A mid-sized food distribution company was experiencing poor cash flow because of inefficient systems for tracking invoices and bills of lading. When a shipment was delivered, sometimes items were damaged, incorrect, or missing. These mishaps prompted clients to withhold payment of the invoice until the problem is resolved. This caused the client to produce thousands of resubmitted invoices each week. Tracking this amount of invoices proved both time and labor intensive, and resulted in a surplus of outstanding invoices and a delay in recouping revenue.
ILM created a plan for the food distribution company that consisted of data capture, digital imaging and other imaging solutions. Together ILM and the client determined it would be the most cost effective to scan each invoice upon creation into an organized index. Each time the invoice was updated because of errors or changes in shipment, the client could use an accounting pull report to reprint back the invoices and bill of ladings from the electronically scanned images. Consequently, the food distribution company was able to solve their cash flow problems by collecting over $1.5 million dollars in outstanding accounts receivable.
By analyzing the food distribution company’s current invoicing and accounting processes, ILM devised a more efficient plan for recovering lost revenue. The company was able to more effectively and quickly recover cash due for unpaid shipments. For more realistic business examples of how digital imaging, data capture and other imaging solutions can impact a business, check out the rest of our case studies at www.ilmcorp.com/case-studies or call ILM today!