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Auditel cuts costs significantly for YMCA’s shops

As a charity, the YMCA relies on public donations and sponsorship to fund their wide programme of services, supplemented by money raised through their network of 80 charity shops.

 

The YMCA Movement in England is one of the largest youth development organisations in the world. Founded in central London in 1844, the YMCA now has a presence in over 120 countries and a worldwide membership of over 30 million.

Paul Sargison, Head of Retail for YMCA shops, is very aware of the organisation’s duty to spend this money wisely so Auditel’s contingency-fee based cost management programme was very appealing. In 2004, he appointed Auditel consultant Gillian Gibbon to carry out a comprehensive review of the essential services costs being incurred by YMCA shops.

Armed with the challenge to sort out landline phone service levels, regardless of savings, Gill enlisted the help of Auditel colleague, Peter Mayhew. By pooling their expertise and knowledge of the UK telecoms market, Gill and Peter consolidated landline expenditure across all the shops and moved it to a high quality provider with a proven track record for excellent customer service, realising savings of 37% against original expenditure.

They then moved their attention to mobile phone and electricity charges. By thoroughly analysing YMCA’s mobile phone bills to understand their call profile, Gill and Peter tendered the market for a more appropriate package. Consolidating mobile phones used by YMCA shops and YMCA England onto a new contract saved a further £10,350 or 34%. A similar consolidation and tendering process against renewal prices for electricity resulted in another a 14% saving against the incumbent supplier’s renewal prices; very impressive in a rising energy market.

By joining forces with three more Auditel colleagues and other outsourced experts, Gill and Peter’s success on behalf of YMCA shops has been extended to ten of the individual associations. With savings for nine associations already implemented total savings for YMCA now stand at a staggering £135,000 p.a.

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Savings Breakdown

CATEGORY SAVINGS
Communications
  • Landlines & Call Charges
  • Mobiles

37%
34%

Electricity & Gas 14%
Waste n/a
Other n/a

“Gill’s management of this project has been excellent. To successfully transfer over 80 individual sites for landlines, call charges and electricity is an impressive feat. Not only are our shops and nine of our associations now receiving a much higher level of service from their suppliers, but we have made some really significant savings which will bring real benefits to the people we are working with.”

 

Paul Sargison, Head of YMCA Shops

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