Fee-For-Service

Improving Fee-For-Service Relationships

In today’s increasingly complicated supply chain, Fee-For-Service contracts are a powerful tool for maintaining distributor relationships. Fee-For-Service contracts are used to acquire data, manage inventory, and gain greater visibility into who’s buying your products. However, most companies do not have the infrastructure to manage payments for these vital relationships.

Fee-For-Service contracts are complex and difficult to manage. At the same time, they must be managed quickly and efficiently alienating valuable partners. Without a service fee system, companies run the risk of overpayment or making inaccurate payments that will reduce the effectiveness of the Fee-For-Service relationship. Even worse, companies without a Fee-For-Service system risk falling out of compliance with government regulations and reporting.

Model N Fee-For-Service

Model N Fee-For-Service solves these problems by automating service fee management processes — including creating and managing service fee programs per contract, calculating and managing fees as they accrue, setting up payment packages, and accurately calculating payments based on incoming sales data.
The software ensures accurate calculations, eliminating errors and potential overpayments by incorporating and validating incoming requests against fee programs and contracted terms. It reduces processing time and enables timely payments. It ensures compliance by providing full auditability and management of business processes. It also mitigates risk by making sure that payments are paid only after proper review and approvals.

Delivering Faster, More Accurate Payments

Model N Fee-For-Service handles all the key elements of Fee-For-Service programs — including qualifications, benefits, and timeframes. Upon implementation of a contract, payments are automatically scheduled and tracking is initiated. Any subsequent contract changes automatically update the Fee-For-Service programs as necessary — with no manual intervention required.

The analyst is proactively notified when a payment is due to be processed and is presented with a prioritized to-do list of all payments requiring attention. Workflow simplifies the process of obtaining the necessary approvals on payments due. Notifications remind managers if a payment is not finalized within the required timeframe. The software is linked to back-end financial systems to ensure accurate and timely payment processing. If adjustments are needed after a payment has been made, reversal and adjustment capabilities allow original payments to be backed out or reapplied against a new payment.

Fee-For-Service at a Glance