It is a tough time for businesses in our economy. Seemingly, few want to commit resources to long term investments and consumers are tightening their belts. So managers are faced with a real dilemma. How to save money while growing their businesses?
Looking after your staff
People are a business’s really major asset and what we see is that very few managers want to do anything to weaken what may already be a difficult situation. Staff that need to feel motivated to achieve and their worries that things are looking increasingly more difficult each day.
One area that managers may be tempted to cut costs is in staff “perks”. Totally reasonable I guess. Out go the business class airfares, entertainment allowances and flashy year end functions. Marketing gets told to motivate everything three times over and poor old R&D get told to me more creative but with a 50% budget cut.
Then we come to the coffee. “That’s costing us a fortune!” we hear managers say in meetings with us. “We need to get savings here”. Our response is to tell them that one of the biggest issues they face is “over-use” of the coffee and milk left on counters. Milk especially as it ends up in glasses and cereals… and there is a BIG difference between a company offering its employees a coffee service and a breakfast service!
Reducing your coffee costs
What to do? We offer them a coffee machine rental. First, putting all ingredients IN the machine = no loss + portion control. Secondly, putting a card reader on the machine = a reasonable number of free coffees per person per day. Third, we manage everything from maintenance to consumable delivery at no extra cost. Fourth, if consumption is adequate, no rental is payable!
So let’s look at the numbers. If a coffee costs R2 then 3 cups a day per person is R6 a day or R120 per person per 20 working day month. To put that in perspective, if the average salary in South Africa is R10 000, that is 1.2% of the average salary and 0.12% of an executive salary. If a business cannot look at R120 a month as an investment in their staff then sadly, there is probably more to worry about than whether or not to offer staff coffee!
Now don’t take our word for this. Coffee machine companies like ourselves, Aquaspresso, Ciro, Pureau and Nestle (remember the Nescafe machines !) have been doing this for years. Companies that care about staff and want to see them motivated in the workplace. They realise that while there is a cost to providing coffee to their staff, that this is in fact an investment. The return is simply greater attentiveness, perkiness and appreciation that there is a hot drink a few metres away from their desks.
What many managers may not know is that coffee machines can be provided free of charge in a business setting. No rental options are available where the only commitment is to buy the consumables fro the coffee company – as mentioned above we, like Aquaspresso and Ciro offer no-rental payment options. Ah, you say… but then aren’t your consumables going to be more expensive than if I bought them at the store? Not necessarily… because we get volume discounts from our suppliers that we use to generate our income.
The benefits of renting a coffee machine
So why not look at savings from having ingredients locked away in the machine, controlling how any cups of coffee you provide free to your staff and the time saving of pressing a button rather than boiling a kettle… and give us a call to see just how much you can save.
To close, here is a great quote from Sybil F. Stershic, author of “Taking Care of the People Who Matter Most: A Guide to Employee-Customer Care” :
“The way your employees feel is the way your customers will feel. And if your employees don’t feel valued, neither will your customers.”