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Document Destruction & Confidential Waste Experts

Document Destruction & Confidential Waste Experts

How much is in house shredding costing you?

How much is in house shredding costing you?

Hi Guys,

We hope you have had a great bank holiday week, we have!

I thought today I would share with you a recent discussion I had with a now new customer, who called our office today.

The customer called to enquire about the costs of a secure shredding service in Darlington, where he is based. We took ten minutes to get to know his business and particular requirements. For clarity their office had six staff and two administrators were doing the document shredding in-house on a daily basis.

When we provided our quotation, our customer initially resisted stating he could not justify the increase in costs for something they already have a solution in place for that “doesn’t cost them anything”. I asked politely why I thought he was wrong on this, he obliged and allowed me to explain. As we believe the real cost of the service should be measured in time and not monetarily, if your staff have more time to focus on your customers then your business will benefit.

The conversation went as follows,

Me: “so you have two administrators who shred for you and the other guys in the office when they have time”

Customer: “yes they do all the shredding we need on a daily basis.”

Me: “How long would they spend doing this each day”

Customer: “the shredder is on for around 5 mins at a time and they each take around 2 turns each per day.”

Me: “OK, and do they have to process the documents too, i.e. take out paper clips, poly pockets etc?”

Customer: “just poly pockets, the shredder handles paper clips”

Me: “So they spend another 2 mins getting the documents ready?”

Customer: “Yes, about that”

Me: “OK, Great and could you tell me how much you pay the administrators approx.”

Customer: “£16,000 per year for a 38 hour week”

Me: “Thanks, right just doing some quick calculations:

7 mins x 2 times per day x 5 days = 70 mins

70 mins x 52 weeks = 60.5 hours year on shredding. Each”

Customer: “Never, let me check.”

(He checked and said it’s actually 60.66 hours)

Customer: “So that’s £968.00 per year on wages.”

Me: “Yes, and we quoted you slightly less than this for a regular service that would ensure all paper waste is collected from site”

Customer: “I see what you’re saying”

Me: “More importantly, could you think of anything your administrators, could spend their time doing for a week and a half of the year other than shredding?”

Customer: “Yes, when can you deliver your shred box then?”

We signed the customer up on to a monthly service today and will be delivering their secure console next Tuesday.

Our service allows businesses to be more efficient and competitive, ensuring that your staff are focused on core duties and services so that your business is as efficient as can be.

Have a great day!

Patrick