Kiel Montagebau adjusts procurement structure after acquisition

In addition to Kiel Montagebau KG, Kiel Engineering GmbH, IPS Industrie Personal Services GmbH and IPS Industrial Pipe Systems GmbH operate under the name of Holding Kiel Industrial Service AG.

The company operates nationwide and also has subsidiaries in Benelux and Denmark. The involvement of Expense Reduction Analysts in the procurement process has, since 2009, made it possible to identify savings potentials in the cost categories of office supplies, IT and telecommunication costs, fleet, components and industrial gases and to achieve reduction in prices.

Since Expense Reduction Analysts investigated and optimised the procurement of industrial gases four years ago, Kiel Montagebau KG has commissioned Roland Prehm of Expense Reduction Analysts to investigate the cost category once again. The reason was mainly the acquisition of companies that were to be incorporated in the procurement structure of Kiel. Therefore Expense Reduction Analysts investigated a procurement budget of nearly half a million Euros. Prehm asked expert Reiner Schulze to join him on the project.

The objective of this project was to integrate the new companies in the existing supply structure of the main providers, and to make sure Kiel’s service criteria was met i.e. for security of supply, nationwide supply, compliance with technical standards and clear and understandable financial reporting.

As a result, Expense Reduction Analysts identified savings amounting to around 26%, i.e. 128,000 Euros.

Dirk Luczak, Head of Procurement/Logistics at Kiel Montagebau GmbH & Co KG, was very happy with the results: “As we had experienced a very successful collaboration with Expense Reduction Analysts, we have again called on the company to integrate the companies acquired into our procurement structure.” 

CATEGORYSAVINGS
Industrial gases26%
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