Background:

A global chemical company, operating in over 10 countries, faced frequent service outages due to late payments to their telecom providers. This multinational organization, with a standard payment term of Net 60, found itself regularly incurring late fees and service interruptions across its global operations. The complexity of managing telecom services, billing, and accounts payable (AP) across numerous providers created a significant burden on their IT and AP departments.

Challenges

1. Frequent Service Interruptions: There were regular interruptions and suspensions due to late invoice payments, leading to service outages that hampered their global operations.
2. Consistent Late Fees: Due to their standard payment term of Net 60, the company regularly exceeded the due dates for telecom invoices, resulting in additional late fees (and added costs).
3. Global Complexity: Managing telecom service providers across over 10 countries added a layer of complexity to their operations, overwhelming both their IT and AP teams. Late payments and service disruptions were taxing resources, leading to inefficiencies.
4. Operational Uncertainty: In the event of a service interruption, the company was unsure whether the cause was billing, or service related, further complicating troubleshooting and resolution efforts.

Solution: Implementation of TMR’s BPaaS

TMR stepped in with their Bill Pay as a Service (BPaaS) solution to streamline and optimize the company’s telecom invoice and vendor management. By automating and centralizing the payment processes, TMR ensured that invoices were paid in a timely manner, removing the burden of manual processing and oversight from the customer’s IT and AP departments.

Key Features of the Solution:

1. Automated Invoice Management: TMR’s BPaaS system automated the processing and payment of telecom invoices, ensuring that all invoices were paid within 25 days, well ahead of the company’s previous Net 60 terms.
2. Elimination of Late Fees: With invoices being paid promptly, the company no longer incurred late fees, resulting in significant cost savings.
3. No More Service Interruptions from Late Payments: By ensuring timely payments, the company no longer experienced service interruptions due to late invoices. This improved operational efficiency across all locations and allowed operations to run smoothly without unexpected (billing-related) internet outages.
4. Improved Troubleshooting: Now, when a service interruption occurs, the company can be certain it isn’t related to a billing problem. This clarity allows their IT team to focus on addressing real service issues instead of investigating potential payment-related outages.
5. Global Efficiency: BPaaS provided a centralized platform to manage telecom services across all countries, reducing the strain on IT and AP resources while improving overall efficiency and visibility into their telecom operations.

Results:

1. Zero Late Fees: Since the implementation of TMR’s BPaaS, the company has not incurred any late fees, saving them thousands of dollars annually.
2. 25-Day Payment Cycle: Invoices are now paid within 25 days, significantly faster than their previous Net 60 payment terms.
3. Service Stability: The company no longer experiences service interruptions due to late payments, allowing their global operations to function without disruptions.
4. Operational Efficiency: With the automated system in place, IT and AP teams are no longer bogged down by manual processes, allowing them to focus on higher-value activities.

Conclusion:

By implementing TMR’s BPaaS solution, the customer was able to eliminate operational inefficiencies and financial burdens caused by late payments and service interruptions. The automation of their invoice processing has not only saved the company time and money but has also brought clarity and stability to their global telecom operations, allowing them to focus on their core business activities.

TMR’s innovative approach transformed a burdensome and costly process into an efficient, automated system, delivering substantial operational improvements and cost savings in the areas they needed it most. TMR helped eliminate unnecessary outages and late fees resulting in annual savings of over $100,000.