"Right sizing" is about getting the greatest value from your trash and recycling service by maximizing your container size and minimizing the number of pickups. Cost savings can really add up when you find the right balance. Here is a case study illustrating how one of our partners, a window manufacturer based in the midwest, achieved a $25K annual revenue impact through right sizing.
During our waste and recycling audit, we examined at their existing service levels for waste and recycling. Here's their level of service when we stepped in:
- Solid waste: 10 yard pickup, 5 times per week = $648.33
- Solid waste: 10 yard pickup, 3 times per week = $403.71
- Solid waste: 8 yard pickup, 3 times per week = $330.67
- Solid waste: 20 yard pickup, on-call:
$138.6 (monthly rental)
$337.85 per pull up to 3 tons
Anything over is an additional $38.29 per ton
- Recycling: 8 yard pickup 3 times per week = $422.58
We calculated they were paying a gross monthly total of $1943.89, before their recycling rebate. Subtracting their monthly recycling rebate of $193.05 for a net monthly expenditure of $1750.84.
During the audit we identified missed recycling opportunities that could generate revenue. We were able to consolidate solid waste pickup by right sizing trash equipment. We also identified benefits by using compactor boxes for recycling. As a result, we were able to propose the following right sized trash and recycling equipment and new service levels:
- Solid waste: 8 yard pickup 1 times per week (food waste / misc. glass) - $75
- Solid waste: 8 yard pickup, on call -
- $65.00 per pick up (estimate every other week for miscellaneous waste)
- This container has no rental fee unless serviced.
- Recycling: 3 yard stationary compactor, monthly rental = $650
- Recycling: 40 yard compactor box, monthly rent = $35
- Recycling: 40-yard compactor, on call (estimate 1/ month) = $300 per haul, no disposal charge
Instead of SPENDING a net of $1750.84 per month, this partner started EARNING $326 each month.
- Annual Savings on Trash Service = $10,606
- Annual Increased Recycling Rebate = $14,316
- Annual Total revenue impact = $24,922