ERC has developed a program for new business startups where the
benchmarking of current costs and contingency based services are
unrealistic. We feel that this program more closely matches the
needs and resources of a startup business but still enables them
to take advantage of the cost and time saving benefits that result
from our services.
The fee for this service is determined by the size
and nature of the business and the number of expense categories
reviewed. A fee will be quoted following the initial fact finding
interview. Fees are payable as follows:
| • |
50% at agreement signing |
| • |
The remainder after presentation of recommendations |
ERC will continue to work with the new startup
until they are satisfied with the suppliers in each category. We
also offer an optional retainer agreement that enables us to support
the new startup with any supply chain management needs.
The New Business Startup Program operates as follows:
| • |
There is an initial interview (which
can be done via telephone). During this interview, we gather
specific information regarding the startup such as the materials,
products and services that are needed, projected usage, expected
growth rates and payment terms required. |
| • |
ERC calculates the fee and designs a plan of action. |
| • |
Client agreement is signed, 50% of fee is paid and work
is started. |
| • |
ERC identifies needs, contacts appropriate suppliers,
and performs supplier quality assessments and onsite audits
(if necessary). |
| • |
Supplier contracts and/or agreements are then negotiated
on the clients' behalf. |
| • |
ERC then provides the client with:
|
| |
1. the list of ERC
Certified Suppliers for each expense category
including
contact name and phone number
2. the negotiated pricing and
terms from each supplier
3. specific recommendations
as to which suppliers to use and
4. any other relevant information
such as delivery terms, etc.
|
| • |
Meetings with chosen suppliers are then set up, introductions
made, questions answered and relationships established. |
| • |
Remainder of fee is paid. |
Client is responsible for maintaining supplier relationship, order
placement and supplier payment. ERC will continue to work with client
until client is satisfied with a supplier for each category reviewed.
|
| Action |
| Initial interview with management
and ERC Consultant |
| Fee calculation and plan of
action |
| Agreement signed and 50% of
fee paid |
| Identify needs, suppliers and
perform assessments |
| Negotiate agreements |
| Present recommendations |
| Meet with suppliers |
| Pay remainder of fee |
| Collect cost savings |
|
Responsibility
| ERC |
Client |
| X |
X |
| X |
|
| |
X |
| X |
|
| X |
|
| X |
|
| X |
X |
| |
X |
| |
X |
|
An optional retainer agreement is available from
ERC which enables us to support the new startup with any supply
chain management needs.
Back to Services  |
