London Travel Solution Limited, is committed to enhancing its operational efficiency and financial management practices. In response to
identified challenges such as payment failures and invoicing delays, our company has developed a comprehensive action plan. This plan
outlines strategic initiatives aimed at optimising cash flow management, streamlining invoicing procedures, improving communication
and collaboration between departments, enhancing supplier relationship management, and refining contract management practices.
The company has developed a comprehensive action plan. The action plan was designed by London Travel Solution Limited to address
Causes Payment Failure
Action Plan
Description
Insufficient Cash flow Management
• Conduct Cash Flow Analysis
• Implement Cash Flow Forecasting
• Optimise Revenue Generation
• Streamline Expense Management
• Enhance Cash Reserve
Management
• Employee Training and Awareness
After thoroughly examining London Travel
Solution Limited’s cash flow, we’ve spotted
different patterns and trends that need
attention. We’ve created strong forecasting
models that consider things like seasonal
changes, market movements, and
expected expenses to predict future cash
flow accurately. To increase revenue, we’re
trying different strategies like
diversification, upselling, and entering new
markets, all supported by dynamic pricing.
We’re also carefully looking at expenses to
find ways to save money through smart
negotiations, revising contracts, and
cutting unnecessary spending. While we’re
focused on saving money, we’re making
sure not to compromise on quality and
service standards. Our main goal is to build
up enough cash reserves to handle day-today needs and any unexpected expenses.
We plan to do this by gradually setting aside a portion of our profits. We’re also
training our employees to understand the
importance of managing cash flow and
their roles in keeping things running
smoothly.
Delays in internal processing of invoices
• Assessment and Analysis
• Implement Automation
• Centralised Documentation
• Optimise Approval Processes
• Performance Monitoring and
Reporting
• Enhanced Communication
Channels
• Regular Reviews and Audits
London Travel Solution Limited undertakes
a thorough evaluation of its current
invoicing procedures to uncover
bottlenecks, inefficiencies, and avenues
for enhancement. Through analysis of
historical data, common causes of delays
can be identified. Investment in invoice
automation software is made to streamline
repetitive tasks such as data entry and
approval routing, while automated
reminders expedite resolution procedures.
Centralisation of invoice documentation
into a unified repository facilitates swift
access for stakeholders i.e Accounts and
finance department of the company,
thereby reducing search time.
Improved approval workflows, delineated
roles, and enhanced communication
channels between departments contribute
to the prompt resolution of issues. Key
performance indicators (KPIs) are
integrated to monitor processing metrics,
with regular reviews and audits aimed at
pinpointing optimisation prospects.
Iterative refinement, driven by feedback incorporation, ensures ongoing
compliance and operational efficiency.
Inaccurate or Incomplete Invoice
Documentation
Standardise Documentation
Requirements
• Provide Training and Education
• Implement Validation Checks
• Enhance Communication Channels
• Establish Quality Assurance
Measures
Develop standardised templates and
guidelines for invoice documentation to
ensure consistency and completeness.
Specify mandatory fields and information
requirements to minimise errors and
omissions in invoice submissions.
Offer training sessions and workshops for
employees involved in the invoice
documentation process to enhance their
understanding of requirements and best
practices.
Educate and train staff members on the
importance of accurate and complete
documentation for financial reporting and
compliance purposes.
Introduce validation mechanisms and
checks to verify the accuracy and
completeness of invoice documentation
before submission.
Incorporate validation tools or software
features to flag discrepancies or missing
information for review and correction.
Improve communication channels
between departments involved in the
invoice documentation process to facilitate
timely resolution of queries and
discrepancies. improvement in communication and coordination strategies. Establish clear lines of communication and escalation procedures to address issues
promptly and prevent delays.
Introduce quality assurance measures to
monitor and enforce compliance with
documentation standards and
requirements. Conduct periodic audits or inspections to assess the quality and accuracy of invoice documentation and identify areas for
improvement.
