Manufacturer achieves $540,000 savings in steel purchasing costs

Manufacturing

Our Consultants helped achieve $540,000 in savings with an incumbent supplier

The client, a manufacturer of high-quality, custom hydraulic cylinders, wanted to optimize its supply chain for direct materials, particularly steel. The client selected Expense Reduction Analysts to assist in obtaining cost-savings for direct materials, gaining knowledge on strategic sourcing practices, and ultimately optimizing steel purchases.

As a result of ERA’s findings, the client was able to 18% in steel purchases. The client was then able to use that savings towards other capital investments and manufacturing equipment purchases.

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