Challenge: Working From the Ground Up
BPR Properties currently owns and manages 12 hotel properties. Included in its portfolio are Marriott, Hilton, Hyatt Places and Wingate by Wyndham properties.
Sanjeev Deshmukh, VP of Accounting at BPR, and his team, help manage all of the supplier orders and invoicing for each of the hotels. As a growing company, BPR is often either in the middle of acquiring a hotel or building one from the ground up. In pre-construction stages, Sanjeev is focused on ensuring all of the goods are delivered properly. This can be a big task, particularly when there are problems.
“In one instance we were re-branding and renovating a multi-story hotel and there were many shipping issues. The goods were late and by the time they arrived they were damaged. It took us 90 to 120 days to resolve it. It cost us a lot of valuable time and resources,” said Sanjeev.
Solution: One-Stop Purchasing and Replenishment Solution
“Avendra as a partner helps us to mitigate those issues now. I’m not dealing with the manufacturer, the shipper, the middle agency. Now it’s just one call or email to my contact at Avendra,” said Sanjeev. “With Avendra’s highly valued opinion with suppliers and vendors, any issues that come up are always quickly resolved.”
Additionally, according to Sanjeev, Avendra also helps them manage inventory issues, especially if they need to quickly replace a single item that has been damaged. “We can’t possibly have that much inventory. Avendra is a very valuable resource for getting us the right replacement items quickly and easily,” according to Sanjeev.
Benefits: Cost Savings and Peace of Mind
According to Sanjeev, it is very important to BPR to ensure their suppliers are consistent and provide the goods that are within the brand’s requirements. “Avendra has already done all of the homework. They always recommend products and alternates in case something is not in supply. We rely on them to ensure all of our properties are in compliance and we can get everything we need at a drop of the hat,” he continued.
Since partnering with Avendra and consolidating the number of vendors they work with, BPR has noticed their cost for complimentary breakfast items, the same food they were ordering before, was reduced by 18 percent. Cleaning and engineering supply costs have decreased by 8 to 10 percent.
“By consolidating our procurers and cutting out many of the shipping fees we used to pay, we are incurring significant savings right off the bat,” he noted. “With Avendra’s purchasing power, we are able to get a much better price for the same exact goods.”