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ESR reduce procurement budget by more than $25,000

September 9, 2024

laboratory equipment highlighting internal resource sharing across teams

CompanyESR (The Institute of Environmental Science and Research)
Company size500+
IndustryResearch & Science Services
Websiteesr.cri.nz
FocusSustainability reporting and procurement savings

The history

At the forefront of scientific research in New Zealand, ESR (the Institute of Environmental Science and Research) has long been committed to sustainable practices that support their vital work in public health, environmental protection, and forensic science. 

One of the key challenges faced by ESR is the need to efficiently manage and utilise resources across their multiple sites. From lab equipment to office supplies, ensuring that each site has the necessary equipment without over-purchasing or generating unnecessary waste can be complex. This is where the Mutu inventory management tool comes in.

The opportunity

ESR first engaged Mutu in mid-2023. They had recently established a company wide climate plan and core part of that focused on waste reduction and reporting. Having looked around for solutions, ESR were drawn to the twin benefits of Mutu – a cost saving tool and an internal circular marketplace that reduced waste. 

By using Mutu, ESR can create a centralised, digital inventory of items available across all their sites. This allows different teams to quickly locate and request items that are already available within the organisation, rather than purchasing new ones. The result? Fewer items end up in landfills, and procurement costs are significantly reduced.

For instance, if one ESR site has surplus lab equipment that another site requires, it can be easily shared through Mutu’s internal resource sharing. In the past, this opportunity may have been missed, but by regularly notifying team members of the things that are available on the Mutu inventory management these surplus items are much more likely to find a new home.

ESR facility representing large scale resource sharing across sites

Moreover, by keeping items within ESR’s internal ecosystem, the organisation can extend the life cycle of its assets, ensuring they are used to their full potential before disposal is even considered. This approach aligns perfectly with ESR’s commitment to sustainability and operational efficiency.

ESR Procurement Manager Mark Whittaker gave some context “As a government agency we are always on the lookout for tools that can help us be more efficient and reduce costs. The fact that the Mutu inventory management lowers our procurement budget and gives us the data we need to inform our progress towards the company-wide climate plan makes it a really impactful tool.”

Mark elaborates further “Engagement with any new tool is hard. People are often hesitant to do anything that adds more work or requires more time. The way Mutu rolled out their app across with prizes and promotion in our newsletter, coupled with the fact staff can see the positive impact they are having straight away really helped with implementation. Mutu is also listed on our Intranet and we often share stories of ReUse Champions who have used Mutu to repurpose something”.

Incorporating Mutu into their resource management strategy offers ESR a practical solution to streamline operations, reduce costs, and minimise waste, all while reinforcing their role as leaders in sustainable science.

staff using shared equipment across teams to reduce procurement spend

The results

To date the ESR have been using Mutu to inventorize and share surplus items across 4 main sites throughout Aotearoa. As a result ESR have reduced their procurement budget by $25,000 through resource sharing so items that someone no longer needed visible to the wider team. One of the most powerful triggers that ESR have pulled to get the impressive results they have achieved is the number of staff they have empowered to use Mutu. Across their 4 national sites, ESR have added more than 160 staff members onto the Mutu inventory management system. As a result, there are always staff listing and sharing things, keeping Mutu top of mind and ensuring new items are always available for reuse.

Mark adds “One of the key aspects of Mutu is that it is more than cost neutral, it actually saves us money. We have comfortably saved more than the cost of the platform and in the current economic climate, any tool that can do that starts to become essential. The ability to share resources between sites has reduced the need for new equipment purchases and lowered overall procurement and disposal expenses. Additionally, Mutu has contributed directly towards our company-wide climate goals and as a result has embed sustainability in ESR’s DNA”

Summary

  • $25,000+ reduction in procurement spend
  • Improved resource sharing across sites
  • Reduced unnecessary purchasing
  • Better visibility of available assets
  • Lower waste across operations

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