Background
This Am Law 200 firm with 312 attorneys in 18 offices engaged Mattern in 2014 to analyze and make recommendations to improve the firm’s offsite records and ultimately lead a Request for Proposal (RFP) process and contract negotiation. As a result, Mattern was able to identify a strategy to consolidate the firm’s six (6) service providers to one (1). After several rounds of pricing, vendor interviews, and negotiation of terms, the firm chose Recall to provide service to all their locations and gained these benefits:
- A 24% reduction in costs
- Consolidation of service providers
- $201,554 in permanent withdraw charges covered by Recall
- No permanent withdrawal fees for the ten (10) year contract
- Reimbursement from Recall to offset Mattern’s fees including Phase III – Contract Compliance
Pleased with their significantly improved offsite records contract, leadership engaged Mattern to continue to monitor the implementation of the contract and ensure the firm is realizing the full value of the new contract—a service Mattern calls Phase III – Contract Compliance.
Contract Compliance Wins
About midway through the first year of the engagement, Iron Mountain merged with Recall and became the firm’s service provider and Mattern’s Contract Compliance services were pivotal. Mattern oversaw the implementation and transfer, prepared all appropriate implementation documentation/communications (i.e., notification to vendors and to firm’s internal staff), and coordinated all necessary implementation requirements with all offices.
Over a ten-week period, Mattern successfully ensured a smooth transition with no interruption in service or invoicing, relieving the firm of all unnecessary burdens.
Following the successful and seamless transfer to Iron Mountain, Mattern’s Contract Compliance services continued to encompass:
- Monitor pricing and reconcile monthly invoices during contracted period—as well as for the incumbent vendor until transfers are completed.
- Provide an annual Contract Compliance Report to determine that all terms, conditions, and performance standards of the contract are being adhered to on a consistent basis.
- Provide year-over-year data that includes the status of firm’s spend, storage levels, use of destruction incentives, and service provider compliance.
- Serve as point-of-contact for all contract-related questions for the firm and review any necessary addenda to the agreement for the firm’s approval.
- Assist the firm with any vendor performance issue which might arise during the term of the new agreement and serve as mediator to successfully resolve such situations.
Results
As a result of Mattern’s monitoring of the offsite records contract with Iron Mountain, $14,149 in overcharges/invoicing errors have been discovered and the firm has realized over $750 in credits for missed service levels.
From contract inception to now, the firm’s offsite storage volume has decreased by 18% resulting in savings in excess of $90,000 in storage costs. The destruction incentive that was negotiated into the contract has resulted in over $88,000 in savings to date. In addition, the firm continues to receive reimbursement of Mattern’s fees to cover the cost of the Phase III – Contract Compliance.