A LEADING GLOBAL ELECTRONICS BRAND with 15 divisions needed to sure up cash flow to fund future growth plans.
The CFO wanted to focus on unbilled receivables, billing performance and past due collections to reduce cycle time and improve working capital but data wasn’t flowing, summarized, shared or used in a systematic way because of inconsistent processes and systems were used across most divisions. Proudfoot was brought in to turn the existing challenges into opportunities:
- Dramatically decrease delays in invoice release and cash collection driven by issues outside billing
- Enhance contract language, improve cash flow understanding and clarify internal hand-offs
- Establish an “Early Warning System” to see constraints across the entire A/R footprint and proactively manage variances to plan
- Establish a new management approach to drive short interval control, proactive focus, early identification and resolution of problems
- Clarify internal SLAs (Service Level Agreements), roles and responsibilities
- Improve understanding, focus, and management of cash flow across the business