Our Blog

Outsourcing, automation, benefits to you, your cash flow and your mind!

Stuart Rose, Commercial Director of ISS posted the below from a Deloitte Global Outsourcing Survey (2016). #SMH – Dianne Carillo – Pure B2B

It has some significant data as why you should outsource:

1. Cost cutting
2. Enables focus on core business
3. Solves capacity issues
4. Enhances service quality
5. Critical to business needs
6. Access to intellectual Capital
7. Manages the business environment
8. Drives broader transformational change

Many will think this is aimed only at mid to large Corporates – but that is only part of it.

An example of using the automated accounts receivable (end to end) software that I am working with:

If you have 100 or 1,000 invoices per month, simply it will take you time to follow these up. On average, 1 invoice if unpaid for the month will take 5 minutes per action. So 2 reminders, 2 demands and then prepare to send to debt collection will take 25-30 minutes (4 x 5 minutes and 10 minutes to prepare info to send to a debt collection agency). So times 25-30 minutes by 100 and/or 1,000. Low end is 40 hours or 400 hours.

Our software will take 5 minutes in total per week = 20-30 minutes. That sends off all the reminders, demands and all information to the debt collection agency.

In the mean time it has done a data wash, you are able to work on core business issues, you do not have to employ more people, the work flow process and efficiencies coupled with better compliance, reporting, increased cash flow, decreased days outstanding all can only have your business in better shape.

Further, you have a payment gateway so that your client gets a better experience – plus the ability to query the invoice and giving you a heads up to issues that may be causing slower payment or errors in your own system.

Many do not know what the right collection processes and work flows are or have the ability to get policies to be compliant – this does it for you. You can then look at what else is needed and understand the benefits and ease of outsourcing processes which can then give you greater comfort to look at further ideas.

So the above 8 items have all been ticked – the greatest benefit though is that you get a lot of time back, you save money chasing what should be yours, you have better vision over it and your cash flow will increase.

According to Deloitte’s Global Outsourcing Survey in 2016, the most common reason (59%) companies outsourced was because they saw it as a cost-cutting tool. But a close second (57%) is that outsourcing enables a greater focus on Core Business. Lowering cost may well be an impportant outcome achieved through outsourcing, but a far better conversation to have with outsourced service providers is to see how they can support you to focus on your core business!

http://iss.smh.re/B7J?lipi=urn%3Ali%3Apage%3Ad_flagship3_feed%3BhFsLsTlCQrWLQsAlM5vnBA%3D%3D

#SMH #diannecarillo #deloitte #stuartrose #outsource #cashflow #collectionconsultancyaustralia #smartstuff #whywait #morereasonsthanone #SMH #hopeihavecreditedtherightpeople #pureb2b #IODM

Tags:

Show Comments (0)

This is a unique website which will require a more modern browser to work! Please upgrade today!