Success Story - "Utility Cost Reduction" |
Company Description
|
$100
Million Midwest Factory
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Company Situation
and Problem |
High-cost product; declining sales; marginal profitability; old
and poorly maintained production facility; high electrical and natural gas
usage; high natural gas prices; Purchasing organization not involved in
energy purchases; not taking advantage of special savings available; gas
supplier margin and delivery rates appeared high; processing equipment and
motors severely aged;
variable speed drives not installed; lighting was old and inefficient
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| Paladin Actions & Recommendations |
Utilized a Solution Partner to complete energy usage audits to identify
energy usage reduction opportunities; determine electrical load that could be
interrupted; reengineer production line power and lighting equipment.
Utilized a Solution Partner that provided an e-commerce approach to obtain
competitive natural gas pricing; negotiated final contract terms; assisted in
implementation of new supplier and related processes.
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| Client Results |
= |
Energy usage reduction savings of
approximately 11% |
|
= |
Investment payback of less than 2 years |
|
= |
Natural gas delivery costs reduced 70% |
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|
. |
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Analyzed Situation
… Recognized Opportunities … Engaged Solution Partners …
Delivered Significant Cost Savings |
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