Driving digital transformation to accommodate new business models
As businesses look to modernize, they often contemplate launching new business models or building on existing recurring revenue offerings, including subscriptions and usage-based plans. While this is often a smart business move, these initiatives require a new look at the order-to-revenue process and technology.
Organizations are recognizing that digital transformation will have a significant impact on the finance function, as well as the organization’s overall financial health. And a manual order-to-cash process does not provide the agility and responsiveness required to provide the flexible product bundles and subscription terms customers expect of modern enterprises. And to take on the new or upgraded business avatars the enterprises need for survival and growth, the existing technology and processes cannot adequately support the needs of the business. In turn experiencing disruption. Current systems are too inflexible and changes take too long to implement, assuming they can even be updated to accommodate the new business model.
RecVue believes that companies can no longer wait months for workarounds to their systems if they want to go after a new product bundle or subscription terms. They need agile and flexible systems that will not only reduce costs, but position them for the future. While automation should enhance productivity and reduce costs, that is simply table stakes. Systems need to enhance revenue and position companies for the next stage of growth.
It’s paramount for today’s CFOs and business heads to thus examine multiple levels of business outcomes when evaluating new monetization processes and technology. Recvue supports this need while evangelizing the digital transformation and identifies the key drivers:
Level 1: Cut costs
The right monetization platform should result in cutting unnecessary expenditures while supporting your goals with strategic features that improve productivity and speed.
Level 2: Mitigate Risk
Effective monetization platforms deliver the capabilities to prevent errors, enable validation, and improve auditability with customers downstream.
Level 3: Enable Agility
Modern monetization platforms must deliver the flexibility and rules-based functionality to enable the order-to-cash process to quickly and easily adapt to evolving business models and innovative pricing structures.
Level 4: Optimize Revenue
The right monetization platform helps companies to eliminate revenue leakage, identify & operationalize best practices, and leverage a nimble billing organization to scale with business growth.
In summary, companies that do not modernize their order-to-cash processes will find it difficult to compete in an environment, increasingly dependent on adapting to new business models. As the needs of customers change, making do with legacy systems to handle complex billing and contractual terms associated with recurring revenue models will no longer suffice.
Read the full article to see how RecVue is helping businesses cut cost, mitigate risk, enable agility and optimize recurring revenue.