National Waste Associates Saves $1.7M for Manufacturing Client
Over the span of two years, National Waste Associates’ (NWA’s) team of experts worked tirelessly, conducting extensive load optimization exercises to reduce a manufacturer’s waste spends by $1.7M.
A national manufacturer with 62 locations across North America had an uncontrolled waste cost center, and disposal costs that were sky high. They needed to uncover the serious inefficiencies in their current waste management practices and came to NWA with three core requirements:
- To reduce waste spend across their entire portfolio
- To improve oversight and metrics in order to achieve greater control
- To increase recycling rates and divert more material from landfill
Load Optimization. The NWA team reviewed the waste tonnages for every single container at all of the manufacturing plants. They then implemented an optimization program that maximized compactor tonnage, resulting in a 4.5% year-on-year increase in average tons per haul.
The locations with the greatest waste activity and the highest spend were targeted first, as these were able to generate the greatest initial savings. Routine tonnage analytics were conducted throughout the contract term to achieve ongoing load optimization.
Right Sizing. Using the compactor tonnage analysis, the team also recommended compactor specifications and sizes that improved service efficiency and reduced haulage costs and emissions. This analysis resulted in a 9% year-on-year reduction in the number of hauls.
NWA’s load optimization and right sizing analyses generated cumulative savings of $1.05M over the contract term.
Diversion from Landfill. The manufacturer facilities generated certain waste materials that most haulers would immediately look to send to landfill. NWA’s waste experts instead identified diversion opportunities that not only generated $500k of revenue and disposal fee savings, but also reduced the carbon footprint and environmental impact of their operations.
Invoice Management. The waste industry is renowned for erroneous fees, clerical slippage, and unannounced price increases. NWA’s accounting team combatted this by thoroughly auditing every single invoice received from all the haulers. The vendor services team then contested every single un-negotiated price increase on behalf of their client. This resulted in compounded cost avoidance of $150k over the duration of the contract.
Service Consistency. All of these optimizations were managed while ensuring that the customer received impeccably reliable service. Across the entire contract, NWA upheld a 99.5% on time service delivery record, ensuring that waste was never a concern for individual plant managers.
Through an integrated waste management strategy of load optimization, vendor management and landfill diversion, National Waste Associates reduced their manufacturing client’s waste spends by over $1.7M in just two years.
These service optimizations didn’t just save the client a ton of money, but also helped the environment by eliminating unnecessary hauls and diverting valuable materials from landfill.
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