- Article

- Innovation & Transformation
- Digital Adoption
Case Study Indonesia: Consumer Goods Company
Providing invoice-level transparency and automating AR reconciliation with HSBC’s Digital Accounts Receivables Tool (DART)
Client Challenge
- This multinational consumer goods company specialise in the production and distribution of a wide variety of health, home and hygiene products across a number of renowned brands. They had begun to face some challenges with accounts receivable (AR) reconciliation because a large volume of payments were received from buyers on open invoice.
- Additionally, their buyers generally did not include reasons for partially paying invoices. This lack of information created additional administrative burden for the AR team as they had to verify the reason for partial payments individually with their buyers.
Transformation & Success
- To facilitate greater transparency and accuracy on AR reconciliation, HSBC and the company agreed to implement the Digital Accounts Receivables Tool (DART). Through DART, the company can upload open invoice files into the DART portal.
- DART then automatically processes the files, and sends invoices directly to buyers. When payments are made through the DART portal, a unique Tracking ID is generated and attached to the payment. The tracking ID enables the company to track payments on an invoice level and view payment status on demand.
- By providing buyers the ability to key in reference details along with a unique tracking ID to be referred with each payment, DART provided the company with the greater invoice-level transparency that they sought.
- HSBC managed to successfully onboard 100% of the company’s new buyers onto the DART platform within the stipulated 1.5 month timeline, as requested by the company.
This document is issued by The Hongkong and Shanghai Banking Corporation Limited (“HSBC”).