Accelerating Cash Flow by Reducing Unbilled AR

The Challenge:

Revenue was sitting in accounts receivable but not moving. A large backlog of unbilled AR slowed cash flow and weakened financial performance. Billing processes were fragmented, delays were frequent, and the lack of visibility made it difficult to hold anyone accountable.

The Turning Point:

It became clear that cash was locked not because of external issues, but because of how we managed the backlog. To unlock it, we needed a structured process, stronger governance, and rules that left no room for bottlenecks.

Our Approach:

• Backlog management process: Designed and implemented a consistent process to clear unbilled AR.

• Reporting capabilities: Built reporting tools to give full visibility into unbilled amounts.

• Governance mechanisms: Established reviews and accountability checkpoints to keep progress on track.

• PO consolidation rules: Introduced structured rules that accelerated billing and reduced repeat delays.

The Results:

• Delivered more than $250 million in accelerated cash within 3 months.

• Streamlined billing and invoicing processes, cutting delays.

• Strengthened collaboration across teams, with clearer roles and shared accountability.

The Impact:

Working Capital improved, demonstrated by a stronger Days Sales Outstanding (DSO) position. Teams felt the difference: instead of chasing problems, they had a clear process that showed immediate financial results.