Business Requirement
With a growing overdue receivables position and poor visibility of AR ledger status, AR performance and AR issues the client required a structured and improved debt collection process for the Adults & Communities department.
By working collaboratively with the authority we achieved the following:
- Visibility of the Accounts Receivable position through new MI, implemented KPIs & Collection Targets.
- Implemented best practice collection strategies.
- Moved team focus from non value added admin tasks to debt collection activities.
- Developed the systems and reports to provide an automated and clear daily prioritisation of collection activities.
- Developed the team through hands-on support, introduced new ways of working.
- Trained staff in objection handling, negotiation & compliance in line with the new Care Act for April 2015.
- Through our Client Support Services in Glasgow we provided the additional resource and technology requirement to collect LCC’s lower value/higher volume Adult Social Care debt.
- This involved the Thornton Hope team in Glasgow working with LCC until they were in a Ready-State in order to transition back to the in-house LCC team.
Improvement Project Deliverables:
- £2m target to be achieved by 31 March 2015.
- Reduced debt levels and bad debt exposure.
- Improved visibility of the accounts receivable performance against targets.
- Created Daily/Weekly/Monthly reporting suite which provided daily operational targets, ongoing daily and weekly performance monitoring and MI.
- Implemented new best practice and flexible collection strategies in line with customer profiles.
- Improved efficiency and ability of the accounts receivable team.
- Developed the debt collection team members to focus on Collections and AR performance.
- Improved communication with customers.
- Focus on improved communication with internal business teams (Residential Care, Fairer Charging, EMSS, LCC Cashiers) in relation to debt collection matters.
- Focus on empowering and raising the profile of the debt collection team within the organisation, enabling them to provide leadership to the business in relation to the accounts receivable performance.
- Identified improvement areas in the cash posting process, routines and controls.
- Developed the accounts receivable systems (Oracle and Single Customer View).
- Updated credit policy in line with the new Care Act (April 2015) guidelines.
- Provided documented working procedures.
- Improved Controls and Audit Processes.
Leicestershire County Council said:
“The Thornton Hope team will work with you, your staff and stakeholders at any level. They have a no fuss, hands on approach to ensure improvements are made and objectives are met – resulting in a fast return on your investment!”
Meera Ahuja, Project Co-ordinator, Leicestershire County Council
