre on-board training and implementation of industry best practices
- Management of Labor to drive for results and expectations
Satisfaction Surveys reported that 98% of the Managers indicated that the program exceeded their expectations. The General Manager enjoyed the benefit of receiving the required staffing to meet their needs. Other Managers appreciated the benefit of the time saved by not having to train staffing agency personnel, which changed daily.
On-going Support :
Benjamin Enterprises continues to provide labor management support, entry-level, midlevel, and senior level training for our employees, as well as, the client’s employees. These services are FREE, and simply represent a value-added benefit to our clients. Our value-added labor supportive services include: financial management, family management, and legal consultation.