09-07-2025
5 Bold Moves To Snatch Millions From Your Company's Hidden Costs
Eric Steele the CRO of SIB, a Value Acceleration firm that helps large and midsize companies improve efficiency and save millions in SG&A.
Finance teams are constantly on the hunt for inefficiencies, yet many still rely on stale processes and fragmented data sets that hide opportunities in plain sight. After years of helping organizations slash costs across telecom, utilities, waste management and beyond, I've seen how seemingly 'routine' invoices and contracts can mask substantial savings. Now more than ever, it's crucial to look below the surface.
What follows are five under-the-radar strategies that can unlock meaningful, long-term savings for businesses across industries. Although technology, particularly AI, can help power this process, the real game-changer is pairing data-driven insights with the human expertise required to convert those findings into bottom-line results.
Benchmarking Contracts (Really Benchmarking Them)
Most teams know they should negotiate contract terms, but few take the time to benchmark those agreements against a broad set of historical and industry-wide data. A basic check might confirm that your rates are standard, yet we've found that so-called "standard" rates are often inflated.
• Waste Invoices: Our analysis shows that up to 35% of waste invoices contain billing errors. These errors aren't always blatant; they can be hidden in pricing tiers, surcharges or overlapping fees for services the company might not even need.
• Telecom & Broadband: In telecom, error rates can skyrocket to 85%. Sometimes this is due to outdated service packages, mysterious admin fees or over-billing that's slipped through monthly statements for years.
While advanced data analytics can flag some of these anomalies, a skilled negotiator with full market visibility can go deeper. That might mean comparing your contract to thousands of others in your industry, identifying subtle overcharges and then engaging the vendor directly to secure a partial refund or a more competitive rate.
Auditing 'Vanilla' Spend Categories
Everyone knows to watch telecom, utilities and insurance. But what about the categories that no one wants to touch because they seem mundane or overly complicated? Facilities maintenance, uniform rentals and office supplies often fly under the radar because they feel trivial or intangible.
• Facilities Maintenance: Often billed on a recurring schedule, it's easy for small rate hikes or 'miscellaneous service charges' to slip by. For instance, a multi-site retailer we worked with discovered they were paying for weekend facility checks even though their stores weren't open on Sundays.
• Uniform Rentals: Certain service providers tack on incremental fees (like 'environmental charges') that can bloat invoices. A thorough review of these service lines led one of our clients to save tens of thousands of dollars yearly on an expense they had previously written off as a fixed cost.
If your finance team sees a line item every single month and has never questioned it, that's the exact spot to begin your audit.
Leveraging Both Data And Expertise
Technology is essential for scanning, aggregating and analyzing mountains of data at scale, but it's only half the battle. Those insights don't magically transform into savings on their own.
In our experience, human expertise remains the secret weapon. We pair our platform's findings with a team of specialists. For example, if our system identifies a pattern of pricing inconsistencies in telecom services, a human analyst can trace the root cause and then engage the vendor to rectify it.
Off-the-shelf AI tools might highlight suspicious data points, but truly maximizing value often involves layering in customized logic, reference checks and vendor-specific expertise.
Analyzing Utility Rate Structures
Utilities are notorious for regional quirks and complex rate schedules. Even within the same state, one plant might be charged differently than another, based on peak usage hours or region-specific fuel surcharges. The permutations can get dizzying—and that's why they deserve a closer look.
• Bill Code Breakdown: Look closely at every line item of your utility bill. Are you seeing charges with ambiguous descriptions like 'zone differential' or 'delivery fee variance'? Ask your provider for a breakdown; you might be surprised by what's actually mandated versus what's included by default.
• Local Market Intelligence: We once worked with a national chain to benchmark electricity rates across multiple states. By comparing real usage data with local market intel, we found opportunities to shift a portion of their energy load to off-peak hours at a substantial discount, ultimately saving over 15% annually on utility expenses.
Utility bills might seem static and non-negotiable, but they're often just as flexible as telecom or waste contracts—if you know where to push.
Keeping A 'Living' RFP/Negotiation Cycle
In many organizations, contract reviews and requests for proposals (RFPs) happen sporadically. But with shifting market conditions, pricing can change dramatically in just a few months. Locking in a rate and forgetting about it for years is a recipe for missing out on better deals.
• Continuous Improvement: Instead of waiting for renewal time, keep a rolling negotiation cycle. This might mean reaching out to vendors mid-contract to see if usage has changed, market rates have declined or new service tiers have opened up.
• Data-Fueled Negotiations: Armed with real-time spend analytics and industry benchmarks, finance leaders can approach vendor negotiations with actual evidence in hand. Even small percentage cuts can compound into enormous annual savings.
Final Thoughts
Cost optimization in finance and procurement isn't about slashing budgets or nickel-and-diming vendors. It's about rooting out genuine inefficiencies so your organization can operate more strategically and better serve customers.
If your finance team has been using the same systems and strategies for years, now is the time to shake things up. Sometimes, the biggest wins are simply waiting for you to spot them.
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