Trends


This e-book presents information on deduction automation that†every A/R leader should know before starting their automation journey.

Contents

Chapter 01

Executive Summary

Chapter 02

Introduction

Chapter 03

Trends

Chapter 04

Key Challenges

Chapter 05

Challenges in Deduction Resolution

Chapter 06

Automation Techniques

Chapter 07

Potential Savings from Deductions Automation

Chapter 08

Other Considerations

Chapter 09

Summary

Chapter 10

About HighRadius
Chapter 03

Trends


The Credit Research Foundation (CRF), in collaboration with the Attain Consulting Group, monitors the trends in deductions across industries. A recent survey collected data from 2015 and 2018 and put forth many significant findings for the deductions practitioners. The survey report was analyzed to understand the state of deduction management for various industries. Deduction Amount Analysis in companies

Figure 1: % of companies reporting an increase in deductions dollars in past 12 months

32% of the respondents in 2018 have observed increasing deductions compared to 30% in 2012. Invalid deductions percentage

Figure 2: Invalid deductions as a % of overall deductions

Over the same period invalid deduction have increased from 6-10% to 15-20%, while at the same time the recovery of invalid deductions dollars has become less effective.

Invalid Deductions Recovered Analysis

Figure 3: Invalid Deductions Recovered

Deductions research time analysis Number of days taken to resolve deductions Finally, fewer companies are able to complete a chargeback in less than 45 days while more companies are taking 60 days or more.

Recommendations

HighRadius Deductions Webinar:Product Updates and New Features

How To Best Handle Post Audit Claims

Accounts Receivable Dispute management: Process & Resolution

There’s no time like the present

Get a Demo of Deductions Cloud for Your Business

Request a Demo

Request Demo Character Man

HighRadius Deductions Software acts as a powerhouse for proactive deduction management to prevent bottom-line erosion. It provides automation, process standardization, and a platform for cross-departmental and customer collaboration. It supports deduction management by providing some key features like back-up document capture which captures deduction data from customers and supplies the information required for resolution; auto-capture proofs of delivery (PODs), bills of lading (BOLs) from carrier portals & emails; structured deduction resolution, collaboration & approval workflows to streamline the communication and approval process; along with automatic deduction correspondence, and automatic data push to customer portals. The result is a proactive deduction management operation that recovers revenue normally lost to invalid deductions.