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In our experience, we find that law firms generally experience a similar set of common challenges and costs tied to inefficient billing and collections practices. These can be quite significant — at some firms, we have seen profitability drag exceeding 6%.
This is a cost no firm can afford; and to that end, the following offers a blueprint for transforming billing and collections consisting of four "Invoice to Cash" opportunity areas:
Resource management and efficiency issues all relate to how firms allocate, coordinate and manage staff responsible for billing and collections. Problems and challenges that arise often include poor firm-wide recovery rates, resource-level issues where realization achieved by specific individuals is too low compared to firm benchmarks, or there is a skill or experience gap.
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