MMI Helps Brunswick Corporation Find Big Savings While Helping to Improve Contract Management Processes

A Formidable Challenge

Without a highly organized system for managing the myriad of technology components across Brunswick’s operations, the company was losing hundreds of thousands of dollars on mismanaged contracts without even realizing it. It wasn’t until the IT department’s annual review in 2006 that they realized the full extent of the problem.

As Brunswick’s Infrastructure Planner, Dave Schecher is responsible for managing internal projects and assets, choosing hardware for the new projects and implementing new software applications. The task of organizing and managing hardware and maintenance contracts fell to him and his team—but it was a tedious process and often resulted in added costs that were difficult to justify.

Schecher adds that most of the communication between his team and vendors were occurring over email, making for a complicated, difficult-to organize system for tracking inventory and contracts.
“We had no way of properly and efficiently tracking inventory across locations and manufacturers—which made IT budget allocation difficult. We were unable to efficiently keep track of when items were coming off warranty, and there were instances where we realized a machine’s warranty expired after there was a need to call in for support on that machine.”

“This, of course, had a detrimental effect on business processes and cost us more money in the long term.”

MMI – A Balanced Solution

On an annual review call, a vendor suggested that Brunswick would be a good candidate to try out the services of Managed Maintenance Inc. (MMI), a provider of outsourced and collaborative asset lifecycle and service contract management that enables technology manufacturers and their distributors and service partners to maximize service and equipment replacement revenues.

MMI entered the picture and helped Brunswick identify and fix maintenance contracts that still existed for equipment that had long since been retired. From the first conference call, MMI set Brunswick up with its proprietary software over the course of an hour-and-a-half training session. “They went through the whole process—from how to look at the data online to creating reports and making requests to add and remove hardware and contracts. We manipulated the software independently for about a month and met again after that, when the team walked us through a question and answer session.”

With MMI’s software and consistent involvement in the tracking and management process, the Brunswick team has gained unparalleled visibility of their contracts—a strategy that has contributed a slew of added efficiencies.

A Cost Effective Business Model

“With MMI, we now have the capability to keep all of our equipment under one managed contract, and we have excellent views into the status of our equipment. With the pro-active notification feature, we no longer need to worry that a machine that is integral to our processes will go down without being under a maintenance contract. We have a clear view of our maintenance costs across all divisions at any point in time making budgets much easier to manage.”

The new capabilities Brunswick gets from an improved awareness of their hardware has paid off. In fact, Schecher estimates his team has saved around 500 hours of work annually (roughly equivalent to a quarter of an employee) and approximately $100,000 on items that were incorrectly billed or shouldn’t have been on maintenance contracts.

“MMI has been instrumental in helping our business consolidate inventory and put processes in place so we can spend more time focusing on our business operations,” Schecher concludes. “I would encourage companies with similar pains to look to MMI to help them experience some of the benefits that we have experienced here at
Brunswick.”

mercury

Highlights:

Mercury Marine is a division of Brunswick Corp, the world’s largest manufacturer of recreational products, including boats, marine engines, fitness equipment and bowling billiards.

Challenge:

For Brunswick Corp., too much time was being spent ineffectively managing the wealth of inventory across all of the company’s business segments to support its $4.7B dollar enterprise.

Solution:

MMI worked in conjunction with Brunswick to provide consultation services and the unified contract management ONEview portal to help Brunswick better manage their contract lifecycles and renewals.

Results:

  • MMI helps Brunswick find more than $100K in savings
  • IT Team saves over 500 hours Annually
  • Systems and processes put into place to help track & consolidate inventory while allowing their IT staff to focus on their core operations.