Custom Image

A CPG Giant Automated Paper-Based Collections to Reduce Bad Debt by 20%

    • 27% Reduction in Past Dues
    • 20% Reduction in Bad Debt
    • 5 Days Reduction in Average Days Delinquent(ADD)
    • Reduction of 6 Days in Days Sales Outstanding(DSO)

Collections
Business Transformation Stories
Video Testimonial
Challenges
How did HighRadius help
Impact

Challenges

Manual Aging and Prioritization of Accounts

The collections team at Staples was practicing paper-based processes and manual prioritization of customer accounts, which led to increased aging – making collections recovery tedious. Everything was done on paper – from aging to strategizing, P2Ps to call notes, and invoicing to collections. A report was generated at the beginning of the month to prioritize all the accounts. The aging reports, prioritization of critical customer accounts, and call notes were collected on paper separately. These made the team devote at least 25-30% of their time to manual activities, leading to an increased workload.

Their current ERP made collections recovery more complex due to its limited capabilities. The sales team was not getting updates on accounts status due to which they had to reach out to their customers multiple times leading to poor customer experience.    

Lack of Visibility across Critical Accounts

The 7 member collections team at Staples was struggling with a global customer base where each analyst was handling 900-1000 accounts, with aging buckets ranging up to 1000 days – gathering information from 20 different customer portals. To complicate the situation, these accounts included multiple parent-child scenarios.

Moreover, for the huge number of accounts, the data was spread across various channels due to which they could not focus on critical accounts. Collections for selective accounts had also been outsourced, making it difficult to track their collection status and gave them minimal transparency across those accounts.

ABOUT STAPLES

Staples is the leading operator of office supply superstores in the US. With 75+marketplaces worldwide, the CPG Giant sells a wide range of office supplies (papers, pens, stickies, notebooks, folders, clips), as well as office furniture and computers, and printers along with business and technology services.

INDUSTRY

Consumer Packaged Goods

REGION

North America

REVENUE

$8 Billion

PRODUCTS

Collections Software

George Uko

Our CFO’s objective was the reduction of Bad Debt by 20%, while the management wanted to maintain a similar ROI, with 2 FTEs retiring.

George Uko
Manager Credit and Collections
Staples

How did HighRadius Help

Impact

Reduction in Past Dues
Reduction in Bad Debt
Reduction in Average Days Delinquent(ADD)
Reduction in Days Sales Outstanding(DSO)

Autopilot for Order to Cash

Get in touch with an expert to see how HighRadius can help your business

Talk to a Financial Technology Advisor
Request a demo

Recommended Transformation Stories

Ferrero

Learn How Ferrero reduced their DSO with end-to-end A/R transformation, making the team more productive, and empowered to forecast their cash flow.

Learn More
Johnson & Johnson

Learn how J&J achieved a 95% touchless cash posting rate for 500k remittance line items across 5 Business Units in the US & Canada in just 3 months.

Learn More
Danone

Learn how Danone saved up to $20M by faster recovery of invalid deductions with HighRadius

Learn More