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Credit and Collections Success: Leveraging Your
CIS to Combat the Growth in Uncollectibles
Sharon Grove - General Manager, Customer Care - Nicor, Inc.
Nicor
Gas, with 2.2 million meters, is one of the largest gas
utilities in the United States. Historically, bad debt was not a
significant issue for Nicor until 2001, when volatile gas prices
began to drive up the level of uncollectibles. The regulatory
environment in Illinois is bleak; no Illinois gas utility has
any kind of bad debt recovery mechanism other than a traditional
rate case.
Nicor replaced its 40 year old CIS in 2006 with
Oracle's CC&B system. After the CIS implementation, Nicor began
to implement new credit and collection processes, using the new
CIS as a platform.
The new processes combine the expanded data model
of the new CIS system, credit risk modeling data from a third
party credit bureau and the marketing concepts of "frequency"
and "reach". This has resulted in more recoveries, much slower
growth in write offs and a reduction in collection expenses.
In 2007 and 2008, Nicor's bad debts as a percent
of revenue was almost half that of the AGA Midwest average.
Nicor's collection cost per customer is 30% lower than other
utilities benchmarks.
Sharon Grove has extensive experience in
streamlining and improving revenue conversion cycles via the
meter-to-cash process in a utility environment. She has been
general manager of customer service at Nicor Gas since 2007,
having previous experience at ComEd and Exelon Corporation.
Sharon has a BS in business and economics from Lehigh University
and an MBA from the Kellogg Graduate School of Management.
Other sessions include:
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Approaches to Applying Technology to Customer Service
What is Your CIS Strategy?
Energy Efficiency -
Leading the Parade
About Building Customer
Excellence
The New Prosumer
AMI/MDM Shootout
How Customer Expectations are Driving a New
Vision for Electric Utilities
The Changing
Landscape of Contact Centers
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