Context & Objectives

A major health insurer was experiencing a critical bottleneck in working capital due to a high volume of overdue accounts receivable. This liquidity constraint directly impacted the organization's ability to fund strategic initiatives. The client engaged Agilytic to diagnose the root causes of payment delays and to implement a strategy for accelerating recovery speeds.

Approach

Our intervention was structured into two distinct phases to ensure evidence-based decision making:

• Diagnostic Segmentation: We began by conducting a rigorous segmentation of the debtor book. This analysis challenged internal assumptions regarding customer behavior, clarifying the actual drivers behind bad debt and late payments.

• Optimization and Testing: Leveraging these insights, we designed and oversaw a systematic A/B testing program. This phase experimentally validated the optimal combination of communication channels, messaging, and timing for various debtor segments to maximize recovery rates.

Results

The engagement delivered both strategic clarity and measurable financial improvement:

• Strategic Prioritization: The deep-dive analysis provided a clear hierarchy of late payment drivers, allowing the client to prioritize recovery initiatives for maximum ROI.

• Capital Efficiency: The implementation of data-driven communication strategies resulted in a double-digit percentage improvement in the client's working capital position, significantly enhancing liquidity for future investment.