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  • Writer's pictureJamie Leeper

Why do people always look for the lowest cost?

Updated: Mar 25, 2019

Searching for the lowest cost isn't always the best policy

I am going to go out on a limb here and predict that the last time you needed a medical professional you didn't google "cheapest Chicago doctors" or "lowest cost LA surgeons". Even though the cost of the service provided played a role, inevitably the most important thing was the quality of the service and knowing you were in good hands.

You would probably look for reviews on Google+ and Yelp, feedback on Social media pages and blogs, and would also probably reach out to friends and colleagues and ask for referrals. So why should your search for a facility maintenance management company be any different? You are working with valuable assets that you want to protect, they play a huge role in your health due to the stress associated with the workplace and the amount of hours that you spend there, and you probably want peace of mind that the job is going to be done correctly.

Despite this logic, when it comes to finding a maintenance and repair company, facility directors are often OK going with the cheapest option, even after they have experienced problems with that company in the past, as they believe they can save a couple of dollars. This might sound like a good idea, but when you look at the total cost, and the time and effort spent having to correct the bodge job performed by the low cost provider, it proves to be a terrible decision.

For some people, Royal Services might not immediately appear to be a good option, as the perception is that we are more expensive than the other project management companies that we get compared to. The truth is, on initial cost we are more expensive because we do things the right way, and have incredibly high standards when it comes to the completion of projects. However, when you compare us to our competitors on total cost, we are around the middle of the pack. For total value, our clients consistently rank us as the industry leader. Value add savings including access to RAZOR, our proprietary CMMS, service call validating, warrantied work, and asset tracking keep us ahead of the pack.

Just last week we had a client come to us in desperate need of help. They had a store fixture that needed to be repaired, and wanted to save a couple of dollars by purchasing the materials by themselves, and just having us provide the labor. Everything was lined up and ready to go, but then the vendor arrived on site, only to find that the wrong materials had been ordered. Cue multiple problems, which could have been avoided if things had been done correctly the first time around.

  1. Wasted time and energy searching for and purchasing the wrong materials

  2. Disturbance to the shop environment and staff

  3. Money down the drain on a service call where the vendor couldn't do anything

  4. Time and effort spent trying to correct the problem

  5. Lost sales due to the store disturbances and appearance

  6. Embarrassment of having to explain what happened to your peers/ boss.

If this client had trusted us from the onset of this project, it would have been done quicker, better and cheaper. Kind of ironic, as the whole idea of purchasing materials to save money actually led to increased costs. Isn't it funny how that works?

Next time you are faced with a decision, ask yourself what the total cost of the project you are looking to complete will be. Too often we just look at the smaller picture and forget all of the additional factors that play a role in the process. In the example above, the facility director had to consider:

  1. Figuring out what materials were needed

  2. Researching the cheapest materials

  3. Waiting for them to be shipped

  4. Receiving them and taking ownership of them upon arrival

  5. The cost to pay an invoice including clerical staff wages, cost of the check, envelope, and stamp, as well as the time to drop it in the mailbox.

You might be laughing right now, but these are important factors that must be included in everything you do. When partnering with Royal, you have a partner with common goals, who will go to bat for you. We will use our buying power to save on cost, without sacrificing quality. If a mistake happens, it's on us, and we will do what is needed to get it completed to your satisfaction. You can rest easy, knowing that the job is going to get done and you can focus on more important matters.

"Don't walk over dollars to save pennies."

Contact us today to see how our incredible service can help your business become more profitable and efficient without sacrificing standards. Please contact us today to schedule a complimentary consultation. 1-800-728-1155

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