Chargebacks

Eliminating Revenue Loss on Indirect Sales

Given high volumes, time pressures, and issues with data cleansing, managing chargebacks is a challenge for life science companies. A recent industry survey revealed that over 50% of companies felt they might be overpaying chargebacks. Data difficulties, manual operations, and uncertainty on price lead to high costs, revenue leakage, and potential Sarbanes-Oxley compliance problems.

Model N Chargebacks

Model N Chargebacks solves these problems by automating the chargeback lifecycle — including validations, error correction, approvals, payments, and adjustments. The Model N Chargebacks application eliminates errors and overpayments by ensuring the accuracy of chargeback processing, preventing revenue leakage. It also reduces the administrative burden while improving quality.
It ensures regulatory compliance by providing full auditability, management of business processes, and risk mitigation strategies, such as ensuring that chargebacks are paid only after appropriate review and approvals.

Faster, More Accurate Chargeback Processing

Model N Chargebacks improves speed and accuracy at every step, beginning with smooth, repeatable data importing. The Model N Data Manager toolset allows administrators to import chargeback requests directly or receive them via EDI or other mechanisms. Wholesaler-specific file formats are kept in the system, allowing recognition of incoming data without manual intervention. If a wholesaler changes the way information is sent, the system can “learn” so that no action is necessary for future submissions.

Once data is received, the software uses an extensive library of validations to assess data quality. IT automatically corrects errors, such as filling in a missing or incorrect contract number. Via a user-friendly interface, the solution allows lines to be edited singly or in batches. Once errors are fixed, it generates credit memo requests. Approval workflow can be configured to run when claims reach pre-determined thresholds. To ensure timely processing, the software is linked to back-end financial systems.

An analysis and reporting module provides wholesaler reconciliation reporting together with configurable reports and analysis to improve the day-to-day performance of the chargebacks department. If adjustments are needed, the software allows lines or entire submissions to be reversed or resubmitted manually. Additionally, it will automatically resubmit lines when backdated changes are received (e.g., when it receives a change in customer pricing).

Chargebacks at a Glance