Settle distributor claims faster with evidence for every rupee
A RUSA case study for consumer goods and distribution teams, connecting trade scheme definitions, distributor claims, secondary sales, credit notes, and approvals for distributor claims and scheme settlement.
Claims settled within target (%)
Claimed versus eligible value variance (%)
Median claim settlement time (days)
Duplicate claim rate (%)
THE CHALLENGE
Claims pile up because eligibility cannot be checked quickly
Stock not visible
Closing stock is reported irregularly or not at all.
Static norms
Stock norms do not change with seasonal sales velocity.
Fast-mover gaps
High-velocity SKUs run out while slow SKUs pile up.
Ordering by habit
Primary orders follow last month's quantity rather than need.
THE SOLUTION
Claims Validation And Settlement Framework
Scheme rules
Collect daily or weekly closing stock from every distributor.
Velocity-based norms
Set norms from recent secondary sales velocity and lead time.
Gap identification
Compare stock with norm for every SKU and distributor.
Order suggestion
Show suggested primary quantities for sales team review.
THE APPROACH
Scheme Definition Register
Standardise closing stock submissions and track missing reports.
Sales Velocity Calculation
Calculate rolling daily secondary sales by SKU and distributor.
Norm Recalculation
Recalculate days-of-cover norms with lead time and seasonality.
Below Norm Alerts
Flag claims that repeat a distributor, scheme, and period already submitted.
Approval Trail Capture
Keep approver, date, and reason for every accepted, reduced, or rejected claim.
Settlement Ageing Review
Report claims pending credit notes beyond the agreed settlement period.
THE IMPACT
Faster validation
Claims could be checked against rules with supporting sales.
Claim accuracy
Differences between claimed and eligible value could be visible.
Distributor trust
Settlement status could be shared with distributors transparently.
Audit evidence
Each decision could retain its approval trail.
Controlled review
Authorized teams could review unsupported claims, overdue settlements, and scheme payouts above eligible value, with source evidence retained beside each review case.
Measurable evaluation
A pilot could establish baseline values for claims settled within target (%) and assess changes after approved actions. Descriptive results alone would not establish causality.
Explore Distributor Inventory And Stock Norms
Work with RUSA Analytics to connect distributor closing stock, stock norms, secondary sales velocity, and pending primary orders and create a governed workflow to review distributors below stock norm on fast movers or holding excess slow stock. Start with a scoped concept or pilot and agreed success measures.
MORE WORK
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