{"id":1812878,"date":"2016-02-02T07:50:26","date_gmt":"2016-02-02T06:50:26","guid":{"rendered":"https:\/\/www.newzyexecutive.fr\/cost-killing\/"},"modified":"2026-05-04T09:53:13","modified_gmt":"2026-05-04T08:53:13","slug":"cost-killing","status":"publish","type":"post","link":"https:\/\/www.newzyexecutive.fr\/en\/cost-killing\/","title":{"rendered":"Cost-Cutting"},"content":{"rendered":"

How can you achieve cost savings while retaining your workforce? The only way forward is to scrutinize every single expense: phone bills, electricity, and so on. Newzy has set out to hunt down waste; here are some of our top tips and best practices.
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This summer, Opinion Research conducted a study for IBM focusing on companies with 100 to 1,000 employees, surveying nearly 1,900 businesses across 17 countries. When asked about their primary strategic focus, 53% reported concentrating on cost reduction and productivity gains, while 47% are adopting innovation-driven policies to identify new growth opportunities. In France, all 175 surveyed companies identified cost reduction as a top priority.<\/p>\n

It is therefore essential to scrutinize even the smallest company expenses to streamline operations and achieve savings\u2014small gains that can ultimately reach up to 30% of revenue, or even more depending on the cost centers! Be careful, however, not to rely solely on an attractive price tag: plan your purchases ahead of time! Indeed, a printer with an extremely low upfront cost can become incredibly expensive if its ink cartridges are overpriced and have a short lifespan. The same applies to a photocopier: it can prove to be costly if it breaks down quickly and its after-sales service is not covered by the contract.<\/p>\n

At the same time, adopting eco-friendly habits is essential: turning off lights when leaving a room, using energy-efficient light bulbs, minimizing paper usage, placing orders online, and opting for digital payment cards to reduce physical transactions…<\/p>\n

LEVERAGING PROCUREMENT<\/strong><\/p>\n

\u00ab\u00a0Purchasing accounts for anywhere from half to three-quarters of a company’s total costs!<\/em>\u00a0, asserts Abbad Hicham, Sales Director at KLB Group, a procurement and supply chain consulting firm. As a true driver of profitability, procurement must be streamlined.*They are rarely centralized: for instance, if an individual needs a computer or office supplies, they place their order directly. Another common scenario involves a procurement department working with local suppliers, or even placing small orders with multiple vendors. However, it is essential to consolidate and group these purchases to ensure the best possible negotiation leverage.*<\/em>\u00a0, explains Ricardo Wille, Head of France Operations at Synertrade. The principle is to optimize consumption based on actual needs while ensuring excellent value for money. For Christophe Fillon, Procurement Director at Lowendal Masa\u00ef,\u00a0*Regarding indirect procurement, action must be taken across three primary levers. First, buying the same items for less\u2014meaning negotiating the same product or service at a more advantageous price. The second lever is technical in nature. It involves analyzing the company’s specific needs and, based on that, redefining contracts, particularly in the telecommunications and insurance sectors where pricing and services evolve very rapidly. In the case of office supplies, this also means occasionally reassessing approved vendor catalogs. Finally, the third point: process organization. For example, buying less or restricting overall consumption.*<\/em>\u00a0 \u00bb From the outset, the company can achieve savings of around 15 to 20%, or even as much as 40%! Mathieu Pettex, President of Factea Group, specifies, ”\u00a0above all, companies must learn to consume more efficiently.\u00a0<\/em>\u00bb To assist them in this endeavor, Factea’s sustainable development division publishes a responsible purchasing manual tailored to their needs, covering more than 200 product categories. This booklet can be accessed online or is available upon request. For each category and product, it details the necessary sustainable development investments, supported by various scenarios demonstrating the potential cost savings for the company. This manual enables companies to independently integrate sustainability into their procurement policies. Alongside this guidance, traditional levers such as cash or early payments remain effective; although marginal, they provide significant negotiating power. Year-end rebates are also a key strategy. However, this only works if the supplier does not simply bake those discounts into their prices the following year! This further underscores the importance of reviewing contracts annually. Finally, as Mathieu Pettex rightly points out, it is essential not to lose sight of ”\u00a0*what you buy is also what you sell: companies must make themselves attractive to suppliers to ensure competitive pricing!*<\/em>\u00a0\u00bb<\/p>\n","protected":false},"excerpt":{"rendered":"

How can you achieve cost savings while retaining your staff? The only way is to scrutinize every single expense: phone bills, electricity, and so on. Newzy has set out to hunt down waste, and here are some of our tips and best practices. This summer, the firm Opinion Research conducted a study for IBM focusing on companies with 100 to 1,000 employees: nearly 1,900 companies were surveyed across 17 countries. When asked about their primary strategic focus, 53% stated they are concentrating on cost reduction and productivity gains, while 47% are adopting an innovation policy to find new areas for development. In France, cost reduction is considered a top priority by all 175 companies surveyed. Therefore, you must sift through even the smallest company expenses to streamline them and generate “small change” savings that can reach up to 30% of revenue, or even more, depending on the line items! Be careful, however, not to rely solely on an attractive price: anticipate your purchases! Indeed, a printer at an extremely low price can end up being incredibly expensive if its ink cartridges are overpriced and have a short lifespan. The same applies to a photocopier: it could prove to be defective very quickly, and its after-sales service might not be covered by the contract. At the same time, adopt eco-friendly habits: turn off lights when leaving a room, use energy-efficient bulbs, use as little paper as possible, place orders online, and opt for purchasing cards to digitize payments… LEVERAGING PURCHASING “Purchasing represents between half and three-quarters of a company’s costs!” asserts Abbad Hicham, Sales Director at KLB Group, a procurement and supply chain consulting firm. As a true lever for profitability, purchasing must be streamlined. “It is rarely centralized: for example, if someone needs a computer or office supplies, they place their order directly. Or, another common scenario is a purchasing department working with a local supplier or placing small orders with several different providers. However, purchasing must be consolidated and grouped together to ensure the best possible negotiation,” explains Ricardo Wille, Head of France Operations at Synertrade. The principle is to consume more efficiently based on actual needs and with a compelling value proposition. For Christophe Fillon, Procurement Director at Lowendal Masa\u00ef, “regarding indirect procurement, there are three major levers to act upon. First, buying the same thing for less\u2014meaning negotiating the same product or service at an advantageous price. The second lever is technical. It involves analyzing the company’s needs and, from there, redefining contracts, especially in the telecommunications and insurance sectors where pricing and services change very rapidly. In the case of office supplies, this also sometimes means questioning catalog listings. Finally, the third point: process organization. For example, buying less or restricting consumption.” Right from the start, a company can<\/p>\n","protected":false},"author":1,"featured_media":1812879,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[230],"tags":[294,295],"class_list":["post-1812878","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-cost-killing","tag-reduction-couts"],"_links":{"self":[{"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/posts\/1812878","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/comments?post=1812878"}],"version-history":[{"count":5,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/posts\/1812878\/revisions"}],"predecessor-version":[{"id":1814182,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/posts\/1812878\/revisions\/1814182"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/media\/1812879"}],"wp:attachment":[{"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/media?parent=1812878"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/categories?post=1812878"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newzyexecutive.fr\/en\/wp-json\/wp\/v2\/tags?post=1812878"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}