Challenge
Tackling inefficiencies in a fragmented invoice-to-cash operation
When you are a multibillion-dollar distributor navigating complex global operations, efficient cash flow management is critical. The company's team realized that its slow, fragmented processes were holding the organization back, leaving untapped value in its invoice-to-cash operations.
The team identified a range of challenges across its invoice-to-cash function. Operational inefficiencies were rampant across more than 25 ERP systems. Siloed processes and manual workflows weighed down key activities. The challenges included:
Disparate payment methods and manual dunning processes that caused delays and errors
Slow and costly manual tasks, such as proof-of-delivery aggregation, blocked order releases, and credit management, that were bogging down productivity
The absence of standardization, which resulted in high-cost operations and a fragmented user experience
These inefficiencies led to processing delays, backlogs, and increased costs while limiting the organization's ability to extract actionable insights from data. Investors expected accelerated cash flow to support crucial corporate initiatives, such as debt reduction, mergers and acquisitions, dividends, and infrastructure spend. And a high-interest-rate environment demanded better cost structures. The company needed a solution that could modernize its outdated processes and enable predictive, data-driven decision-making.
When it decided it was time for transformation, the organization partnered with Genpact to reinvent its approach to invoice-to-cash using AI and automation.
Solution
Revamping the receivables management process with AI
The B2B distribution company and Genpact embarked on a bold transformation of the invoice-to-cash operations. We leveraged cutting-edge AI and automation to shift from reporting to analysis to predictive strategies. Guided by a detailed roadmap and clear business objectives, the approach focused on creating a unified, efficient, and future-ready process. The solution centered on three pillars:
1. A resilient digital foundation
Genpact unified the fragmented systems by establishing a centralized platform for order-to-cash operations, powered by HighRadius' autonomous accounts receivable management suite. This provided a real-time exchange of data between functional areas and created a single source of truth for leaders. By integrating the company's more than 25 ERP systems under one digital umbrella, Genpact built the groundwork for scalable AI adoption.
2. Intelligent automation of manual processes with AI and machine learning
Cash application workflows, with automated matching for invoices, purchase orders, and email remittance captures
AI-based prioritization, enabling smarter collection strategies based on predicted payment behaviors
Real-time credit monitoring, offering early indicators on credit downgrades, bankruptcies, and changes in payment behavior
Block order automation, improving release times and ensuring compliance
3. Focus on experience and collaboration
The firm doubled down on enhancing the user experience, both internally for employees and externally for customers. From developing an intuitive online credit application portal to simplifying communications with automated correspondence, it enabled accessible, standardized solutions that strengthened customer relationships.
Impact
AI-powered automation for greater business resilience
Today, the supply chain solutions company processes over 1.4 million annual payments across more than 7 million invoices with greater efficiency.
By consolidating disparate ERP systems and silos, the company has created a unified operational environment, improving visibility and accountability. The organization has embedded a culture of data-driven growth, with each step measurable and scalable.
By building a strong digital foundation anchored in automation and predictive analytics, it has driven measurable results across critical metrics, including:
Efficient process automation
Over 98% of its North American transactions are now automated for cash application and collections, significantly reducing manual data handling
The program reduced operational costs and freed up capacity for the finance team to focus on higher-value tasks, such as analysis and relationship management
Accelerated cash flow
Enhanced collection models and AI-led credit monitoring improved overall cash conversion cycles, creating enterprise-wide savings
Blocked order automation streamlined sales processes, saving time and reducing disruptions
Improved user experience
Both internal teams and customers now enjoy a streamlined interface, an automated correspondence system, and robust reporting capabilities with fewer errors and delays
Real-time analytics and predictive capabilities empower leaders to make proactive, data-driven decisions
A leader in AI-led cash flow transformation
The B2B distributor's bold transition to an enterprise-ready invoice-to-cash system has not only driven operational efficiency but also reinforced its position as a global innovation powerhouse. Its ability to shift resources toward strategic activities, foster collaboration across functional areas, and adopt predictive strategies has ensured the company is prepared for future challenges. The organization's partnership with Genpact offers a proven framework for transformation. By focusing on centralization, collaboration, and cutting-edge technology, businesses can unlock untapped value and achieve sustainable growth.
