AvGroup Interline Billing Recovery (IBR)
Service Description/Summary
Fact: Interline over billings are a
reality of the airline industry. AvGroup has assisted airline clients recover millions
of US Dollars and Euros as a result of AvGroup services and we are confident
that our staff can assist the airline client in recovering monies resulting
from those over billings.
AvGroup provides a service, with no up-front cost to the airline
that reviews the airlines Inward (Accounts
Payables) Interline Billings that the airlines Revenue Accounting
department has already reviewed and accepted as accurate. IATA's Clearing House
allows a 6 month "window of opportunity" for rejections and
counter-rejections between interline
For a brief overview of AvGroup
services please visit the following link:
AvGroup is able to work in 2 formats with airline clients: (a) with data
(IDEC, BSP and the airlines own sales files) that is uploaded to AvGroup’s
web-based technology, to then validate and prorate the corresponding over
billings, or, (b) the airline client sends by courier (at AvGroup
expense) the "accepted" invoices and documentation to the AvGroup
Lima, Peru BPO center for the month(s) to be reviewed and must provide access
to the airlines’ Revenue Accounting system to review images of documents to
then validate and prorate the corresponding over billings.
http://www.avman.com/IBS_Procedures.htm
Once the airlines interline partner
billings have been reviewed, all RJMs (Reject Memos) are prepared by AvGroup (RJMs can either be batch
printed by the airline of printed by AvGroup and couriered
to the airline at AvGroup cost) on a monthly basis
for the airline to process via the ICH for billing what is rightfully the
airline’s revenues.
AvGroup client history documents the "finding" anywhere from 15
to 35% of revenues from the documentation reviewed and Counter Rejects are less
than 3%, which demonstrate the high efficiency of the IBR service.
There are very little human resources required
on the outset to implement the service, and, even less on an ongoing basis. AvGroup
provides the airline staff with real-time access to the online system giving access
at any time to review the work in progress. The system provides the airline
with statistics and reports to review the rejection reasons so that they may
either correct internal processes or inform their interline partners of the
billing errors to improve revenues.
Documents Required to Implement an
Agreement
1. Non-Disclosure and Confidentiality Agreement
(NDA).
2. Scope of Work and Engagement
Agreement.
3. Data File Layout.
Information required from the airline client
1. How many SPA's does the airline
have?
2. What is the average monthly $ amount
of the airline Inward Interline Billing?
3. What is the average monthly volume
of documents/coupons of Inward Interline Billing?
4. What is the average monthly
percent of rejections on the 1st revision/Prime Billing? (AvGroup’s 2nd
revision service would review all approved and accepted coupons).
5. Does the airline process interline
in-house or use an outsourced service?
------------------- o -------------------