Transforming Order-to-Cash Processes Through Design Thinking
Situation
A global telecommunications company sought to improve its order-to-cash (O2C) processes which were supported by service centers across multiple geographies. Despite a strong, ongoing Continuous Improvement program, order processing remained inconsistent, visibility and reporting were lacking, and invoicing procedures were inefficient. These issues were especially pronounced wherever there was a handoff from teams in one location to another.
Project
The company engaged JCY Advisors to support a 2.5-day workshop that brought diverse executive and staff members together to identify and resolve inefficiencies across the O2C process:
Improve order submission accuracy
Align process reporting and tracking
Streamline invoicing procedures
Enhance overall operational efficiency
We utilized Design Thinking as our workshop approach, and divided participants into four subprocess groups-- Payment Allocation, Credit Processing, Order Management, and Dispute Handling. In the workshop participants:
Developed detailed Problem Statements
Created Empathy Maps to understand user perspectives
Conducted collaborative Ideation sessions
Mapped out As Is processes and identified sources of friction
Designed improved To Be models
Established a robust governance structure to drive implementation.
Results
Coming out of the workshop the To Be processes were modeled to show significant improvements:
Payment Allocation Improvements:
Cycle time reduction from 72 to 3 hours
Elimination of recurring errors
Improved customer satisfaction
Credit Note Processing:
Rejections reduction by 15-20%
Removal low-value administrative work
Specialist workflows streamlined
Order Accuracy Enhancements:
Billing activation time reduction from 3.5 to 1.5 days
More consistent process
Inquiry and Dispute Handling:
Enhanced first-time resolution rates
Improved service performance reporting.
The workshop generated over 70 additional improvement ideas, established a framework for ongoing process optimization, and created a collaborative approach to continuous improvement.
The project provided a roadmap for further transforming the order-to-cash process, demonstrating the power of Design Thinking in driving operational excellence.