7 Oct  ·  7 minutes min

Smart Spending Optimization by Using Digital Tools

The Business & The Challenge

A global animal protein company with USD 6 billion in annual revenue was struggling to efficiently manage costs across its large-scale operation. Key challenges included:

  • Lack of digital tools to reduce costs and identify benchmarks
  • No structured process for external comparisons or best-practice sourcing
  • Low visibility into team productivity in day-to-day activities

The main question:
How can we reduce spending through agile and digital streamlining of actions across the organization?

Approach Details

Falconi deployed a structured, tech-enabled methodology that integrated spending behavior analysis, energy flow mapping, and team activity efficiency:

1. Digital Mapping of Deliveries

  • Tracked energy and time spent by teams per activity
  • Analyzed each account’s spending and linked it to software/platform usage

2. Opportunity Identification via Digital Tools

  • Used digital diagnostics to find:
       
    • Idleness
    •  
    • Low productivity
    •  
    • Waste in contracts

3. Optimization Structuring & Execution

  • Negotiated cost-saving goals
  • Defined and implemented improvement actions

4. Governance and Incentives

  • Created a dual-ownership governance model
  • Introduced incentive mechanisms to boost manager accountability

Other Smart Digital Reductions

  • ZBB Digital Platform: Prioritized spending and delivery mapping per area
  • RPA and BPMS:     Automated time/movement tracking in digitized workflows
  • Expense Optimization Algorithms: Balanced transport and     benefits costs
  • Telecom Contract Optimization: Streamlined IT and cloud architecture
  • Energy & Utilities Management: AI and IoT used for lighting     and consumption efficiency

Results Achieved

Metric                                                               Outcome

Total Savings in 16  Months                   USD 201M

Worked Database  Optimization          -6.5%

Savings by Category                    

People                               -4%

Utilities                              -1%

Storage                             -11%

Third-Party Workers        -3%

Maintenance                    -10%

Marketing                         -8%

Facilities                           -9%

Materials & Equipment    -7%

Technology                      -10%

Vehicles                           -9%

Travels                             -8%

Insurance                         -5%

✅ Targeted actions across all departments
✅ Automated and digitized expense reduction processes
✅ Tangible and sustained enterprise-level impact

Conclusion

Falconi enabled this multinational animal protein company to achieve $201M in cost reductions through cutting-edge digital tools and operational intelligence. The initiative not only drove measurable savings but also embedded a new culture of productivity, digital governance, and smart resource allocation.