Win Win profits for Montgomery

Montgomery Tomlinson Limited is the leading supplier of made-to-measure and ready-made curtains in the UK. In recent years Montgomery’s success has been reflected by expansion within the UK over 1,000 retail outlets, 130 of which are shop-within-shop departments offering a consultancy service.

Phil Smith, Finance Director of Montgomery Tomlinson Limited, recruited the services of Sue Robinson, Expense Reduction Analysts consultant, to review a range of their business overheads, which resulted in an average of 25% savings across seven categories of expense. Expense Reduction Analysts consultant Sue Robinson was asked to review swatch expenditure and although the swatch category is a new area for Expense Reduction Analysts, Sue felt confident that the Expense Reduction Analysts methodology could be successfully applied. She has been proven right and has achieved a 30% saving in this area.

The Brief

• Profit improvement

• Consolidate all administration where necessary

• Maintain service levels

• Maintain quality of product – crucial as the swatches are an important sales tool

• Retain present suppliers

Expense Reduction Analysts undertook a thorough analysis of the current suppliers, which identified their individual strengths. By using economies of scale and making minor adjustments to the present process Expense Reduction Analysts was able to improve profits and administration, without compromising quality or level of service. Phil Smith, Finance Director, comments, “As a quality designer and manufacturer of soft furnishings we can never allow standards to reduce in order to purely increase profits. Sue accepted this challenge and therefore embraced the culture whilst at the same time keeping focused on her aim to make profit improvements. The results speak for themselves and we are delighted with the work that Sue has done on our behalf.

More importantly, Sue has become part of our team and works well with the managers within the business. Different areas of costs are now being discussed with Sue and if she does not have the answer then there is always someone within Expense Reduction Analysts who can help out. To me, our relationship with Expense Reduction Analysts is a ‘win win’ situation where both parties see a positive gain at the end of the exercise. “I have always been sceptical with regard to consultancy projects, but the experience with Expense Reduction Analysts has really opened my eyes and the business is very pleased with the outcome.” – Phil Smith