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Southeast-based Am Law 200 Firm Leverages Mattern to Find Savings and Improved Services in Office Supplies

With nearly 400 attorneys across 24 domestic offices, this Southeast-based Am Law 200 firm had a firm-wide initiative to examine and strategically reduce back-office expenses.

CHALLENGE
With nearly 400 attorneys across 24 domestic offices, this Southeast-based Am Law 200 firm had a firm-wide initiative to examine and strategically reduce back-office expenses. Based upon Mattern’s expertise and flat-fee model, the firm retained Mattern to lead the project.

As is often the case, there was a long-standing relationship with a provider that serviced the firm with office supplies and paper for their 24 offices—and as is also often the case, with no contract or agreement in place, there was no standardization of products nor any performance standards or consistent reporting. On top of this, the firm was charged delivery costs for all offices, except for the main office.

PROCESS
After a firm-wide assessment and benchmarking of the office supplies situation, Mattern recommended an open Request for Proposal (RFP) to maximize the savings and address the following:
- Improve and standardize pricing on core/contract items (top 250-300 Items) plus a defined pricing structure for the non-contract spend.
- Additional discounts on order size and spend.
- Define performance standards and reporting to assist in the management of the contract.
- Incorporate Mattern’s best practice recommendations into a competitive, flexible agreement with incentives and rebates based on volume.

The RFP was sent to three service providers: the incumbent and two others. After service provider interviews and numerous rounds of pricing and reference checks, the firm chose to award a 5-year agreement to a new service provider to supply all office supplies and paper for the firm’s offices.

RESULTS
After completion of the contract negotiation and the implementation of the new pricing and online ordering platform, Mattern helped the firm achieve an overall monthly like-for-like savings of 33% while maintaining the products the firm preferred and increasing service. Law firms are always looking for ways to save money, and “this was a great opportunity to bring savings to the firm,” added the firm. The firm also enjoyed these additional benefits that enabled firm leadership to better manage their relationship:
- A list of standard core items representing 80% of the Firm’s projected spend
- Core pricing held for one year and subject to a maximum of a 3% annual increase based on manufacturer’s documentation
- Non-contract pricing structure
- One percent (1%) discount at time of order on all orders above $500
- One percent (1%) discount on monthly invoices if paid within ten days
- Annual Incremental rebate based on qualifying spend with rebates up to $10,000 annually
- Free next day delivery to all offices
- Quarterly summary reporting that includes spend, incentives achieved, volumes purchased and contract vs. non-contract details

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There is a way out.

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AmLaw 200 Firm Streamlines Procurement and Saves 43% on Office Supplies

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