Case Study - Zerem Electrical

17 Feb 2023

In 2020, Zerem Electrical partnered with Kolleno to solve the following challenges:

• Due to the nature of the industry Zerem EleGtriGals was operating in, it was necessary to de-grease the Days Sales Outstanding (DSO) in order to improve internal liquidity and rely on steady and predictable cash flow.
• Staff were spending too many working hours monitoring invoice payments dynamics, contacting clients, and following up.
• Some staff were demotivated to send payment reminders, as they were afraid to ruin great customer relationships they have nurtured.Zerem EleGtriGal outsourced the credit-control previously, but was looking to bring this function in-house. However, the company did not want to hire additional staff to perform this duty.
• The turnover was growing, which would lead to more errors in the invoicing because they were prepared manually.

Company description

Sending notices is one of the most effective actions to speed up the collections. When Zerem Electrical has introduced automated AR management, the employees have freed up their time to focus on their core activities and keep the motivation level up, as chasing invoices can be stressful for some. Leaving the repetitive and monotonous tasks to the technology was a great decision for Zerem Electrical as it positively was reflected on their DSO right away, and their engagement with clients