Using Data Analytics and Process Documentation to Optimize a Financial Transformation

OVERVIEW: 
The Chief Financial Officer of a large professional services firm was facing a challenge. The organization had recently implemented a new enterprise resource planning system that caused a lapse in billing, creating a backlog, and highlighting the gaps in processes. This sparked the immediate need for financial transformation and optimization. The CFO asked Stonehill to provide support with a financial workshop, process documentation, implementation plan, and data analytics to support/track initiative progress. 

APPROACH: 
Stonehill approached the engagement by evaluating what leadership, employees, and the customers wanted. This involved in person sessions with the leadership team and key employees to hear the current challenges that are being faced. Stonehill supported the CFO with a financial workshop to align his business leaders and create priorities for the team. These efforts came together in the creation of the financial transformation plan which involved a revamp of departmental processes and procedures.  

Stonehill implemented a new process to approach the outstanding accounts receivable by deploying additional support for the collections team and creating a scorecard to evaluate the weekly progress made in collections. This held the team accountable and forces progress to be made to lower the amount of outstanding AR.  

In parallel, Stonehill was revamping and documenting the internal processes for the finance department. This effort included the creation and implementation of new companywide policies to help streamline the month end close process and optimize the billing cycle. As well as, creating standard operating procedures throughout the department.  

RESULTS: 
The financial transformation is an ongoing improvement process with phase one being developed and implemented in less than two months. This was an enormous win for the company to increase collections and improve cash flow. With standard operating procedures in place and corresponding metric scorecards, the company was able to identify inefficiencies and underperforming departments to focus their transformation efforts in. The company has been able to focus on the needs of leadership, the employees, and their customers to improve company satisfaction across the board.  

"By leveraging Stonehill’s specialized expertise, we streamlined our operations and reduced costs, ultimately driving greater efficiency and profitability for our organization." - Company CFO