This particular franchisee business serves over 18 million consumers in one of the most populous states in the US. Employing well over 4,000 people, it sells, manufactures, and distributes over 600 products owned by the main brand and its partner companies – all of which means that the organization’s finance function is big, busy, and complex.
The challenge – addressing volume and throughput
In 2019, the company sought to address the high number of invoice queries it was receiving. Queries were being handled via an email process that did not have an in-built facility to track their volume. The process involved several different solutions and email addresses.
These queries were creating a lot of work for internal teams and also for external service providers, and in addition, were occasionally causing delays to vendor payments.
The solution – holistic thinking
A long-term improvement is always better than a quick fix, which is why Capgemini brought together an international team to design and develop an end-to-end solution that would deliver continuing value.
An entire new set of enterprise-wide processes was created, overseen by a central command center that could provide real-time visibility of operations.
A workflow tool was introduced, to track inbound and outbound queries and to identify frequently occurring issues that were used to updated standard operating procedures.
Several generic mailboxes were replaced with one Pipefy pipeline for end-to-end purchase-to-pay (P2P) queries, while several other such mailboxes were replaced with a further single Pipefy pipeline for end-to-end order-to-cash (O2C) queries. These pipelines track patterns in queries, and use preset rules to assign them automatically to appropriate process handlers.
Additional automated implementations included Webcollect, for cash flow improvement; Inspect, for elimination of overpayments; Phyton and power BI, for digital and real-time visibility; and Command Center 3.0, providing the centralized operational visibility referred to above.
The transformation that took place over the course of the project was delivered seamlessly and on time. Our client organization wasn’t the only party to benefit. Capgemini did too, because the reorganized, streamlined, and automated processes made things easier for us to manage and support. Even more importantly, our client’s own customers and suppliers now enjoy a billing experience in which almost all the hassle has been removed.
The metrics are impressive:
- In just two months, the value of duplicate invoices that were identified and prevented totaled $2.8 million
- Remittance Missing Clearing Transactions (RMT) value reduced from $1 million to $300,000
- Not due receivables improved from $74 million to $85 million
- Ability to track all emails
- Customer satisfaction has improved significantly
- Business intelligence delivers visibility of 100% of sales and cash forecast for the next 52 weeks, updated weekly.
Luis Miguel Flores works with Capgemini’s clients to help identify their needs, oversee service delivery for processes delivered from Guatemala, and maintain positive relationship. He supports and leads the service delivery team, managing conflict, and ensuring the team’s processes and tasks are carried out efficiently.
Balu Vijayakumar ensures that the client’s expectations are managed efficiently and effectively, taking into consideration the need for business requirement changes, evaluating customer satisfaction, and managing Capgemini’s best-in-class service delivery.