Why investigate waste disposal expenses?
Businesses are developing an environmentally-friendly consciousness more and more; however, the costs involved to dispose of waste are often higher than they should be.
There is often a lack of proprietary responsibility regarding waste management in businesses; the responsibility of waste disposal is commonly shared amongst several people, not coordinated and without a strategy. Most companies lack the necessary knowledge of the waste market, whether regarding the waste disposal prices or the proceeds that can be generated from the sales of waste material e.g. scrap, waste paper, wood cuts, or plastic.
Also, contrarily to other categories of expenses, there are many legal requirements concerning waste management, for instance the specific disposal of body waste or hazardous substances.
What are usual clients’ requirements?
The situation report drawn after the audit is performed will explain the diversity of the various waste disposal suppliers and clarifies the different services provided. Waste management companies need to possess the licenses and legal requirements to be considered. Customers often require an active account management of waste disposal, associated with an ongoing optimisation of the company’s waste disposal structure.
Where are the opportunities for savings?
Cost reduction consultants will first investigate the company’s internal processes, such as waste sorting and then, the services provided and invoiced by waste disposal providers. This includes keeping an exact record of the costs involved for the leasing of containers, storage, transportation and treatment of waste and whether or not there is an income generated by the recycling of waste.
Through careful waste sorting, from the very start, most waste can be recycled and either re-used by the company or sold to third parties as raw material.
What savings can be achieved?
The savings depend very much on the client’s industry sector and the amount and type of waste generated by the company. The goal is to achieve the best sustainable results and to meet the environmentally-friendly criteria in place in each country. On average, the savings for the businesses are between 20 to 30% but there have been cases where the client saved 100% by generating a profit in the sale of their waste – where before they had to pay to dispose of it.
All businesses generate waste - therefore can benefit from an audit of their waste management processes. However, there are industry sectors that, due to their core activity, generate intrinsically more waste, such as the metal, chemical, pharmaceutical, health or food industries.