A Case Study on Prevention of Duplicate Claims and Related Automation Undertaken for Enhanced Reconciliation Processes

The Client:

The customer is the world’s largest telecom tower Company, which is enabling communications revolution into a significant new phase. The client is an independently managed Company offering passive infrastructure services to all telecom operators and other wireless services providers such as broadband service providers. Incorporated in November 2007, our customer offers passive infrastructure services to telecom service providers.

The client was incorporated with an objective to provide shared telecom infrastructure to telecom operators on a non-discriminatory basis. The client is also committed to innovation for the enhancement of operational efficiencies to provide substantial cost savings for its customers.

Preventive Care Analysis (PCA)

Mynd is well- known for its vigilant approach in picking duplicate claims. This is our USP and separates us from competition, due to direct savings given to client.

One of the teams in this particular SHARED SERVICE CENTER (SSC) project is engaged in the process of Preventive Care Analysis (PCA) for reconciling the invoices of our esteemed client

The team follows the below Phases (Steps) under PCA:

• Ø  Identification of Probable Duplicate Invoices  

Alerts-

·         Invoice Date, before 1 year from date of punching.

·         Service Period, before 1 year from date of punching

• Ø  Application of audit checks on the invoices identified

Investigate-

·         Search similar invoice No. in Oracle in same Vendor using “%” sign.

·         Check descriptions for invoices booked near to service period

·         Check site ID booking for similar services for other invoices booked

• Ø  Intimation to Client

Communicate-

·         Any probable duplicity noted during audit is communicated to client in specified format, with detailed reasons of doubt.

The Achievements of Mynd at a glance due to Preventive Care Analysis offered to Client

PCA Outcomes
Status	No of Cases	Savings to Client
Confirmed Savings	42	INR 5.11 Million
Probable Duplicity Reported	89	INR 11.39 Million
Under Investigation	39	INR 5.25 Million

Automated Macro for BRS

The other team in this SSC project has introduced Automated Macro for BRS Preparation, thereby reducing the dependency on Manual Labor, improving efficiency as well as decreasing human errors. The journey from Manual to Automated, illustrated below with detailed steps-

Detailed Laborious Steps of Manual BRS Preparation Prior to Automation (Total 43 steps of manual copy, paste and deletion of data)

·         1.) Consolidating GL reports (Main Bank & Cash clearing GL)

·         2.) Calculating Net Amount (Subtracting Credit amounts from Debit)

·         3.) Creating unique combination of transactions (Concatenating GL date, Transaction No. & Net Amount)

·         4-5.) Identifying new transactions to consider (applying “vlookup” with previous consolidated data & Selecting # N/A cases)

·         6.) Deselecting System cleared transactions ( Filtering out “Reconciled Payments”)

·         7-16.) Plotting transactions into relevant Open Annexures             (total 10 times copy & paste of data )

·         17-26. ) Plotting transactions from Bank statement into relevant open Annexures (total 10 times copy & paste of data )

·         27-30.) Applying vlookup between annexures to find transactions to be knocked off in BRS.

( Annexure I & II, I & IV, III & IV, II&III)

·         31-38.) Copying the knocked off transactions from Open Annexures to Knocked off  Annexures (Total 8 times copying of data from Open Annexures to knocked off annexures)

·         39-43.) Deleting the transactions knocked off from Open Annexures ( total 4 times row deletion)

Detailed Steps of Automated Macro (Total 16 steps of manual copy, paste and deletion of data)

·         1.) Consolidating GL reports (Main Bank & Cash clearing GL)

·         2.) Clicking  “GL Dump Work”

·         3.) Clicking  “GL Data Plot”

·         4.) Clicking  “SOA Plot”

·         5.) Clicking  “KO I&II”

·         6.) Clicking  “KO Data Plot I&II”

·         7.) Clicking  “KO I&IV”

·         8.) Clicking  “KO Data Plot I&IV”

·         9-10.) Applying vlookup between annexures to find        transactions to be knocked off in BRS. (Annexure III & IV, II & III)

·         11-14.) Copying the knocked off transactions from Open Annexures to Knocked off  Annexures ( total 4 times copying of data from Open Annexures to knocked off annexures)

·         15-16.) Deleting the transactions knocked off from Open Annexures ( total 2 times row deletion)

Subsequent to the introduction of Automation Macro, Mynd helped its customer to achieve the below benefits-

Benefits of BRS ( Automation Macro):

·         Error free deliveries due to reduced human efforts

·         Continuous improvement in service delivery

·         Timely deliveries

·         Value added deliveries

Achievements of BRS ( Automation Macro) :

·         Successful Automation-Out of total 226 BRSs total 120 recons covered under automation.

