EXL’s client, leading drilling equipment service provider reached out to EXL to consolidate their procure-to-pay (P2P) and fixed assets (FA) operations from offices in Asia Pacific, Europe, and Africa to their corporate office in the US. The client saw this as a great opportunity for improving costs and productivity by centralizing their operations.
However, this went beyond being a simple migration. The client looked to partner with EXL to bring in experts who could lay the entire plan on the table, had strong domain knowledge of P2P functions to bring about transformation, familiarity with EMEA tax/VAT regulations, and understood all other statutory requirements and their implications. Everything had to be accomplished end to end within six months.
EXL has strong domain expertise in finance and accounting, in business consolidation, and setting up shared services. Our proprietary Digital EXLerator Framework enables us to apply robotics and automation to our client’s business environment and make digital real for client partners. Our proven methodologies and framework enabled strong collaboration with the client’s business stakeholders. EXL delivered the right solution the first time, so our client could start realizing efficiencies and cost savings faster.
Our own internal technology architecture Center of Excellence (CoE) is fully focused on refining best practices for developing and implementing digital technologies like RPA, artificial intelligence, and other automation tools. This CoE standardizes and optimizes EXL’s delivery and support mechanism, and continually improves this framework. The client received optimal outcomes with minimal disruption to their day-to-day business.
The EXL team flew to one of the client’s European locations for three weeks and studied client’s systems and processes. This included collecting and analyzing data to process baselining, metrics reviews, system efficiency, month-end closing and reporting. EXL also conducted interviews with process subject matter experts, statutory teams, and regional controllers. Additionally, the team performed risk assessment and mitigation, documentation, opportunity identification, and more. Similar activities were carried out in the client’s P2P and FA operations in the US office.
Over a period of three months, there were over 45 process improvement and standardization opportunities identified. A transformation roadmap was developed using our proprietary Digital EXLerator Framework. In parallel, the EXL team worked with the client’s HR partner and key stakeholders to develop corporate communications for change management, as well as identifying and rebadging top talents to new SSC corporate location. Process documents and SOPs were developed at a lightning speed, including capturing process subtleties and exceptions to ensure stabilized operations within a reasonable timeframe. Necessary checks and balances were put in place to comply with tax/VAT regulations and other statutory requirements.
Having retained employees for an agreed amount of time at the sending site for ongoing training and support, and closely monitoring progress at each migration tollgate using EXL’s SMART migration methodology, the SSC team went live in sixth month.
With just a little bit of turbulence, the SSC operations were quickly stabilized and restored to its normal state.
Key metrics and KPIs were implemented for effective performance management and better external and internal customer experiences.
EXL delivered a total savings of $1M over three years, reducing operating costs through business consolidation, as well as P2P and FA operation centralization. Additionally, there were over 45 process improvement and standardization opportunities identified with an aggregate annual impact of $500K. A successful transition and go-live in six months with minimal disruption was performed using the lift-and-shift model.
- Compliance with EMEA tax laws and statutory requirements
- Language constraints by needing to support over 12 different major languages
- Time zone and coverage
- Lack of process documentation
- Broken systems and processes
- Country-specific knowledge and supplier mapping to individual resources, with a high level of dependency on resources
- Changes in VAT regulations, with a split payment mechanism in Poland
- Lack of key metrics and robust tracking/reporting mechanism
- Lack of standardization
- Deep expertise and global outlook on business consolidation, transition management and setting up shared service centers
- Deep domain expertise in finance and accounting and compliance with country-specific statutory requirements
- Extensive experience in applying robotics and automation to streamline manual functions
- Proven delivery methodologies ensure the right solution is deployed more quickly
- Internal/technology architecture CoE standardizes and optimizes delivery for better performance and external/internal customer experience
- End-to-end process documentation in seven weeks
- 45+ process improvement and standardization opportunities identified, including 29 opportunities with high or medium business impact
- Highly focused documentation on VAT/tax and other statutory requirements
- Clearance from local tax authorities
- Robust risk assessment and mitigation involving people, process and technology
- Process study and baselining at both locations, with a view to quick wins and long-term benefits
- Business consolidation benefit of $1M over 3 years
- Successful transition in six months using lift-and-shift model
- 45+ process improvement and standardization opportunities identified with an aggregate annual impact of $500K