IKEA Systems, B.V. is a worldwide retail market leader of well designed, budget- friendly home furnishings. As part of its strategy to keep prices low for customers, IKEA dedicates significant time and effort to all areas of cost management.
Nonetheless, Expense Reduction Analysts (ERA) found ways to substantially improve several non-strategic costs for IKEA’s pilot store in Delft, Netherlands. As a result of ERA’s efforts, the Delft store now enjoys savings on office supplies, courier services and freight.
"Being specialized in supplying low-cost home furnishings, we work hard to ensure that cost management and procurement are highly developed skills inside our organization," said Lars Diethelm, Chief Information Officer.
"But non-strategic items - like pens, pencils and courier services - are not our specific areas of expertise. Somewhat to our surprise, that fact has been clearly proven by the results obtained by Expense Reduction Analysts," he added.
"A healthy company like ours needs to remain focused on its core business. ERA's services are therefore a welcome complement that create no additional costs and requires very little time and effort, our involvement in the process being minimal," said Diethelm.
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