The Challenge 

A national brand operating in all 50 states was evaluating a direct national contract with a large waste hauler. 

The hauler’s proposal positioned the agreement as: 

• Simple and centralized 
• Single-provider convenience 
• Estimated 10% cost savings versus current spend 

On the surface, the offer appeared compelling — particularly from a procurement standpoint. 

Before executing the agreement, the client asked Performance Waste Solutions (PWS) to validate the proposal. 

What the Client Discovered 

Once the contract structure and fee schedules were fully reviewed, several critical issues emerged. 

Hidden Cost Exposure 

• The “headline” pricing excluded multiple non-standard fees
• Environmental, fuel, and administrative surcharges were layered on top ● Certain services were billed outside the base agreement 
• Automatic escalation clauses increased rates over time 

When modeled accurately, the proposed agreement would have resulted in approximately 15% higher total costs, not savings. 

Loss of Local Control 

For locations outside the hauler’s direct service footprint: 

• Service would be subcontracted to third-party providers 
• Pricing and service reliability would vary by market 
• The client would have no visibility or leverage over those local providers 

The national agreement simplified contracting — but at the expense of cost control, transparency, and service accountability. 

The PWS Approach 

PWS implemented a national framework with location-level optimization, allowing each site to be serviced by the most cost-effective and reliable provider in its specific market. 

Rather than forcing a one-size-fits-all solution, PWS focused on: 

• Market-by-market hauler selection 
• Transparent pricing with no hidden or bundled fees 
• Consistent national oversight with local execution 
• Flexibility to adapt as location needs changed 

This ensured every location received:

• The best pricing available in its market 
• Reliable service from accountable providers 
• Ongoing oversight to prevent future cost leakage 

The Results 

Immediate Financial Impact 

• Over 10% verified savings realized immediately upon implementation ● Lower total costs compared to the proposed national hauler contract ● Elimination of unexpected and non-transparent fees 

Savings were not phased in — they were realized from day one. 

Human Capital Savings 

Beyond direct cost reduction, the operational impact was significant. Prior to PWS: 

• Location teams regularly spent time addressing billing issues, service failures, and escalations 
• Corporate staff was involved in vendor coordination and issue resolution 

After PWS: 

• Locations no longer contacted haulers directly 
• Issues were handled centrally by dedicated PWS teams 
• Billing, service changes, and disputes were managed proactively

Estimated impact: 

• Multiple hours saved per location each month 
• Across a national footprint, this translated into thousands of reclaimed hours annually ● Representing hundreds of thousands of dollars in recovered human capital value 

Time previously spent managing waste was redirected back to core business operations. 

Ongoing Value Delivered 

PWS continues to manage and protect the program through: 

• Monthly invoice auditing to catch and dispute unexpected charges 
• Continuous monitoring of all overages and non-standard fees 
• Monthly right-sizing of each location to ensure service levels match actual usage ● Active contract management to prevent auto-renewals and rate escalations ● Dedicated support teams assigned to the client’s portfolio 

Savings are not only achieved — they are protected and sustained. 

Why This Matters 

What initially appeared to be a “simpler” national solution would have: 

• Increased total spend 
• Reduced control at the location level 
• Introduced long-term contractual risk 

By choosing a flexible, data-driven approach, the client gained:

• Immediate, verifiable savings 
• Full transparency into pricing and service 
• Local accountability within a national program 
• Long-term cost control without operational burden 

Key Takeaway 

The lowest advertised rate is rarely the lowest total cost. True savings come from transparency, flexibility, and continuous oversight.