Fictional example
Harlan Ridge Foods: operating expense audit
Two sites · 12 months of invoices · waste hauling, freight, packaging, pallets
- Confirmed
- The evidence settles it.
- Likely
- Strong evidence; one fact to confirm.
- Worth asking
- A question for the vendor.
- No issue
- Checked and fine.
- 1
Waste hauling · Confirmed
Fuel and environmental fee with no stated basis
Evidence: “Fuel/Environmental recovery fee 18.5%” on 12 of 12 invoices, Plant 1, $228.66 a month. Agreement §7 allows “fees as determined by Contractor” and names no index.
Effect: Up to $2,744 a year if removed
Action: Ask the hauler for the basis in writing now. Make a cap or removal a condition of renewal.
Who could act: Current hauler, or bidders at renewal
- 2
Waste hauling · Likely
Rent billed on a container that was removed
Evidence: Rent for two containers, $45 each, every month. The March service ticket records removal of the second container.
Effect: $405 credit (9 months) and $540 a year from now on
Action: Request a credit with the March ticket attached.
Who could act: Current hauler
- 3
Waste hauling · Worth asking
Extra pickup billed twice
Evidence: “Extra pickup 06/14 – $95.00” appears twice on the June invoice. One service ticket on file for that date.
Effect: $95 credit
Action: Ask for both tickets; request a credit if only one exists.
Who could act: Current hauler
- 4
Waste hauling · Likely
Front-load container emptied at about 40% full
Evidence: Driver photos for 6 weeks show the 8-yard container roughly 40% full at each of 3 weekly pickups.
Effect: Depends on the hauler’s 2× weekly rate. Ask for it before deciding.
Action: Trial 2 pickups a week for one month and watch for overflow.
Who could act: Current hauler
- 5
Waste hauling · Confirmed
Agreement renews automatically; notice window open
Evidence: Term ends March 31, 2027 and renews for 36 months unless notice arrives at least 90 days before the end: by December 31, 2026, certified mail.
Effect: Not a saving by itself; it is what makes findings 1 and 4 negotiable
Action: Send non-renewal notice this month, then rebid or renegotiate.
Who could act: Harlan Ridge (letter template provided)
- 6
Freight · Likely
Liftgate billed at a site with a dock
Evidence: Liftgate charges on 41 of 212 LTL deliveries to Plant 2 in 12 months, $85 each. Plant 2 has two dock doors. The order template ticks “liftgate” by default.
Effect: $3,485 over 12 months
Action: Remove the default from the order template; ask the carrier to reverse the last 90 days.
Who could act: Harlan Ridge logistics; current carrier
- 7
Freight · No issue
Parcel fuel surcharge checked against the carrier table
Evidence: Billed percentages on 12 sampled weeks match the carrier’s published table at the EIA weekly diesel price for each ship week.
Effect: None
Action: No action.
Who could act: —
- 8
Packaging · Likely
One oversized box drives dimensional weight
Evidence: The 18 × 14 × 12 in box ships 4,800 parcels a year at 9 lb actual, billed at 22 lb (divisor 139). Products fit a 14 × 12 × 8 in box: 10 lb billable. Average $0.62 per billable lb on the parcel invoices.
Effect: About $35,700 a year if every parcel moves to the smaller box (planning figure)
Action: Drop-test the smaller box with packed product, then switch the top SKU first.
Who could act: Current box supplier or a rebid. Repackify could quote on the new box.
Disclosure: Repackify, a sibling business of OpEx Agent, can quote on this finding. You don’t have to use it.
- 9
Pallets · Likely
Pallets leaving in the trash
Evidence: A two-week dock count found about 60 pallets a month going into the roll-off, most intact 48 × 40.
Effect: Not estimated: needs a buy-back or pickup quote
Action: Get a buy-back quote and set up a stack-and-pickup spot by the dock.
Who could act: Any local pallet recycler. Repackify could quote.
Disclosure: Repackify, a sibling business of OpEx Agent, can quote on this finding. You don’t have to use it.