Survey Results

The current consumer debt situation has become like a whirlpool. Increasingly, customers who were previously at a safe distance from trouble are being dragged into difficulties.

The situation where households who had previously been paying customers may now be propelled into debt is a concern for utilities, not least because companies are likely to hold only basic data for these customers. Issues like this, and other consequences of the growing debt problem, will present a significant test of water companies' operations as we look beyond PR09.

Echo Managed Services asked Accent to talk to income and collections managers within the water industry and explore how policies and practices will cope with the debt problem beyond PR09.

Summary

Accent's research for Echo examined four key areas of best practice in revenue management and collection: technology, processes, customer data and people. The research shows that, whilst the industry manages much of its collection and revenue management activity extremely effectively, there is no room for complacency if they are to meet the challenges beyond PR09.

It's clear from the discussions we had that water companies are looking to take advantage of more sophisticated technology and adopt some of the elements of best practice from other sectors. There is a recognition that, before this can be done though, the right rules and fundamental functions need to be in place and working properly.

One area on which a great deal of focus is being directed is that of the quality of data; in particular, the processes use to gather and cleanse the data and the quality of the management information which is then produced from it.

Historically, data gathering was confined to name, address, telephone number and whether the customer is measured or unmeasured. Water companies have recognised the need to change this. Most now are either putting in place or have had in place for some time an approach whereby each contact with a customer is taken as an opportunity to validate or update their information. Such an approach will be essential in coping with the challenges of the future.


Find out more about the data challenge and also learn about the findings on processes, systems and people in Echo's report on how water companies are preparing for the debt problem beyond PR'09. Utilities can receive a free copy of the report on the results of the survey. Register your interest in receiving the report by completing this form.

Find out more by downloading Echo's brochure, speak to Gillian Fletcher on 0845 12 12 122, or send Gillian an email.