Practus assisted the IT services provider in reducing DSO from 100 days to 85 days in 2 months and identifying reasons for the significant AR outstanding’s (both billed and unbilled) split.
|Client Name||Industry||Ownership||Management||No. of Employees||Size||Project Duration|
|An IT Services Provider||IT Services||Public||Board Of Directors||150000+||<$5 billion||12 months|
About The Company
UDT Technology Services is an Indian multinational subsidiary of a conglomerate Group, providing information technology services and business process outsourcing to companies in various vertical and horizontal markets.
- Developed management dashboard to define and monitor key business metrics, within 10 weeks of engagement.
- Action Plan Document which will help reduce DSO on a sustainable basis QoQ.
- Automated product-level profitability monitoring on QuickBooks equivalent.
- Current framework of People, Process ,Technology and current reporting tool/systems.
- Perform Deep Dive and RCA and Commercial Diligence.
- Introduced timesheet mechanism for code-writers and product developers to monitor productivity and help accurate product pricing, particularly for ongoing AMC contracts.
- Ensured completion of the audit by Big4 firm within 6 weeks of the year-end.
- Reduced DSO from 100 days to 85 days in 2 months.
- Linked KPIs to collections and DSO with incentivization policy for driving everyone’s behavior towards an improved focus on collections and DSO.
- Detailed mapping of the As-is and To-be “Order to Cash” cycle.
- Saved $450k in costs through effective vendor negotiations and the efficient management of the transfer pricing tax exposure.
- Identified reasons for the major AR outstanding’s (both billed and unbilled) split by customer, geography, type of contract (FP/T&M).
- Reduced TAT on transaction recording in accounting system from 6 days to a few hours.