·         Successful Compliance-Of stiff SLAs under BRS.

·         Reduced Human Efforts-Reduced pressure on Mynd team members

·         Improved and Reliable Quality of Work-Quality assurance done for deliveries under BRS.

·         Time Saving in Processes-Almost 40% of time saving done for any particular activity.

Cash Management Process Automation by Mynd Solutions

The Background

Mynd Solutions Finance and Accounting (F&A) Outsourcing has pioneered finance and accounting solutions by integrating domain expertise, global delivery network and technology solutions. Mynd assists in identifying, transitioning, transforming, executing and continuously adding value to finance and accounts processes through a low-cost Business Process Outsourcing (BPO) services model, without compromising on quality and compliance. We believe in delivering the right information at the right time.

Mynd operates in the following Major areas in Retail Segment

·         DSR Audit & Cash Pick up

·         Store/ Warehouse process Audit

·         Inventory Audit

·         Cash Management

Mynd has provided exceptional service delivery for several retail clients in the past few years in different service domains. Clients include leading Indian and Global brands in Apparel, Restaurant and Fast Food Chain, Online retail Industries etc.

Petty Cash Process

The Client:

The client is an Indian e-commerce company, founded in 2007, and headquartered in Bangalore, Karnataka. It is considered as the e-commerce company that made online shopping popular in India. This popular Indian online retailer offers books, apparels, fashion wear, accessories, electronics, and appliances among many other offerings.

 Cash Management Process Undertaken by Mynd for Client:

Mynd Solutions started Cash management process for the above client in May 2012. In this assignment, Mynd is processing & managing their petty cash expense & related Imprest management across all delivery hubs in India. We started this journey with 70 hubs in May-12 and are currently handling 200 + Hubs.

   What’s Unique About this Assignment?

Ø  Managing the Cash Processes for the largest e-commerce Company in India.

Ø  First-ever e-commerce client of Mynd Solutions

Ø  Project was initiated in a very short span of time.

Ø  Dynamic nature of client requirements

Ø  High volumes of cash covered in the assignment

Initial Challenges witnessed during this project:

Ø  Several software changes were made as per client’s exclusive requirements

Ø  Automations had to be introduced in many areas

Ø  Software Training was to be provided to Pan India Hub Managers

Ø  Streamlining client’s conveyance expense was a major challenge, which is 80 % of total hub expenses

Normal SLA Delivery Provided to Client:

Ø  Processing expense vouchers within 7 working days with 100 % accuracy.

Ø  Daily MIS reporting on volume of vouchers created by hubs, processed by Mynd team, pending for approval at different levels along with the ageing of pending vouchers.

Ø  Weekly MIS reporting & analysis on different expenses.

Ø  Timely updation of portal which includes creation of new hubs, cash feeding to hubs & addition / edition of users 

Ø  Providing Journal Voucher of all approved expenses & provisions in the desired format for uploading in their Oracle software as month end reporting

Ø  Generation of Petty cash Certificate by Monthly

Ø  Software Training to Hub In charge.

Ø  Helpdesk & Query Resolution

The Extra Mile Efforts made by Mynd Retail Accounting Team to Improve Service Delivery:

Ø  Understanding the nature of the client’s business

Ø  Spending time in the delivery hubs to understand the ground level activities and Challenges

Ø  Identifying the areas where automation may be introduced

Ø  Identifying the leakage points

Process Automation and Benefits

Several improvements & automation features have been introduced in the Petty Cash process by Mynd, since the beginning. The major automation features introduced by the Mynd team include-

Ø  Weekly Expenses reports: We implemented various real time automated reports in the software which ultimately reduced manpower efforts & chances of any errors.

Ø  System validation & supporting attachment : We made expense supporting’s attachment mandatory in the software so that processing team is not dependent on hard copies to process the voucher & accordingly processing time may be reduced.

Ø  New Conveyance Screen: We introduced a new voucher screen for biker’s conveyance expense wherein the users mention opening & closing kilometers of the bikers & rest all conveyance calculation is done by the software on the basis of per K.M. rate (already fixed in the software). This automation simplified the Hub Manager’s task, as they don’t have to prepare manual excel file. It also helped Mynd team to process the voucher quickly with enhanced control.     

Benefits Derived from Process Improvement:

Ø  Faster processing of Claims:  Through regular MIS compilation, process set up & Client support, Mynd was able to reduce the cycle time by 10 days.

