Managing Waste & Recycling Costs to Find Profits
After a preliminary phone call or meeting to determine your company’s needs, you authorize us to conduct an audit of your current waste management program, including your solid waste, recycling, and by-product disposal services.
We examine your contracts, visit your facilities, and peer in your dumpsters. Then we make best-practice recommendations tailored for your operation. Typically, we find that businesses treat their waste disposal solution as a low priority or a fixed expense, which may result in over payments and needless cost overruns. These fall into roughly four categories, all of which ultimately result in higher costs for you…
(1) Conflict of Interest Relationships
Businesses typically rely on the waste haulers to set up their disposal solution. But haulers have no economic incentive to save you money because they get paid for every truck they drive on site, and every dumpster they haul – whether full or not.
This is like the fox guarding the hen house – a true conflict of interest.
If the relationship between hauler and client has been abused, we’ll find over-service, overcharges and fee increases – it happens to companies of all sizes.
(2) Incompatible Business Strategies
Haulers follow an operational efficiency model. If they help you save money, they lose money. And most haulers simply will not swap short-term revenue gains in exchange for long term customer loyalty.
(3) Withholding Technology Improvements
New technology and equipment improvements can save a customer’s cash, but customers rely on their waste hauler to provide them with the latest news and information. And, not surprisingly, many haulers consider it counterproductive to provide information, advice and technology that will reduce a customer’s costs. After all, the hauler’s revenue and profitability is closely tied to their customer volume.
(4) Automatically Renewed Contracts
Many businesses are operating under their original (and outdated) waste disposal agreement. Often, the hauler’s contracts will have automatically renewed several times since inception – with no attempt at new price negotiations.
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