UtilityScore
Increased credit losses, rising DSO, coupled with human resource constraints, have driven utilities to search for new technology to improve collection processes. The industry is looking for better risk management tools to help them collect smarter and faster. PredictiveMetrics’ (PMI) UtilityScore for Collections enables you to collect more and become more efficient. UtilityScore has helped leading utilities accurately prioritize dunning strategies, outbound dialing strategies, field visits, and deposit requirements based on risk rather than how much money they owed and the age of the account.
UtilityScore identifies which residential, small business and commercial accounts are going to pay on a timely basis or self-cure, even if past due, and which accounts are likely to become seriously delinquent. Knowing and using the probability and odds of the occurrence of serious delinquency or write-off enables you to develop a risk-based collection strategy to work the right accounts. By using this methodology, you can optimize final notices, field visits, collection calls, and letters while reducing costs, improving profitability, and increasing customer satisfaction.
UtilityScore is an empirically derived multivariate statistical model that leverages your internal accounts receivable and collection performance data as well as other predictive information, supplied by PMI. Internal performance data is proven to be a much more powerful predictor of risk than a model based merely on external bureau data. UtilityScore is designed for electric, gas, and water companies for both residential, small business, and commercial accounts
UtilityScore Outputs
Most credit scoring models assess the risk of a company by delivering a single data variable as an output of the model. UtilityScore goes well beyond that by delivering eight (8) data variables each month on each scored customer that helps you determine the risk of the customer, the dollar value of your risk as well as telling you why your customer scored the way it did. UtilityScore is typically delivered in a monthly scoring process and the data outputs are available to the users in both granular and report format though our hosted web application ScoreMiner or through a data file delivered through secure Internet FTP transfer.
UtilityScore FREE Validation Analysis
To prove to you that PMI’s UtilityScore can provide a better analysis of your credit risk than any other method, PMI will gladly perform a FREE “UtilityScore Validation Analysis” based on your AR data.
PMI’s analysis compares the UtilityScore predictions to the actual results and provides you with various outputs that let you know just how well UtilityScore did and what you can expect if you implement UtilityScore. Are you currently using another type of scoring? If you provide PMI with the scores from your current provider, we will be happy to provide you with a “Champion–Challenger Analysis” to show you how much more predictive UtilityScore is over your current solution.
Benefits of UtilityScore for Collections
- Reduces DSO and Write-Offs
- Payment Behavior Specific to Utilities
- Optimizes Final Notices, Collection Calls, and Letters
- Improves Customer Satisfaction
- Minimizes IT Resources, No Software Required
