Read how three major customers benefit greatly from using Complete Control.
How Elkjøp manages 400 leases
Elkjøp Nordic leases premises for 400 stores throughout the Nordic region, at a cost of NOK 1 billion per year. This is how the group behind Elgiganten and Elkjøp manages its leases.
Project Manager Tom Espen Eide of Elkjøp Nordic is responsible for managing all 400 of the rental agreements.
“We used Excel,” recalls Eide. “It worked reasonably well when we had relatively few rental agreements, but as the group grew and developed the situation gradually became unmanageable and completely unviable.”
“Having 400 rental agreements and an annual rent bill of NOK 1 billion constitutes a risk for the group in itself. It’s very important that the leases we want to retain are renewed and/or renegotiated. With so many leases, this work has to be automated, otherwise we could easily run into trouble that would cost us millions.
“I use Complete Control more or less every day to look at various leases. It’s a solution that is intuitive to use and that gives me a good overview. I can’t imagine it being possible to manage the portfolio in any way other than using a tool like Complete Control,” says Eide.
Thus, Sparebanken Vest finds order in chaos
Sparebanken Vest is an end-to-end investment bank for more than 250,000 individual and business customers, making them the third biggest savings bank in Norway. The bank has its head office in Bergen and bank plays a central role in a lot of the wealth creation in Western Norway.
“We have 600 employees and approx. 500 contracts with a number of subcontractors, which include IT systems, consultancy services, facility service suppliers and more everyday suppliers, such as travel agencies and florists. Complete Control’s electronic archive enables us to assemble all of the contracts in one place.”
“A central electronic archive for all contracts establishes the foundation of reducing key individual risk by managing the agreements through facilitation of the notification system. The system also provides a better overview of the supplier portfolio within the same service area, something that enables us to optimise the number of suppliers and their terms and conditions.”
How Brandsdal cured its “allergic reaction” to automatic renewal of contracts
Brandsdal Group, the fashion and cosmetics giant, is “hyperallergic” to contracts with automatic renewal. Complete Control now provides full assurance that no contracts are inadvertently extended – in an organisation that employs 200 people and generates an annual turnover of NOK 800 million.
“We had a two-fold problem as regards keeping track of all our contracts,” relates Kolbjørn Ertzeid, CFO. “First, we had to deal with the combination of storage methods and the changing role of the employees in our businesses. When someone left the Group or moved to a new position, it was quite a challenge to follow up on the contracts we had entered into. So we were looking for a smart solution to this person dependence.”
“Second, we had problems with automatic extensions to ongoing contracts. Each of these contracts was only small measured in hard cash, but for a CFO in particular it’s hugely frustrating not to have a solid overview of them all. And, of course, put them all together and they add up to a significant sum,” he explains.
Confidence with a simple tool
Complete control significantly boosts confidence in everyday situations, says Kolbjørn Ertzeid:
“Just like all companies, we have some employees who work in a more structured manner than others. Complete Control makes it simple for all our employees who work with administration of contracts with suppliers to keep track of expiry dates and other important aspects of these contracts. They receive reminders by email. And if they fail to react to these, they are sent more reminders and warnings. If all else fails, I receive a phone call. This is what I call ‘watertight protection’ against inadvertent renewal of contracts.”
“One of the strengths of Complete Control is that it is a simple tool. You don’t need any training to start using it. And the few times we have needed a hand, we’ve received good and rapid support from our fixed contact in House of Control.”