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Case studies
FMCG customer cuts £600,000 off utilities bill
A large European Fast Moving Consumer Goods (FMCG) manufacturer approached Xchanging to drive down costs by improving their utility procurement and usage.
We began by performing a data clean and deep-dive into the customer’s processes and records. We then worked closely with the customer’s employees to create an up-to-date and realistic needs analysis which led to multiple specification changes. This included a full usage analysis with particular focus on best practice usage and energy efficiency methods.
Drawing on more than 16 years’ experience in energy procurement and sourcing, we also completed a market review identifying the most appropriate suppliers and where savings could be made. In the short term, the customer gained an immediate cash saving of £600,000. By the end of the first year, we had succeeded in delivering a 17% contract improvement. We continued to deliver similar savings as the relationship continued, achieving true aggregation. We made sure that re-tendering took place where necessary and revised invoicing and procurement arrangements as required.
The customer also made progress towards their sustainability targets as a result of our energy efficiency initiatives.