Commercial Sensitivity to Business Operations

Entity

Early player to provide Public Internet Access with Pan India presence

Problem Statement

Organization has gone all guns to establish & grow the brand to garner top line. 4500+ Franchisees signed up across Pan India with launching of operations in each city resulting into fastest growth of internet users at public internet cafes. With less priorities to design & stitch business processes, there had been a growing dis-satisfaction among franchisee partners on account of:

• Nil visibility of daily/weekly/monthly business at each outlet.
• Lack of delivery/logistics systems for physical internet packs for registration & renewal causing growing dis-satisfaction to end users for interruption of services/sessions
• Absence of Commercial policy & Account maintenance causing major Reconciliation issues
• Delay in calculation & pay out of revenue share
• Building of receivables

Objective

• To design Business Processes & Commercial policies, procedures
• Build transparent system of revenue visibility in real time
• Monthly Reconciliation & Sign off with timely revenue sharing as per contract

Solution/Approach

Deep dive into Franchisee account creation & management to list line items visible to partner once site is launched, Recording of commercial transactions & maintenance of MIS reports, Franchisee communication policy & procedures, Study Revenue sharing working logic & methods for enabling transparent data visibility to each franchisee, Training & cascade to each franchisee on Go-Live day as well as Group gathering during business meets among franchisees

Key Findings

• Absence of Indenting procedure
• Lack of Commercial Training & cascade as part of Franchisee onboarding & Go-Live process
• Absence of real time information sharing to each franchisee on primary & tertiary business operations
• Delay & Inaccurate revenue sharing with franchisees causing major dis-satisfaction, leading to receivables building despite prepaid operative business operations
• Non availability of Logistics management to deliver prepaid packs & maintain stock reconciliation

Key changes implemented

• Designed & implemented Commercial Policy for franchisee as part of contract agreement
• Implementation of framework for Ordering & Re-Ordering threshold
• Enabling logistics management along with stock statement to avoid reconciliation
• Net off Revenue sharing on fortnight basis to maintain commercial discipline

Results

• Franchisee’s commercial training manual cascade & implementation across Pan India
• End customer & Franchisee sessions tool enabled online to create transparency
• Commercial Risk-Free business operations
• Significant improvement in Franchisee Sat & C-Sat