Randstad was looking for a solution that could automate the manual processes that were used in the order-to-cash cycle. “It is our credit policy to print statements for customers each month, as not every customer can be contacted in the month by phone call,” explains Erin O’Brien, Group Manager, Payables and Receivables.
Consequently, employees were required to print off statements for around 3,000 customers each month, taking up time that could have been used more effectively on value-added activities.
Meanwhile, legacy databases were in place for credit and collections information and these were not interoperable. As a result, users were required to toggle between different programmes and screens in order to access customer details.
A consolidated database was required to provide a centralised view of all customer data, thereby improving the efficiency of the processes. Another goal was a reduction in days sales outstanding (DSO) in order to improve the company’s overall working capital position.
The chosen solution was SunGard’s AvantGard Receivables, a credit and collections software solution designed to increase companies’ visibility over their accounts receivable. AvantGard Receivables was selected as it matched the business requirements and had previously been successfully implemented by Randstad’s sister company in France.
The solution was implemented in April 2008 and since then the automation offered by the solution has enabled Randstad to streamline the processing of receivables and aggregate all customer data in one place.
“In particular, the solution has enabled us to contact clients more frequently, produce detailed reports, and look over a number of different databases at a glance.”
“AvantGard Receivables also now enables each credit officer to contact customers more frequently in the month via email, meaning that it is no longer necessary to print off statements,” says O’Brien. “This is a more automated way to contact clients.”
The benefits brought by the solution include the elimination of the existing manual processes and the establishment of a consolidated database of customer data. AvantGard Receivables offers mass correspondence capabilities, which enable accounts receivable staff to contact significantly more customers each month than previously.
Particularly useful are the automatic work queues offered by the collections module, which can be used to prioritise work for each of Randstad’s credit officers, based on strategies developed in conjunction with SunGard. As a result, Randstad’s front office managers are able to allocate work more efficiently.
Following the implementation, processes have become more efficient, leading to a reduction in DSO. “In particular, the solution has enabled us to contact clients more frequently, produce detailed reports, and look over a number of different databases at a glance,” concludes O’Brien.
