Annual spend – $300 million
Broniec Associates was engaged by a company in the electrical, plumbing, and hardware manufacturing industry to perform a comprehensive AP recovery audit. They were especially interested in an audit because they had made two acquisitions in recent years, and also had some leadership turnover within their organization. Since it was our first audit for this company, we reviewed a total of three years of their transactions up to the most recent closed fiscal year.
The audit was a tremendous success, yielding total recoveries of close to $500,000.00 as well as valuable insights into their P2P process. Our audit team identified and recovered overpayments in the following categories: statements/open credits, duplicate payments, deal allowances, and sales & use tax. Recoveries were from vendors in a variety of industries, including transportation, advertising, chemicals, and materials. Two of the recoveries in this audit were each over $50k – one for a duplicate payment and the second for a missed rebate allowance. Additionally, two claims were recovered from the same supplier – an advertising agency totaling almost $80k for billing adjustments.
The audit lasted six weeks. The client provided outstanding feedback on every aspect of the audit. They were especially pleased with the total amount recovered, as it far exceeded their expectations, and the comprehensive audit approach which yielded recoveries in several categories which had not been reviewed by a competitor in a prior audit. This client intends to engage Broniec Associates in annual reviews going forward.