Rand McNally Says Goodbye to Manual Mode with 9ci

Collections and deductions management is no place for manual processes. Introducing the right kind of automation into these areas is virtually guaranteed to pay for itself. Indeed, automating the deductions process is becoming de rigueur at today’s leading companies as a way to improve efficiency and reduce days sales outstanding (DSO).

Michael Pettyjohn, director, corporate credit and collections and customer service at Rand McNally and a 20-year veteran of finance, collections and deductions management, had used collections and deductions automation systems before. He quickly recognized the benefits this technology could bring to his organization by eliminating tedious manual chores and enforcing consistency in workflow. Pettyjohn chose to implement 9ci’s Dispute/Collection & Deduction System (DCS) using a custom interface to Rand McNally?s existing AS/400-based system.

“Simply put, DCS gives us consistency; our processes are less manual now. In the past, collectors received weekly paper agings, reviewed them and then made their collection calls. With 11 collectors all using paper agings, those 11 portfolios were managed 11 different ways. With DCS, they all collect the same way and with the same mind-set.”

“Using DCS, we set up rules and parameters in work queue processes to enforce best practice standards and direct day-to-day operations.”

The deduction control module allows Pettyjohn’s staff members to make use of their expertise in collections and dispute resolution, as opposed to spending their time dealing with paper agings and manual processes. DCS tracks all incoming deductions, assigns them to an owner, identifies deductions based on reason code and tracks the entire resolution activity from start to finish. Reason codes can be changed on the fly and sub-codes created if necessary.

“DCS has helped us streamline some processes and reduce manual practices,” says Pettyjohn. “Before [DCS], we spent more time gathering information, and now we spend more time analyzing it.”

Using DCS, Rand McNally has reduced DSO by 8.5 days year to date, which equates to a significant one-time free cash flow improvement. What’s more, DCS has allowed the department to reduce collections staff by 18 percent.

“The implementation was painless,” says Pettyjohn. “We established a relationship with 9ci in which we understood each other’s needs. Working from a well prepared project plan, implementation took about nine weeks.”

Rand McNally also uses 9ci’s Business Insight module, a business intelligence application for accounts receivable.

“Business Insight allows us to query data that we need to manage our business effectively,” says Pettyjohn. “We chose 9ci’s product because it makes critical information more accessible than competing products do. We are no more than two clicks away from any data we need.”

“What it came down to for me in choosing 9ci was cost effectiveness and reliability,” he says. “If I have a problem, I know I can call 9ci and they will address the issue immediately.”

Pettyjohn continues to be pleased with both the return on investment and the strategic and operational benefits DCS provides.

“I’m always looking for innovative ways to conduct business more efficiently and cost effectively. It’s just another way to help Rand McNally maintain its status as the most trusted name on the map.”