Zero headcount increases, despite 22% growth in AR volumes

Products

Challenge: 4 Out of 5 Days Dedicated to Manual Work

A leading distributor of materials is known for stocking only best-in-class products. But when a new Director of Credit & Accounts Receivable joined the company, she quickly realized that her best-in-class AR automation software offered untapped opportunities.

“Entering data by hand isn’t worth our time, and yet much of our team was setting aside 4 out of 5 days a week for manual work. So, I started looking into our financial technologies,” she said, explaining her desire to strive for excellence rather than settling for mediocrity.

Economic headwinds were starting to pick up, and she knew the pressure to manage AR effectively was only going to increase. She wanted to balance new demands with automation, building a team structure that could scale without expanding headcount. Instead of accepting the status quo, she got to work rooting out inefficiencies within the order-to-cash process to drive productivity and a stronger cash flow.

While the company had already implemented Billtrust’s solutions for invoicing and cash application, there was an opportunity to take automation further, redefining how the team delivered value. She leaned into her partnership with Billtrust to explore what a more efficient and sustainable AR operation could look like.

Cash application emerged as the smartest starting point for improvement. The goal: increase the AR team’s match rate using machine learning (ML) automation to gain more productivity. With guidance from Billtrust, she launched a plan to train her Billtrust ML-powered matching engine and got creative in how she brought her team along for the journey. The result: a smarter, more scalable process that quickly started delivering measurable returns.

Solution: Overcoming AI Hesitations

Improving cash application performance meant teaching the ML engine to reconcile with greater precision – a shift that was met with some hesitation. Some AR team members were concerned that by teaching the AI system, they would devalue the work they brought to the table. In response, she worked to educate her team.

“Some of my team was hesitant at first and rightfully so. Embracing AI takes time – like turning a large ship,” she explained. “When an employee’s value is based on a very tangible thing like data entry, it’s difficult for them to see how their contributions will become reinvented after AI starts performing their work.”

As the AR leader, she had to build confidence by showing her staff their growth potential and their path forward post-automation. “That bigger picture helped them visualize their personal value in new ways,” she added.

Next, the distribution company and Billtrust collaborated on an incentive program that tied cash application match rates directly to personal performance metrics. Financial rewards were offered to those who could improve their “personal match rate” by teaching the ML system to increase its reconciliation success. The better the machine performed, the bigger the payoff. Billtrust’s confidence-based matching capability was a factor in driving AI adoption, as the set threshold feature allows tighter control over how many exceptions are generated – and thus how much manual follow-up work is required.

The program worked, turning automation from a perceived threat into a shared success story. As the shift unfolded, automation elevated the roles and responsibilities of many team members. Some became trainers, helping others succeed with the new tools, while others transitioned into higher-impact roles like collections where support was now more urgently needed. Thus, the organization became more focused while staying lean, making better use of its human resources. 

The company recognized that innovation also required a shift in success measurement for cash application. Moving from header-level to line-level match rates allowed for more granular matching accuracy. Today, she can ensure every line item is correctly accounted for while also evaluating with sharper precision how much work the team is truly handling.

Results: Productivity Equivalent to 9 Employees

Today, the company has achieved a 42% increase in cash application match rates, boosting automation and therefore efficiency. Their productivity gains are equivalent to nine full-time employees. Now, the organization keeps up with a 22% increase in transaction volumes without needing to add more staff. Fast setup – through what they describe as Billtrust’s “set-it-and-forget-it” automation – also freed her team from time consuming implementation and maintenance.

“Thanks to Billtrust, we’ve been able to focus on the right metrics, redeploy staff into higher-impact roles, and do more with less – all while improving performance.”

Director of Credit & AR at a leading distribution company

Beyond operational efficiency, team morale has elevated as employees have broadened their skillsets in new roles. Overall, stronger metrics and clearer visibility proved Billtrust’s value, earning the AR team greater support from executives and the board.

Continuing the Upward Trajectory

While the company is seeing major gains in productivity and faster billing cycles, they also get better visibility. Billtrust’s payment analytics turn insights into actionable intelligence, helping the team proactively identify and improve areas where poor remittance data slows the speed of financial reconciliations. Leadership describes this as a customer experience win as much as it is an AR win:

“Our eyes have been opened – now we can see which payments are most troublesome. Helping our customers improve their remittance helps everyone. If we can’t apply a payment, it still shows past due, which can hurt client credit scores. Better payments help the whole relationship.”

Director of Credit & AR at a leading distribution company

The company continues to eliminate manual work and strive for exceptional customer experiences. Electronic invoices and eDelivery rates play key roles in those efforts. For top-tier customers, this means being able to submit invoices quickly through their clients’ unique AP portals. Because the Billtrust AR automation platform is integrated with 260+ AP portals, this process is effortless, eliminating tedious manual efforts for the team. “We’re still working upward in our trajectory to greatness, and we have the right partner to get us there,” she added. “By the end of year, Billtrust will be the most significant third-party relationship that we have.”