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 NameIndustryOwnershipManagementNo. of EmployeesSizeProject Duration
An IT Services Provider IT ServicesPublicBoard Of Directors 150000+<$5 billion12 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.​

Practus’ Role

  • 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.​

Impact Delivered

  • 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.​