Business
Challenge:

  • The client is a technology giant and the worldwide leader in software, services, and solutions. They rely on their partner organizations across the globe to promote, expand, and retain their business.
  • The client runs a Skills Initiative program to promote the sales of their cloud-based products by providing training to customers across the globe through partners. They pay subsidies to partners every month based on the volume of training activities reported.
  • A huge surge in the volume of training activities was observed towards the end of the fiscal year. The client paid out a huge subsidy to Partners for the reported training activities.
  • The paid-out subsidy was way higher than the estimated budget.
  • This called for an audit of the training data reported by partners to check for any inconsistencies.

TurnB Approach


Decided on key areas to conduct the audit

  • Identified areas with a potential for data inconsistencies.
  • Checked for inconsistencies in each identified area by analyzing training data reported by partners.
  • Shortlisted key areas with significant inconsistencies to perform an audit.

Conducted a pilot study

  • Selected the top 5 cases of inconsistency from the shortlisted areas and decided to perform a sanity check with partners.
  • Reached out to partners and collected additional documentation to support the authenticity of the training conducted.
  • Validated cases based on the documentation and authorizations provided by partners.

Extended audit and calculated subsidy impact

  • Discussed the outcome of the pilot study with stakeholders.
  • Decided to extend the audit to the top X cases, covering 50% of the financial impact.
  • Reached out to partners representing the top X cases.
  • Confirmed unauthorized ones based on supporting documents from partners
  • Calculated the total subsidy impact for unauthorized trainings.
Approaches background
Infograph

Implications

  • Confirmed an over-reporting of trainings worth $1 million in subsidy impact.

Clawed back $500K from partners (50% of total) from payments approved in the current fiscal year.

  • Identified a few data discrepancies with the client’s internal data, which led to the development of a more reliable internal data source.
  • Additional automated checks and business rules were put in place, developing a more robust validation mechanism.
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