Case Studies Understand, Simplify, Automate: Saving $2 Million with Continuous Improvement

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	Understand, Simplify, Automate: Saving $2 Million with Continuous Improvement

Understand, Simplify, Automate: Saving $2 Million with Continuous Improvement

Technology Category	Analytics & Modeling - Predictive Analytics Functional Applications - Enterprise Resource Planning Systems (ERP) Platform as a Service (PaaS) - Data Management Platforms
Applicable Industries	Food & Beverage
Applicable Functions	Business Operation Quality Assurance
Use Cases	Predictive Maintenance Process Control & Optimization Remote Asset Management
Services	Cloud Planning, Design & Implementation Services System Integration
Challenge	The financial services team at DPSG relied on 3rd party vendors, outsourcing their Collections, Cash Application, and other A/R functions to control costs. This led to limitations such as restricted access and control. Moreover, outsourced contracts prevented shifting to other platforms or discontinuation of services prior to the contract period. A lack of metrics and statistics also made it difficult to track outsourced resource productivity causing inconsistencies across processes and creating complications for the A/R team. Only after insourcing receivables processes and leveraging technology was the team able to streamline A/R operations and achieve end-to-end process visibility. Continuous training and retraining were required for analysts to stay up-to-date with the high level of non-standardization in the process. There was a lot of hesitation from the team in adopting new processes. The majority of A/R correspondence was either mailed, or printed/scanned/emailed manually. There was no centralized system for analysts to record notes on receivables transactions, and no worklists were incorporated to help analysts prioritize work across collections and deductions. Read More
About Customer	Dr Pepper Snapple Group Inc. is an American soft drink company, based in Plano, Texas, and the #1 flavored carbonated soft drink manufacturer in the US. Formerly called Cadbury Schweppes Americas Beverages, on May 5, 2008, it was spun off from Britain's Cadbury Schweppes, with trading in its shares starting on May 7, 2008. DPSG operates 22 manufacturing and bottling facilities and more than 100 warehouses and distribution centers across North America. With over 19,000 employees, Rapid Continuous Improvement became part of DPSG culture, but made it difficult to impact outsourced processes. Stagnation was rampant in the A/R processes and variation was the enemy. Read More
Solution	By leveraging technology to automate their processes, DPSG found the following functionality in using the HighRadius cloud solution: Implementation of Collection Strategies: By deploying standard collection strategies across all collectors, the teams were able to connect with the right accounts in a timely manner. Automated Correspondence: Automation of email and fax correspondences to less critical accounts significantly reduced the number of manual actions required by collectors, while reducing the size of their worklist. Data-based Customer Prioritization: Rich data-based scoring of accounts helped collectors prioritize which accounts were important or at risk and which customers needed to be focused on. Visual Metrics: Easily accessible reports and dashboards enabled team leads and managers to spot trends and take corrective actions faster. Process Discipline: Applying a standardized protocol for different collection teams helped establish process discipline across operations. They were able to save on time and resources lost in manual remittance aggregation, payment remittance linking, and cash reconciliation by incorporating a global solution. Implementing a cloud-based Artificial Intelligence solution helped automate cash application across geographies and business units. With maximum functionality built out of the box, teams were able to avoid time-consuming interactions with internal IT teams. The ability to handle virtually all remittance and payment formats helped avoid any costs for future upgrades and software updates. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Predictive Analytics

Functional Applications - Enterprise Resource Planning Systems (ERP)

Platform as a Service (PaaS) - Data Management Platforms

Applicable Industries

Food & Beverage

Applicable Functions

Business Operation

Quality Assurance

Use Cases

Predictive Maintenance

Process Control & Optimization

Remote Asset Management

Services

Cloud Planning, Design & Implementation Services

System Integration

Challenge

The financial services team at DPSG relied on 3rd party vendors, outsourcing their Collections, Cash Application, and other A/R functions to control costs. This led to limitations such as restricted access and control. Moreover, outsourced contracts prevented shifting to other platforms or discontinuation of services prior to the contract period. A lack of metrics and statistics also made it difficult to track outsourced resource productivity causing inconsistencies across processes and creating complications for the A/R team. Only after insourcing receivables processes and leveraging technology was the team able to streamline A/R operations and achieve end-to-end process visibility. Continuous training and retraining were required for analysts to stay up-to-date with the high level of non-standardization in the process. There was a lot of hesitation from the team in adopting new processes. The majority of A/R correspondence was either mailed, or printed/scanned/emailed manually. There was no centralized system for analysts to record notes on receivables transactions, and no worklists were incorporated to help analysts prioritize work across collections and deductions.

About Customer

Dr Pepper Snapple Group Inc. is an American soft drink company, based in Plano, Texas, and the #1 flavored carbonated soft drink manufacturer in the US. Formerly called Cadbury Schweppes Americas Beverages, on May 5, 2008, it was spun off from Britain's Cadbury Schweppes, with trading in its shares starting on May 7, 2008. DPSG operates 22 manufacturing and bottling facilities and more than 100 warehouses and distribution centers across North America. With over 19,000 employees, Rapid Continuous Improvement became part of DPSG culture, but made it difficult to impact outsourced processes. Stagnation was rampant in the A/R processes and variation was the enemy.

Solution

By leveraging technology to automate their processes, DPSG found the following functionality in using the HighRadius cloud solution: Implementation of Collection Strategies: By deploying standard collection strategies across all collectors, the teams were able to connect with the right accounts in a timely manner. Automated Correspondence: Automation of email and fax correspondences to less critical accounts significantly reduced the number of manual actions required by collectors, while reducing the size of their worklist. Data-based Customer Prioritization: Rich data-based scoring of accounts helped collectors prioritize which accounts were important or at risk and which customers needed to be focused on. Visual Metrics: Easily accessible reports and dashboards enabled team leads and managers to spot trends and take corrective actions faster. Process Discipline: Applying a standardized protocol for different collection teams helped establish process discipline across operations. They were able to save on time and resources lost in manual remittance aggregation, payment remittance linking, and cash reconciliation by incorporating a global solution. Implementing a cloud-based Artificial Intelligence solution helped automate cash application across geographies and business units. With maximum functionality built out of the box, teams were able to avoid time-consuming interactions with internal IT teams. The ability to handle virtually all remittance and payment formats helped avoid any costs for future upgrades and software updates.

Impact #1	Collections Management: Implementation of standard collection strategies across all collectors, automated email and fax correspondences, data-based customer prioritization, visual metrics, and process discipline.
Impact #2	Cash Application: Saved time and resources lost in manual remittance aggregation, payment remittance linking, and cash reconciliation by incorporating a global solution.
Impact #3	Deductions Management: Auto retrieval and attachment of backup documents, allowing analysts to focus on faster research and resolution.

Impact #1

Collections Management: Implementation of standard collection strategies across all collectors, automated email and fax correspondences, data-based customer prioritization, visual metrics, and process discipline.

Impact #2

Cash Application: Saved time and resources lost in manual remittance aggregation, payment remittance linking, and cash reconciliation by incorporating a global solution.

Impact #3

Deductions Management: Auto retrieval and attachment of backup documents, allowing analysts to focus on faster research and resolution.

Benefit #1	$2.5 million reduction in annual finance service costs through automation.
Benefit #2	40% improvement in collector productivity.
Benefit #3	50% reallocation of FTEs to other processes.

Benefit #1

$2.5 million reduction in annual finance service costs through automation.

Benefit #2

40% improvement in collector productivity.

Benefit #3

50% reallocation of FTEs to other processes.

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Overview

Understand, Simplify, Automate: Saving $2 Million with Continuous Improvement

Operational Impact

Quantitative Benefit