Ø  Automation established in:-

·         Conveyance Claim Process

·         Real time reporting

·         System Validations

Ø  Improved Controls in Place: Controls have increased because decision makers can take decision quickly by seeing real-time reports online

Ø  Reduction of working capital: It also helped the client to reduce their working capital lying within the hubs in the form of Imprest balance in all hubs.

Ø  No follow up with Hubs for Claims hardcopies: Our process improvement & automation reduced dependency on hard copies of the vouchers and their receipt.

Ø  Real time cash balance : Our process provided online tool to user to view individual / consolidated petty cash balance online in real time, so that decisions on further cash feeding can be taken effectively & quickly

Client Rewards Mynd’s Efforts

After successful implementation & running of petty cash process for over 1 & ½ years we have been awarded many more projects by this esteemed client.  The summary of the projects won by Mynd are enumerated below-

Ø  One time projects

–        Data conversion from Navision to Tally under letsbuy.

–        Transporter POD’s Verification project

Ø  Regular projects

–        Hub Audits

–        Warehouse  Process Quality Audit

–        Inventory Verifications

–        Vendor Reconciliation

–        AR Reconciliation

–        Bank Reconciliation

–        Training ( Under Implementation)

LOGISTICS MANAGEMENT SOLUTION ON BPM PLATFORM BY MYND

THE CLIENT:

A leading Indian Telecom Equipment Service provider. The company is a Solutions provider to the telecom infrastructure industry for deployment and manufacturing of fiber cables; manufacturing of optimized microwave equipment; power management systems; security and surveillance system and solutions.

THE CHALLENGES WITNESSED BY CLIENT PRIOR TO AUTOMATION BY MYND:

      Distorted Finance, Accounting & Admin Process- Leading to pilferage

?        Not much control on Vehicle Utilization resulting in high costs

?        Delays in Processes resulting in Dissatisfaction 

?        Keeping Track of vehicle movements 

Manual Processes in place for-

•       Vendor contract notes

•       Vendor invoices

•       Log books for vehicles

•       Vendor Payment process

Human Interventions needed!-

•       Approval work flow

Lack of Visibility in-

•       Actual vs. budgets

•       Utilization of Vehicles

SOLUTIONING PROPOSED BY MYND TO CLIENT:

Use of NOVEL TECHNOLOGIES-

1  SaaS Solution - BPM on Cloud:  Software As A Service Platform offered by Mynd is helping drive Business Transformation for clients via “on the fly” configuration and integration of Business Processes such as Fixed Assets, Employee, Inventory, Vendor and Customer Management etc. The SaaS delivery model ensures great cost saving for the customers and helps drive growth through improved competitiveness and connectivity. Other benefits include more productized service delivery (instead of standard lift and shift solutions), broader spectrum of services covered with higher values involved.

Configurable BPM features-

•       eContract Mgt

•       Vendor Mgt.

•       Users Mgt.

•       Vehicles Mgt.

•       Work Flow Approval

•       Business Process Configuration

•       eDocuments Library

•       Dynamic Forms creation with capability to add new fields

•       Email alerts configuration option

•       Keyword based process enablement

•       SMS Alerts:  SMS Reminder to User if No trip created by Driver and Escalation SMS to User Next day if No trip created by Driver

    Disruptive Technologies such as SMAC-Social Media, Mobility, Analytics (Big Data) and Cloud, are being adopted by Mynd to play a vital role in improving the overall business outcomes for customers

•       Mobility- Enables organizations to fulfill strategic imperatives, enhance real time connectivity and operational efficiency throughout corporate functions and develop engaging customer experiences

•       Analytics (Big Data)- Advanced analytics help improve competitive advantage of clients by offering superior business intelligence and useful data insights

•       Cloud- Elastic scaling, service automation, virtualization and substantial cost improvement through dynamic abstraction of IT services

•       Map and Map Data

o   Transaction Mgt

o   Point of Interest for Trips Mgt

•       Mobile Technologies

     Mechatronics

•       GPS Devices

•       Mobile Devices

BENEFITS FROM MYND’S SOLUTION PROVIDED TO CLIENT:

    Controls Enforced-

•       eContracts

•       eLog Books for Vehicle

•       Visibility of  Vehicles

  Efficiency Improved-

•       Just in Time

•       High Visibility

•       Service Levels Monitoring

  Economy: Cost Benefit to Client-

•       Variable Fee Model

•       Reduced pilferage