Interline Billing Revenue (IBR) Recovery Service

 

Business Process Outsourcing (BPO)

Operational Procedures

 

AvGroup offers Airline clients a BPO of their Inward Interline Billings, either on a 2nd revision basis (Audit/Match Billings) or 1st revision basis (Prime Billing) and produces actual Reject Memo’s (RJM’s) on behalf or Airline clients. Airline client may outsource completely their Inward Interline processes and concentrate on their Outward Billings (account receivables). The IBR service has no upfront fees and is success-based providing a win-win scenario for Airline clients. If AvGroup does not recover or find over-billings from the Airline clients’ interline partners, there is absolutely no cost to the Airline. A small investment of time and resources by the Airline client is well worth the investment as AvGroup has never failed to recover revenues on behalf of its Airline clients.

 

AvGroup provides Airline clients with access to AvWit’s Interline Billing Solution (IBS), a sister company, and offers complete transparency of its work to our fully integrated, web-based and real-time, interline solution to demonstrate all the required reports and statistics necessary to improve the interline processes.

 

In an effort to provide the most flexible implementation of the IBR service, AvGroup offers the 3 operational procedures. AvGroup’s revenue accounting analyst must first upload the Airline SPA’s in IBS Prorate Engine in order to prorate correctly interline agreements. AvWit’s IBS provides the AvGroup analyst with all the Factors & Provisos, RADTs, IROEs, XRATE, ATPCO, GDS access under a single integrated platform to improve our abilities to correctly prorate and validate corresponding Airline clients’ interline revenues.

 

Following are the operational procedures in order of effectiveness:

 

  1. Data Level

This is the most efficient manner to process and validate interline data by combining the Airline sales information with the IDEC files. It provides better use of the AvWit IBS solution and provides more productivity of the AvGroup analyst required to validate correctly the interline processes. It also provides a larger universe of the interline data increasing the potential to find over-billings from interline partners.

 

-          Data to include information in IDEC files plus sales information from ARC, BSP and “own” sales (2 options - see 1-A and 1-B below).

-          Data is submitted by Airline to the AvGroup’s FTP site with corresponding User ID and Passwords provided.

 

AvGroup offers two options as follows:

 

1-A: Consolidated File

 

a)      AvGroup provides a file layout that combines all the required data from the IDEC, BSP/ARC and “own” (internal) sales.

o        Note 1: Airline may require a one-time development to interface (“match”) sales data with the IDEC files.

o        Note 2: Consolidated file excludes all RJM’s performed by airline during their Prime Billing process.

 

                   b)      AvGroup ships/couriers Rejection Memos and documents to Airline at the end of each billing month.

 

1-B:        Multiple Files

 

a)                Airline client to submit IDEC, BSP/ARC and “own” (internal) sales in multiple files in established formats.

 

b)                Airline to submit a file listing all coupons rejected (RJM coupon list) by airline during their Prime Billing process.

 

c)                 AvGroup ships/couriers Rejection Memos and documents to Airline at the end of each billing month.

 

FTP Data
 
          Operational Flow:

 

 

 

 


Notes: The above procedures are cost effective and reduces shipping cost between Airline and AvGroup. AvGroup ships Airline all RJM’s at the end of each billing month with corresponding documentation or Airline “batch” prints RJM’s from AvWit’s IBS and submits to corresponding interline partner. Minimal shipping cost incurred.

 

  1. Image Level

When data is not readily available, AvGroup can initiate the service by having the Airline provide access to images of coupons (both e-ticket and paper) to validate and prorate correctly the interline partner billings. This procedure offers a manual validation and prorate of the Airline Interline Billings as invoices must still be shipped between Airline and AvGroup. AvGroup analyst will print the image of documents to substantiate RJMs.

 

a)      Airline to provide access to images of e-tickets and physical (paper) coupons via their revenue accounting system.

 

b)         AvGroup Revenue Accounting Analyst to review images for validation and prorate purposes.

 

                   c)       Airline client ships/couriers invoices to the AvGroup BPO office on a routine basis.

 

Operational Flow:

Ship Invoices
 

                                     

 

 

 

 

 


Notes: This procedure provides a high volume and a large universe of the Airlines’ interline billings but is less effective as AvGroup Analyst are unable to maximize the utilization of the AvWit IBS, and, increases shipping costs for the distribution of invoices and documents to and from Airline and the AvGroup BPO office.

 

 

All pertinent documents are shipped to and from the AvGroup BPO office as follows:

 

NLG Holdings

Attn: IBR Manager

Calle Jose Galvez 599

Miraflores, Lima18

Perú

Tel. 511-241-1026

          Tel. US 305-870-7553

 

All of the above operational procedures include the preparation by AvGroup and compilation of RJMs to be shipped to Airline upon IATA closing periods (prepared weekly, shipped monthly). Airline to distribute RJM’s to corresponding interline partners.

Powered by