Case Study: Business Services
Casepoint improves Days Sales Outstanding by 30%
Automation of usage-based billing processes enabled Casepoint to close faster and focus on more strategic financial analysis.
Casepoint offers a cloud-based eDiscovery platform for corporations, law firms, and government agencies.
Casepoint’s business model incorporates dynamic tiered, usage-based pricing which is great for their customers and difficult to manage without efficient internal systems. And, a manual sales-to-finance process was dragging down the team’s morale and productivity.
The Casepoint close process was preventing their team from focusing on higher-value finance and analysis activities. Ordway supported the team as they implemented a billing and revenue automation platform that drives tremendous business value for the Casepoint team.
Manual tiered, usage-based invoicing process consumed days and slowed collections
Tiered usage-based billings resulted in manual creation of individual invoices each month. The team had to manually enter usage-based numbers for all of our customers which was both time consuming, and more human-error prone.
Casepoint is growing fast and they realized that their manual process was not going to scale. They needed a platform to manage their tiered, usage-based pricing model. It was also important that the system would be flexible to integrate seamlessly with their QuickBooks accounting software.
It was nearly impossible to efficiently manage their contracts and usage-based billing. Just some of the challenges plaguing the team:
- Maintaining spreadsheets with customer usage data
- Two-week close process prevented higher-value analysis
- Difficulty getting visibility into the renewals process
- Manual revenue recognition process with QuickBooks general ledger
”We do have a usage based and tiered base system. As a result, we were doing a lot of manual work. You can imagine that not only being time-consuming, but potentially also more human error prone.”Mohit ManochaChief Financial Officer at Casepoint
Ordway platform automates recurring billing and usage-based billing
Casepoint was able to completely automate recurring billing even as customer contract requirements grew and usage-based billing became more complex. Each month, Casepoint usage data is imported to the Ordway platform which automatically results in accurate invoices and statements being sent to customers at scale.
Casepoint also refactored their customer renewal process. Because contract terms are stored in the Ordway platform, they know the full arrangements of a certain customer, can track revenue, and be alerted when approaching a customer-contract’s end. This empowers the Casepoint team to reach out to customers and start having conversations instead of being caught scrambling or even worse, risking churn.
How Casepoint leverages the Ordway platform:
- Invoicing for SaaS subscription and usage-based contracts
- Automating collections and dunning
- Recognizing revenue and sending summary journal entries to QuickBooks
- Managing tax calculations
- Automating the customer renewal process
Casepoint improved team morale and DSO by nearly 30%
Ordway provided Casepoint visibility into aspects of their business that were unquantifiable previously. The time they regained from eliminating their manual billing process increased team capacity and improved overall team morale. Ultimately, the platform surfaced more insights on how to run the business.
“What differentiates Ordway in my opinion is they do have great support, they’ve a great team.” Mohit Manocha, VP Finance Casepoint. “Often times we know the pressures of a finance team to deliver reports or insights and meet all the internal or external or requests that come in. Ordway helps to assist a critical piece of that, the month-end process, as well as provide time for a team to work on other value-add activities. Based on that, I would recommend other companies or others to look at integrating Ordway into your activities.”
Transitioning to Ordway created three major sources of ROI for Casepoint:
- Faster collections through automation improved days sales outstanding (DSO) 30%.
- Reduction in close time from a week or 1-2 days (50-80% reduction in close time).
- Improved team morale by eliminating manual drudgery and empowering the team to work on higher-value financial analysis