Containing Facility and Equipment Costs

Without proper oversight,
an estimated 70% of service providers will overbill.

 

Apply that 70% to thousands of service requests at multiple sites across your location footprint and the amount you may be overpaying for maintenance becomes significant.

Analyzing whether your invoices are fair, accurate, and in line with current market rates is also nearly impossible without being able to reference proven baselines for labor and parts data.

Vixxo takes the guess work out of your invoices and restores confidence that you are getting the most out of your maintenance spend.

Imagine what this 70% could mean for your costs.

Here's an example based on 15k annual work orders:

---

15	X	15,000	@	$80
MINUTES OF EXTRA BILLED TIME		WORK ORDERS PER YEAR		PER HOUR

---

$300,000
ANNUAL LABOR OVERCHARGES

Managing Cost and Maintaining Quality is both an Art and a Science - and We've Nailed It

Most facility and equipment maintenance cost containment systems focus on matching labor rates - or worse - solely rely on manual auditing processes that occur after invoices are received. But with labor rates accounting for only 30% of an average invoice, how are you monitoring and managing the other 70%?

 

Vixxo controls and in many cases eliminates overpaying for services (both labor and parts) through an invoicing control and auditing technology that generates accurate labor durations for repairs and market pricing for parts by performing a real-time price negotiation during service provider invoice creation.

Our customers typically see a 5-15% reduction in total reactive repair spend when working with Vixxo.

Experience and Results Matter.

Members of our leadership team discuss how Vixxo gets results for our clients.

How Vixxo Contains Costs

From service initiation to the final invoice, Vixxo’s Work Order Management and Invoice Auditing System work seamlessly together to drive meaningful, sustainable results.

 

The Detailed Audit Process takes into account all aspects of the service event to deliver Measurable Results. 

This data collection, inspection, and auditing happens on every service request, quote, and invoice we process.

When the proposed price is judged as excessive (based on our extensive pricing database), our market price is proposed as an alternative & recommended price. Any deviations from our proposed price flags the invoice for a more detailed review and auditing by a Vixxo trade expert.

Similar guardrails are in place to identify and pre-emptively remediate labor rates and duration overcharges. When it comes to labor overcharges, we pull from our deep insight into what current market rates are (by trade and geography). To control total labor hours, we leverage our trade knowledge of how long it takes to complete most skilled labor jobs.

The line-item level of auditing shown above happens for every individual part, making sure your final invoice represents a fair and accurate price for materials & services rendered.

Delivering Results

Using the 1 billion+ facility and equipment maintenance data points we have acquired over the past 20 years, we can estimate labor durations for the majority of service and maintenance jobs. We also leverage extensive databases to confirm parts and materials costs are in line with current market pricing.

And the best part is our system automatically inspects, compares, and validates every component of your invoices against the data for similar work in our service database. If a discrepancy is found, we will work with the service provider to help reconcile the expense to protect you from overpaying.

Because of Vixxo's automated auditing, the total size of the invoice is reduced by controlling the spend on labor and parts.

EXAMPLE: Vixxo Reduces Reactive Work Order Cost for Large Convenience Store Chain

 

"We look to Vixxo not just to provide visibility into what is driving spend, but also what can be done to correct it."

- Director of Facilities, Large Convenience Store Chain

A Large Convenience Customer had an extremely manual Invoice Audit process, leaning on 12 Facilities field personnel to audit and approve over 500,000 invoices annually. Due to lack of time/focus and technical expertise, overcharges were frequent.

Lack of controls was driving an estimated $3-5M in additional spend per year. First time fix rates were running lower than expected and creating frustration at stores. A lack of visibility into a given, specific asset being worked on was limiting decision making ability.

• Vixxo introduced automated invoice approval utilizing our audit system
  • Invoices thresholds were set by trade
  • When the invoice is below the threshold AND passes Vixxo's audit controls, the invoice is now auto-approved
  • Any invoices that fail are managed by Vixxo audit team
  • Site Limits and Quote Thresholds were created in partnership with the client to create decision checkpoints
• Vixxo improved the first-time fix rate through part-level data analysis
  • This data was used to coach service providers on truck stock
• Vixxo enabled capital reinvestment analysis, repair/replace decisions, and callback charge prevention
  • By utilizing asset tagging to capture equipment repair history

 

Interested in learning where how we can help you get more out of your maintenance budget?

We’d love to talk!