– Ross Stewart, CEO, Probe Information Services
Ross Stewart knows a lot about investigating. His company, Probe Information Services (probeinfo.com), is one of the most successful California investigative agencies. The firm conducts insurance investigations, checks compliance and uncovers fraud in 18 Western states. Still, the company needed to outsource when it came to investigating cost cutting strategies.
When Peak Cost Containment CEO Van Haas suggested that he could find cost savings for the business, Stewart was ready to listen.
“I thought we had a very good control of our costs,” Stewart said. “But I was willing to give Peak Cost Containment a try. For one thing, Probe had no money at risk. If there were no savings to be found, we’d pay nothing and have third-party confirmation that our costs were as low as they could be. But if Peak was able to find places to cut spending, their fee would come from a percentage of our savings.”
All Stewart had to contribute was a little of his time at the start of the process to review some receipts with Haas, and then listen to the final report a couple of weeks later.
At the initial meeting of about 30 minutes, Stewart and Haas looked over a list of Probe’s expenses, area by area – rent, shipping, postage, etc. That was enough to show Haas that there were potential savings.
Stewart then gave Peak Cost Containment the names of all of Probe’s vendors, along with 90 days worth of invoices from each, in an Excel spreadsheet. At that point, Stewart was free to go back to running his company while Peak analyzed the data.
“I didn’t think about it at all,” Stewart said. “Van and his team were extremely professional. They we easy to work with because they understand the importance of saving time.”
One way Peak Cost Containment analyzes the data is to match it against the client’s needs. When Probe shipped materials, it wanted them to arrive fast, but didn’t need overnight delivery. The company had settled on two-day guaranteed shipping from UPS, which came with free packaging and labels that were easy to fill out.
Peak Cost Containment discovered that most of the deliveries went to customers within California. With those short distances, even ordinary ground delivery would get most of the packages to their destinations within two days. Peak Cost Containment was able to negotiate further discounts, and found a separate company that could guarantee overnight delivery for some types of shipments for less money.
So Probe saved 51% over what they were originally spending. Plus all their shipping – both two-day and overnight, arrived overnight. They delivered faster while halving shipping costs!
Peak also found that by switching office supply vendors, Probe could save 12% on the top 100 items it bought. A new payroll vendor also offered 35% savings. And, a current database provider was ready to offer deep discounts to keep Probe as a customer.
“When I saw the numbers, I was floored,” Stewart said. “I would never have expected that he could renegotiating DMV records access for a 50% savings.”
All of this information was presented to Stewart in a report compete with graphics and a spreadsheet showing the savings available in more than 10 areas. Probe retained complete authority over which recommendations to accept.
Recommendations aren’t the whole story. Peak Cost Containment also went to work implementing them.
“Some changes were extremely simple,” Stewart said. “UPS sent out a contract and we signed it.” Peak Cost Containment set up an online ordering account with the new office supply vendor that essentially matched the old one. The transitions were so smooth that many of Probe’s employees didn’t even know they had taken place.
“Switching payroll companies was a pain, but it was worth it,” Stewart said. In addition to saving money for Probe, the new payroll vendor offered better technology.
After several months under the new contracts and vendors, everything is working as promised, Stewart said. He already has referred several business acquaintances to Peak Cost Containment.
“I believe we are saving a couple of thousand a month. Maybe more,” he said. For a company with 70 employees, that extra money opens a lot of possibilities. “If I have $24,000 to spend on something else, I’m thrilled.”
Established in 1992, Probe Information Services has grown to become one of the most successful investigative agencies in California. Our staff combines skill, experience, ongoing training, and sophisticated methodologies to compile and present the answers you need to bring about satisfactory resolution. Our emphasis is on handling investigations directed toward determination of compensability, defense of insurance claims, and combating insurance fraud. For more information: www.probeinfo.com
Peak Cost Containment is a Sacramento cost management company offering a four-step cost reduction method that helps you spot savings opportunities and negotiate better deals on the services and products you need. Peak reduces expenses by 10-30% in about 90 days for most clients – more savings and faster results than could be accomplished internally.
Our experts specialize in negotiating lower shipping costs, optimizing insurance costs, lowering merchant card services rates, saving on office supplies, and finding telecom savings. Peak fees are contingent on client savings – so you pay for performance and stand only to gain from Peak’s cost reduction services.
Confidentiality. Simplicity. Savings. Get started here at Peak’s website — or call Van Haas at 877.765.7325.
Peak Cost Containment
6630 Sierra College Blvd., Suite 400
Rocklin, CA 95677