Categories: Industry articles

Can AI boost collections? Real-life case

Artificial intelligence is rapidly proving its value as a driver of financial health in the utility sector. Beyond automation, AI enables smarter, data-driven decisions that directly impact profitability.

One powerful example lies in the collections process: by analyzing usage and payment behavior, AI can identify high-risk accounts and guide targeted recovery efforts. As the number of service disconnections increases, along with the strain on field crews, AI-powered automation offers a way to maximize recovery while minimizing operational burden and cost.

One of our customers successfully overhauled its collection strategy using AI and automation. They shifted from a premises-based to a customer-based segmentation model to better prioritize accounts with high-value debts. The company automated key activities like debt analysis, work order creation, and closure. By integrating billing, payments, and field service, they enabled real-time cancellation of shut-off orders as soon as a payment was received, eliminating unnecessary site visits and improving resource deployment.

The results were substantial: 100% of the manual effort for collection analysis and assignment was eliminated, while the effort to assign or cancel work orders dropped by 66%. Unassigned shut-off orders fell from 53% to 22%, and the company saved up to $1 million in 2024 by avoiding unnecessary disconnection activity.

AI is not just a tool for efficiency; it’s a strategic lever for cost reduction, revenue protection, and smarter operations.

Go beyond the success story. You've seen AI's power in action, but implementing technology without a robust strategy can lead to significant setbacks. Ensure your AI investments pay off.

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