Case Study - Royalty Accounting
Outbound Royalty Accounting & Payouts
Client accrues and disburses millions of dollars quarterly in Royalty payouts to its partners. The Outbound Royalty management team have to accrue royalties each quarter based on agreed royalty terms and conditions accrue Quarterly Royalties in books of accounts, prepare quarterly Royalty Statements to its partners and make the payout entries. This was a highly manual intensive process involving complex calculations based on each Royalty agreements.
The Finance shared services was looking for a way to simplify and transform the Royalty accounting and payout process through Intelligent automation. 70% to 80% of them are straight forward involving complex but repetitive calculations and preparation of vendor statements in a structured form depending on nature of accruals and payouts.
VirtualPro conducted a workshop with the operations team to understand and identify opportunities and challenges in automating the process. With detailed mapping of the process , the team then simplified the process breaking them into detailed process steps with business logic applied at each step.
The Royalty Payout BOT was built in 6 weeks with BOT performing activities end to end from data preparation, validation, calculating and preparing accrual entries to posting entries in SAP.
The activities which took 50+ hours during critical month ends was reduced to less than 5 hours resulting in 10 times productivity gains, enabling the teams to focus on utilising their time in reviewing and address partner specific business queries and issues.
Intelligent automation helped in improving productivity by 10X compliance with almost 100% accuracy and highly reliable process
Improved & reliable Process