optimised receivables management

8/6/2019 Optimised Receivables Management

http://slidepdf.com/reader/full/optimised-receivables-management 1/3

1

PackagesOptimised Receivables Management

Improving the performance and efficiency of Receivables Managementincluding Credit Risk, Collections and Debt Management in theTelecommunications, Media and Entertainment sectors

A well-designed, thoughtful and innovativeReceivables Management process with balancedoperating parameters, effective automation and anempowered team will reduce credit risk, improveon-time payments, enhance customer experienceand recover more from the bad-debt provisionthan the competition. The key is to balance creditcontrol with customer acquisition, and collectionswith customer service. With the right approach,

aged debt and bad debt can be significantlyreduced along with substantial savings inoperating costs.

There are many challenges to the performance ofthe Receivables Management functions (seeBusiness Issues – Credit Risk and Bad Debt ).The approach taken to improve performance isoften systems-led, i.e. where Service Providersacquire and integrate new tools to aid customerand service decisioning, credit-risk-exposure,collections, debt management and recoverypractices. However, a systems-led approach alonecan lead to a fragmented and ineffective process,and such an approach is critically affected by theintegrity of the data. To avoid these pitfalls,business owners need to consider operational re-engineering or transformation simultaneously,along with a plan to equip their resources toleverage the new processes and systems to themax. A good starting point is to review real needsand then design the approach to optimise currentinvestments as well as considering potential newtechnologies.

There are many projects that fail to capitalise onexisting technology investments or operationalcapability in favour of new systems in the beliefthat will be the panacea for all related problems. Inreality, many system vendors simply cannotstretch their limited domain expertise to ensurethat a complete approach is taken with all projects,so unless the client takes a lead in definingappropriate operations that are quite different totheir previous incarnation, the result is often

disappointment (little or no operationalperformance improvement) and contractualdispute. In many cases, carefully planned andexecuted changes to existing technology,organisation and operations will produce goodresults. Where new technologies are needed,undertaking the review of real needs first willusually reduce cost, time to delivery and projectrisk.

Re-engineering or Transformation?

Re-engineering: redesign the process,procedures and organisation and reconfigure orimprove existing systems to optimiseperformance. Some new systems or modulesmight be introduced, but the focus is essentially ongetting the most from existing investments -ensuring more effective and efficient operations tomanage credit and debt risk balanced withcustomer experience and acquisition. Sometimes,minor changes to policy and operations can havesignificant impact.

Transformation: many organisations undergoradical change that may be rooted in technology,market conditions or corporate redirection. In suchcases, and to align with long-term corporate goals,a collective transformation of the technology,organisation and operations may be required.

Transformation is a significant change and willgenerally be more costly than re-engineering, butcan produce great results by starting with a blankcanvas; performance returns and customerexperience can be dramatic if done well.

In some cases, the decision to opt for oneapproach over another is taken withoutconsidering all of the implications. Bothapproaches can be complex and drawn-out andcare is needed to plan and execute these

programmes to minimise disruption to businessand customers, and to harvest any low-hangingfruits along the way.

Business Assurance | Revenue Assurance | Fraud Management | Receivables Management

http://www.assuringbusiness.com/PDF/Credit-Risk-and-Bad-Debt-in-Telecommunications.pdf





http://www.assuringbusiness.com/contact-us/

http://www.assuringbusiness.com/see-the-difference/



Packages

2

Optimised Receivables Management



AssuringBusiness Service-Package

Designed to ensure the best possible approach isadopted to arrive at optimum performance atminimum cost:

Executive Advisory - Ongoing CXO and SeniorManagement support to evaluate options,benchmark to best-practices, align business units,

select and implement an approach based on deep-domain and technical expertise along with amplebusiness common sense.

Pioneer-Review TM - A sound understanding of theexisting end-to-end operations will be required toestablish the baseline for change, identifying risksand opportunities and defining the canvas for theredrawn operations to be laid upon. In particular,we will identify options to leverage existinginvestments and make recommendations to fill

gaps identified.

High-level Design - A vision for the ReceivablesManagement operations, technology andorganisation will be drafted that maps to thebusiness goals defined. This vision will beextrapolated into a high-level design brief so thatappropriate business and technical design andconfiguration discussions can progress withsubstance.

Technical Data Gathering and Analysis - Workwith existing or planned technology partners and ITteams to support identification, extraction andrecording of all appropriate data sources andinformation types that would be necessary for thesmooth improvement or implementation of anyrelevant systems, along with integration to allnecessary existing or planned infrastructure.

BAssured TM Data Integrity Review – Utilising ourBAssured TM methodology and tools to evaluatedata integrity issues and design and applycorrective action plans where needed.Implementing new or changed systems with low-integrity data will simply replicate old issues andfrustrate the benefits of the changes planned.

Business Data Gathering and Analysis - Identify

all relevant and useful business information that iscurrently available or could be made available withrelatively little effort. The focus would be to get agood understanding of current performance issuesand metrics, and leverage this information in theredesign of operations.

Quick-wins - As the work-packages progress, wewill encounter opportunities for some short-term/ temporary fixes to certain issues, or even changesthat can be carried through to the re-engineeredoperations.

Detailed Specification - A detailed specificationset will be drafted covering all aspects ofoperations, organisation and technology withinscope.





Packages

3

Optimised Receivables Management



Technology Change and Implementation – Working closely with existing or plannedtechnology partners and IT teams to change orreplace systems to ensure a sensible, structuredapproach inclusive of the specific process andpeople needs to operate them effectively andachieve the high-performance operational goal.

Business Change and Re-engineering

Implementation - Along with any new or changedsystems or tools, the redesigned businessoperations (process, policy, procedures,organisation, human capital etc.) will beimplemented.

Performance Optimisation - To sustain a high-performance operation, performance monitoring isessential. AssuringBusiness will undertake aninitial analysis of the customer and risk groups,treatments and success measures to determine

the baseline for improvement. We will establishongoing performance metrics, reporting andchange mechanisms to ensure continuousimprovement.

Project Management, Quality and Reporting -Given the often complex nature of such projects,strong project and quality management will formthe backbone of this programme of work.

The decision to tweak, re-engineer or transform

business operations can prove costly if it is not well-considered and plans translated to effectiveexecution that ensures an appropriate balance ofrisk and customer experience. AssuringBusinessworks with clients to deal with these issues head-on and bring enhanced value from the changesneeded. Contact Us to discuss adapting thispackage to meet your precise needs, or to enquireabout other areas of interest.

We are not creatures of circumstance,we are creators of circumstance

Benjamin Disraeli (1804-1881)former Prime Minister of England






optimised receivables management

Documents