How embedding revenue assurance in your processes and systems will improve your bottom line
Companies are finding it exceedingly difficult to keep pace with today’s rate of change. Increasingly competitive and global markets, industry consolidation, investment in new product sets, growth through acquisition, and development of multiple-entity ecosystems has made the previously fairly straightforward billing and collection exercise highly complex. Today’s billing and collection world involves different revenue sharing arrangements and bundled and tiered product offerings. Few companies have the sophisticated and well integrated billing systems to support these new arrangements - this at a time when customer loyalty and retention is paramount.
The telecom industry has grappled with revenue assurance for a number of years. Most telcos have made solid strides in improving financial performance from short-term revenue assurance efforts, but few have made the longer-term operational performance improvement changes to sustain these benefits. Embedding revenue assurance within your processes and systems will help your company to remain agile and competitive, and to build customer loyalty.
If this is your situation
- You need to achieve accurate and timely customer billing
- You want to establish preventive rather than detective mechanisms to assure revenue
- You wish to ensure proper pass-through, licensing and royalty payments to vendors, partners, and distributors
- You want billing to become a driver of customer loyalty
- You need to maximize available cash and effectively redeploy capital back into the business.
- You anticipate merger or acquisition activity and already know that quick and effective integration of the billing systems is critical to the success of the venture.
How PwC can help you
We uncover the root causes of revenue leakage across the revenue cycle and embed preventive revenue assurance mechanisms in your processes and systems to provide long-term sustainability.
Potential revenue cycle issues
- Finance – excessive outstanding debt and disputes whether customer, vendor, partner or distributor
- Sales and Marketing – unprofitable products and sale of incorrect plans and/or promotions
- Ordering – Inaccurate provisioning and mismanaged credit assessments
- Customer Care – unauthorized or unverified credits
- Rating and Invoicing – unauthorized special customer billing and/or inaccurate rating and discounting
We identify, quantify and recapture leaking profits while zeroing in on the critical process and system issues that need to be addressed for long-term revenue assurance. We will spot and remedy account management and billing issues associated with third-party content and application providers. We can help you evaluate the benefits of sharing or outsourcing services and put the necessary outsourcing structures in place. And we can also provide the tools and experience needed to manage change and transform the finance function.
Services we provide include the following:
- Enabling your organization to develop competitive billing practices when facing new competition.
- Helping you to reduce bad debt write-offs.
- Identifying key revenue leakage indicators and linking with underlying processes.
- Rationalizing and automating "key" controls to build and maintain cost-effective controls throughout the revenue cycle.
- Restructuring and verifying billing accuracy.
- Leveraging tax strategies to effectively redeploying capital back into the business.