Circuit-Cost Reductions
How Anilix reduced circuit costs for an international consulting firm by more than 50%.
Anilix was asked to review all circuits in North and South America and Europe in order to develop a circuit database and provide recommendations to (1) reduce costs and (2) enhance the network. This company spent between $500K and $1.5 million annually on approximately 50 unique circuits.
Process
This project included three phases:
Phase I (2 Months)
Develop database of all circuits, including contract terms, expiration dates, and gaps in coverage.
Phase II (3 Months)
Execute all immediately available actions
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Disconnect 20 unneeded circuits. Reduced total annual cost by 19%.
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Carrier Error: Disconnect 2 circuits where the carrier failed to complete disconnect orders and continued billing in error.This saved 5% of total annual cost.
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Billing Error: Corrected carrier billing on 2 circuits being billed incorrectly. This saved 7% of total annual cost.
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In addition, Anilix recovered all amounts billed from the date of discovering the above errors, back to the statute of limitations.
Phase III (18 Months)
Renew or replace circuits as contracts expired
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Renew 16 circuits with existing carriers based on multiple competitive bids from other carriers. This reduced the cost of the 16 circuits by 32% and saved 16% of total annual circuit cost.
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Replace 8 circuits with circuits from a new carrier based on competitive bids from the existing and other carriers. This reduced the cost of the 8 circuits by 46% and saved 8% of total annual cost.
Phase II Results
19%
Savings by disconnecting unneeded circuits
5%
Savings in Carrier Error connections
7%
Savings in Carrier Billing Errors
Phase III Results
16%
Reduction in total annual circuit costs from 16 circuit renewals
8%
Reduction in total annual circuit costs from replacing 8 circuits based on competitive bids
Circuit-Cost Reductions
How Anilix reduced circuit costs for an international consulting firm by more than 50%.
Meet the Team
Phase II Results
31%
overall cost reduction
Phase III Results
24%
overall cost reduction
One time savings from billing errors equal to cost of
1.4 months
of all circuits or 12% of total costs prior to any Anilix action.
Overall costs were reduced by 55% from the levels achieved prior to Anilix review.
