The Situation
A city of approximately 15k residents with many departments including: Maintenance, Fire, Police, Parks, Sewer, Street and Water.
- $75k spent annually on outsourced laundry services including uniforms, towels, mats, mops and more.
- One supplier with multiple agreements.
- Looking to cut costs and get the best value possible while maintaining current products and services.
TLG Process
The Laundry Guy went to work and started auditing the existing contracts and invoicing for every line item of all city departments. TLG discovered significant opportunities to reduce costs in all departments. LG compiled all of the results with projected savings for the Initial Analysis and Strategy Meeting. Client selected the strategy to move forward to achieve the best pricing and terms with existing supplier since they were still under contract for almost 2 more years.
Results
The Laundry Guy negotiated with the existing supplier to create a new deal that helped the City save $29k/year without waiting 2 years for the current deal to expire.
- Consolidated all departments into one agreement to make it easier to manage
- Credits from audits & negotiations
- Got old garments replaced where necessary
- Monthly reporting for city/department managers with benchmarking report by location with with all changes and variances highlighted
- 38% total savings for a total of $29k/year
