paper weights–how eliminating paper waste can save your business
Post on 12-Apr-2017
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Studies show that a $5 ream of paper–after storage, copying, printing, postage, disposal, and recycling–uses roughly $155 in indirect costs.
10,000
With the average o�ce worker using roughly 10,000 sheets of copy paper a year, these costs add up quickly.
According to Statista, construction spending accounted for $687 billion in 2014, with roughly $34.35 billion going to rework. With over $1 trillion of construction
spending in 2015, and that number growing every year, rework could cost firms over $50 billion in 2016.
THE COST OF REWORK
WHAT CAUSES REWORK?
The direct cost of rework typically averages about 5% of a construction project budget.
Drawings, specs, submittals, RFIs–whatever the information, paper gets outdated fast. With plans changing constantly throughout a project, team members may be working
off of outdated information. And that means rework.
$687 billion
$1 trillion
2014 2016
REWORK
$50.0BILLION
REWORK
$34.35BILLION
Causes of construction rework:
are change-related are error related other
37% 13%
The main causes of rework and their average monetary weight per job
Engineering & Review 60%Human Resource Capability 21%Material & Equipment Supply 15%Planning & Scheduling 4%
WHAT ARE THE POTENTIAL CONSEQUENCES?
Between 2010 and 2011, the percentage of engineering and construction companies with lawsuits in excess of $20 million increased from 17% to 37%.
Eliminating paper waste and streamlining operations can reduce rework and boost quality standards. Astronomical litigation costs and a greater exposure to lawsuits,
means keeping your project in check is more important than ever.
17%
37%2010
2011
of construction/engineering firms were the most likely industry to add an outside counsel roster.42%
of companies reported spending more than $1 million on litigation; up from 53% in the previous two years.71%
$5 = $155
50%
Paper WeightsHow Eliminating Paper Waste
Can Save Your Business
Incorporating lean practices can:
boost efficiency eliminate waste reduce the cost of rework
increasing your profit margin and ultimately giving you a bigger paycheck
When it comes to your bottom line, there is little to no wiggle room. From printing costs to rework to litigation–the real cost of paper can be astronomical. Find out why paper should
be a thing of the past and how you can eliminate the paper weight from your business.
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