Harnessing data for revenue assurance
The energy transition has seen the rise in the utility sector as it becomes one of the industries collecting more data than other sectors. As this data is available for decades, even centuries, there exists a ubiquitous paradigm for everyone to extract value from this data. The benefits for business processes in the utility sector are important due to the several siloed data sources that might underpin companywide efficiency. This data is generated by Distribution Management, Outage Management, Meter Data Management, Billing, Customer Relationship Management,
Social Media, or any other system in place.
Choice Revenue Intelligence (RI®) focuses on boosting efficiency of the Revenue Assurance process. Choice is delivering expertise on analytics, machine learning and artificial intelligence by providing a solution that is business process driven and focused on operational excellence in Revenue Assurance.
These benefits are realised across the different stages of this business process execution, either individually or combined, through Identification (leverage all machine learning initiatives for pattern recognition); prioritisation and Selection (execute your own strategy), which is focused on either the customers with higher risk, the customers with higher potential recovery, or a combination of both; work order Execution (optimise productivity of field workers); results Monitorisation (load results in the platform and monitor the main KPIs); and process Improvements (enhance the different dimensions of the business process based on the findings gathered from the different KPIs).
This business process focus is the foundation for the outstanding experience that Choice’s customers are realising and is supported by several use cases that are delivered by Choice RI:
• The prioritisation of field inspections based on the likelihood of fraud and/or the financial impact;
• The identification of business process inefficiencies, either technological (data gaps between metering and billing systems), operational (monitor low performant field inspection teams) or administrative (lengthy auditing processes that ultimately end up in revenue losses);
• Optimisation of ageing meter replacement initiatives leveraging machine learning capabilities;
• The improvement of field workers’ productivity based on geographic selection;
• Customer behaviour analysis;
• KPI monitoring;
• Supporting investment decisions on the network (smart meter rollouts) based on the areas with highest Return on Investment in the shortest timeframe;
• Taking advantage of the machine learning engine that is tailor-made
for the revenue assurance process.
Today, Choice is delivering Choice RI to a growing customer base that includes customers in several countries from Latin America to Asia, reference electricity groups like AES, ENEL, EPM, or TataPower and ranging from small customers (with 300,000 end customers) to big distribution companies (with nearly 9 million end customers).
Notably, Choice RI has been helping Light in Rio de Janeiro, Brazil since 2008, empowering it to have a steady ($40 million in one single year) and continuous (400% increase along the years) growth on revenue recovery. In addition, it has been supporting EPM in Medellin, Colombia since 2016, growing the effectiveness indicator nearly 300% in the last two years and adding 136 GWh to their revenue, which represented more than $53 million in financial benefits until December 2018.
Expanding the boundaries of Choice RI, customers can now benefit from an extended offer in the field of customer service operations for Revenue Assurance programs. These fully complementary offerings are provided by Choice’s strategic partner Smart Energy Water (SEW) and enable customers to combine a Self-Service Customer Engagement platform and a Mobile Workforce Management application with Choice RI.