Ivy Tech Community College signs agreement with IKON to save $2 million Cost-Savings efforts surpass $12 million in one-time and recurring savings

INDIANAPOLIS – Ivy Tech Community College has entered into an agreement with IKON Office Solutions, a Ricoh Owned Company, that will consolidate the college’s copier and copier services saving the college more than $2 million over a five year period.

This adds to a list of projects and evaluations Ivy Tech has launched under President Thomas J. Snyder consistent with strategic plan 2010 as the Community College looks to increase efficiency and effectiveness of operations college-wide.

“With our ever increasing enrollment and the current financial strains that are facing the state we are making every effort possible to find cost-savings and efficiencies within our statewide community college system,” said Ivy Tech President Thomas J. Snyder. “This is another terrific example of how we can be creative in maximizing our resources, keeping our costs down and thus our tuition affordable for our students.”

Since 2008 Ivy Tech has reengineered the community college resulting in nearly $5 million of one-time savings and another $7 million in reoccurring savings.

Ivy Tech recently completed a detailed analysis of its copier and copier service spend and identified significant efficiencies and savings that could be achieved by sourcing all of the College’s more than 300 copiers in its 14 regions throughout the state with an exclusive five-year contract award to IKON Office Solutions, Inc.

The results of the Ivy Tech study identified more than $2 million in savings over the contract term on a cost per copy basis. Consolidation and standardization in this spend area will also reduce the number of copier models at the College by 90 percent, the number of brands from ten to two, the number of suppliers from 14 to one, and significantly reduce the number of invoices and related paperwork to manage, which will reduce administrative costs.

This cost efficiency plan with IKON supplements the bookstore and personal computer consolidations that took place last year and generated millions of dollars in savings for Ivy Tech.

In March 2008, the Community College announced an eight-year agreement with Follett for the management of 27 bookstores throughout the statewide community college system. The agreement included a $6 million signing bonus for the College and will result in $1.65 million in renovations to various campus bookstores along with improvements in services and an estimated savings for students that could reach as much as $1.5 million annually through the sale and buyback of used textbooks.

In April, the college also entered into a three-year partnership with Dell, Inc. to help reduce the cost and complexity of information technology (IT). The agreement will allow for discounted pricing for statewide purchasing of laptop and desktop computers. By selecting Dell to help simplify IT and make it more accessible and affordable for its students and employees, Ivy Tech expects to save about $1.3 million annually.

The new copiers will start replacing the older ones, effective March 9 , and will be networked to offer advanced features such as scanning, duplexing, and document feeding.

“Overall, this initiative will provide hard cost savings of more than 30 percent while providing substantial technology upgrades and process improvements for the College,” said James Hudson, Chief Procurement Officer, who structured the plan with the assistance of multi-regional Ivy Tech administrative staff.

About Ivy Tech Community College
Ivy Tech is the state’s largest public post-secondary institution and the nation’s largest singly-accredited statewide community college system with more than 120,000 students enrolled annually. Ivy Tech has campuses throughout Indiana. It serves as the state’s engine of workforce development, offering affordable degree programs and training that are aligned with the needs of its community along with courses and programs that transfer to other colleges and universities in Indiana. It is accredited by the Higher Learning Commission and a member of the North Central Association.

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