The School District slashes costs on its Janitorial Services.
Current state and challenges:
While reviewing areas in the operation budget for high costs at a school district, OTP uncovers a significant red flag. The scope of work and quality standards for janitorial services had not been updated for many years and as a result there were several areas of discrepancy and overcharging for services the school district did not need.
Process:
OTP created a detailed scope of work based on the district’s exact needs and requirements. OTP identified, vetted and included several vendors in the RFP process including the incumbent. OTP conducted several interviews and evaluation meetings with several vendors. OTP presented the district with a comprehensive comparative analysis of all the proposals and discussed the pros and cons of each as well as the value proposition of each proposal.
Results:
After receiving competitive bids, it became evident that the current vendor was currently charging 45% more than the competition. OTP was able to negotiate an annual savings of over $32,000 for the school district while improving the scope of work and quality standards across the board. The school district implemented a new policy requiring OTP to administer an RFP on all large budget items moving forward.