The Client 

Established in 1927, Volvo is one of the world’s biggest manufacturers of trucks and diesel motors. Volvo Group offers complete, customized financing, leasing, insurance and service solutions, as well as supplying delivery systems suitable for urban transport.

The Problem 

Volvo sought out SciamuS in 2009 to examine and optimize both the land and mobile infrastructure, not only in Budapest, but in their provincial sites, as well. 

SciamuS undertook the project in return for a portion of the savings, i.e., payment only in return for success. 

Analysis and recommendations 

The analysis prepared by SciamuS demonstrated the following:

• Volvo Hungária pays attention to its expenses, thus its telephone costs fall below the Hungarian average.
• mobile costs predominate
• landline voice communication fees also represented a significant sum
• international traffic accounts for 40% of landline communication
• roaming and international calls account for a significant proportion in the mobile infrastructure
• expenses for services used by Polish central procurement are well above the Hungarian market price

Implementation

SciamuS completed the recommendations  compiled in the report in 45 days:

• termination of the current service contracts
• conclusion of new contracts, competitively in certain cases
• termination of unnecessary subscriptions
• streamlining of landlines
• optimization of GSM adaptors
• cleanup of mobile data packets
• preparation of new internal regulations

Results and Conclusion

The time to execute the project is significantly shortened if the representatives of the client monitor the processes and release the necessary data and information to us by the specified deadline. In the case of Volvo, cooperation in this area was extremely professional.

There are some expenses that we do not have the opportunity to reduce, even if we can clearly see the way. In the case of Volvo, this affected the leased line network ordered by the mother company though an international contract. It is important to note that although many multinationals handle procurement in a centralized way, this does not always mean a better price or savings. In many cases, prices, packages and conditions can differ radically from country to country, and that goes for telecom costs, too. Thus it is well worth arranging procurement at home rather than abroad. This becomes even more effective if we pay attention to domestic habits and during tendering we take into account the procedures and laws specific to that particular nation, or else entrust the management of this task to an independent consultancy.

Average savings: 30%