ERA Cultivates Savings for Private Country Club

Beacon Hill Country Club (BHCC) is a private, member-owned club located in New Jersey.  The organization wanted a thorough review of expenses to see if there were unrealized savings, but the key stakeholders were engaged in other operational priorities and did not have the time and resources to focus on this mission. As a result, the club’s general manager selected Expense Reduction Analysts (ERA) to assist by analyzing spend across five business categories.

Broad category knowledge with contract negotiation skills enabled BHCC to realize an average 17.2 percent reduction in expenses over a three-year period ($160,000 in savings).

ERA consultants began by analyzing the organization’s spend for waste, uniforms and linens, cleaning services, food services, and chemicals and fertilizers. Across four business expense categories, ERA worked with the incumbent suppliers to renegotiate terms, and three categories led to significant savings: waste, 41.3 percent; uniforms and linens, 23.4 percent; and food services, 16.5 percent. For the chemicals and fertilizers category, Beacon Hill chose to continue to use name brand products, but ERA did identify ways to reduce expenditure by 4.3 percent.

For cleaning services, ERA recommended a new supplier with terms more advantageous to the client, resulting in a savings of 39.7 percent. Across all five categories, the client realized a $160,000 savings in operational expenses over three years. Throughout the entire process, ERA provided continual communication with the client to ensure transparency and long-term success.

Because ERA took the lead to analyze business expenses and present solutions for savings, the BHCC team was free to focus on operational priorities.

After identifying expense reduction strategies and implementing the new contract terms and pricing, ERA will continue to track BHCC’s savings over a two-year period to ensure that the suppliers do not incrementally increase prices. By reducing expenses by an average of 17.2 percent, BHCC can use the funds to bolster its budget and facilitate initiatives and upgrades to benefit members. 

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