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 PROVIDENCE, R.I., Nov. 25 /PRNewswire/ -- In the 1980s, wasting money was an annoyance for businesses. In the 1990s, it's deadly. As thousands of American companies continue to teeter on the financial edge, a Rhode Island consulting firm, Cost Management Associates (CMA), has found a new way to help businesses save money and jobs, without spending a dime. They do it by cutting in places where even the "leanest" businesses have never looked before.
 "Most companies worry about saving money on large expenses. They try to find ways to cut thousands of dollars at once. We don't worry about the dollars. We go in and show a company how to save pennies," says Bob Lonkart, a partner in CMA. "Saving pennies may not sound like much, but if we show you how to save two million pennies, you've just pocketed $20,000."
 Bob Lonkart and John Marshall are the brains behind Cost Management Associates. Both have successful backgrounds and decades of experience overseeing corporate spending. As financial managers, controllers and analysts, they concentrated on the big issues -- the product, marketing and strategy. Like most financial managers, they never had time to worry about the smaller, day-to-day expenses. Now, that's their specialty.
 "We help companies cut waste and keep jobs. It's that simple. Frankly, we don't know of anyone else out there who does exactly what we do," says John Marshall.
 By looking at the "smaller" picture, CMA helps businesses save tens of thousands of dollars. They scrutinize the cost of everything from office supplies to light bulbs and toilet paper, and they work with vendors to get the most value for the money. They analyze expenses such as long distance phone charges and then match businesses up with the best long distance carrier for their particular needs.
 "Companies are flabbergasted when they see the cost reductions," says Lonkart. "They've usually been using vendors from all over. They called whoever was most convenient the day they needed something, then stuck with them. Companies rarely have the time to look at how the smaller things add up. Most managers are just too busy, and rightfully concerned with the big picture."
 In the case of one CMA client, Childreach, a non-profit organization which recruits sponsors for needy children and their families overseas, the savings added up quickly. "Every penny counts here," says Childreach Chief Financial Officer Donna-Jean Rainville. "The more we save, the more we send overseas to help children. Out of an operating budget of $8 million, Cost Management Associates was able to cut expenditures by $100,000. They're as tough as nails; and they came back to assure we're continuing to get those savings."
 To insure savings, Lonkart and Marshall don't just suggest cost saving changes, they work with businesses to implement them. They stay with their clients for one year, checking back periodically to make sure cost savings are being realized, and to see if further changes can be made. The only charge for their time and expertise is a percentage of the savings they find in the first year, even though many of the savings continue for years after they've finished their job.
 "Companies can't believe we'll walk in, save them thousands of dollars, and essentially cost them nothing," says Marshall. "But that's what we do." Another CMA client, Ryan Elliott & Co. of Rhode Island, Inc., is a successful brokerage and real estate management firm. According to company president Charles Francis, CMA did things a company often can't do on its own. "These folks dug into places which were too small for us to spend time on but, when those tiny leaks were plugged, our expenses were cut by over $35,000."
 While on-site working with clients, Lonkart and Marshall require only workspace and access to a telephone and fax machine. They bring along their own computers and long-distance calling cards, and they work independently, without assistance from office staff.
 "If we save enough money, and help companies use their money wisely, we can save jobs," says Lonkart. "That's vital. Every time a business lays someone off, it makes that business less effective. People make business happen."
 -0- 11/25/93
 /CONTACT: Jack Groh of Groh Associates, 401-732-1551, for Cost Management Associates/

CO: Cost Management Associates ST: Rhode Island IN: SU:

SW -- NYON3 -- 7877 11/25/93 22:00 EST
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Publication:PR Newswire
Date:Nov 25, 1993

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