Lack of communication and coordination
with suppliers
• Supplier Relationship Management
Assessment
• Stakeholder Engagement
• Supplier Segmentation
• Performance Metrics and KPIs
• Technology Integration
• Regular Performance Reviews
London Travel Solution Limited strategic
approach to supplier relationship
management involves assessing current
supplier relationships to identify
communication and coordination gaps,
evaluating their impact on operational
efficiency, and establishing crossfunctional teams to foster collaboration.
By segmenting suppliers based on strategic
importance and performance, prioritising
communication efforts with key suppliers,
and defining key performance indicators,
London Travel Solution Limited aims to
improve supplier performance and
enhance overall business operations.
Regular performance reviews, feedback
sessions, and utilisation of technology
solutions further contribute to informed
decision making and continuous improvement in communication and
coordination strategies.
Inadequate monitoring of contract terms
•Contract Inventory and
Documentation
•Develop Monitoring Procedures
• Implement Risk Management
Strategies
• Implement Risk Management
Strategies
• External Expertise
London Travel Solution Limited aims to
streamline its contract management
processes by compiling a comprehensive
inventory of all contracts, complete with
relevant documentation and key terms. By
centralising contract storage in a secure
electronic data base, the company ensures
easy access and retrieval. Authorised
individuals or teams are designated to
monitor and manage each contract, with
clearly defined roles, responsibilities, and
accountability measures in place for
effective oversight. Potential risks and
issues related to contract non-compliance
or performance are identified, and
contingency plans and mitigation strategies
are developed proactively. Regular reviews
and audits of contract compliance and
performance are conducted,
supplemented by periodic stakeholder
meetings to discuss status and
opportunities for improvement. Seeking
external expertise or legal advice is
prioritised for complex contracts or
specialised areas, and collaboration with
external consultants or advisors enhances
contract monitoring capabilities while ensuring compliance with legal and
regulatory requirements.
Discrepancies between contract terms and
internal processes
• Contract Review and Analysis
• Legal and Operational Alignment
• Regular Contract Reviews
• Risk Mitigation Strategies
London Travel Solution Limited undertakes
to enhance its contract management
practices by conducting a comprehensive
review of existing contracts to identify any
discrepancies between contract terms and
internal processes. Our company aims to
assess their impact on operational
efficiency, compliance, and financial
performance. To bridge the gap between
legal and operational teams, London Travel
Solution Limited seeks to strengthen
collaboration, ensuring that contract terms
accurately reflect operational realities and
are feasible to implement. By establishing
a structured process for reviewing and
aligning contract terms during negotiation
and drafting stages, as well as
implementing regular contract reviews and
audits, the company aims to ensure
compliance with contractual obligations
and identify areas for improvement.
Additionally, London Travel Solution
Limited aims to develop risk mitigation
strategies to address potential risks arising
from discrepancies and implement
controls and monitoring mechanisms to
detect and mitigate risks proactively
Communication breakdown between its
operational and accounts departments
•Cross-Functional Training
• Regular Coordination Meetings
• Leadership Support and Alignment
• Identify Root Causes
• Implement Integrated Systems
London Travel Solution Limited is
committed to improving collaboration and
communication between its operational
and finance departments. To achieve this,
the company plans to provide crossfunctional training sessions to employees
in all departments, enhancing their
understanding of each other’s roles,
processes, and priorities. Additionally,
London Travel Solution Limited will
schedule regular coordination meetings
between the departments to discuss
ongoing projects, budgetary constraints,
and upcoming initiatives, fostering open
dialogue and problem-solving. Senior
management will be actively involved,
ensuring alignment with the importance of
effective communication, and providing
support to address any barriers or
challenges. A thorough assessment will be
conducted to identify underlying causes of
communication breakdowns, and
investment in integrated operational and
financial management systems will
streamline workflows and enhance
communication efficiency through
seamless data sharing.
London Travel Solution is committed to achieving ≥95% of invoices payable to our supply chain across all contracts having been paid
within 60 days of receipt of the invoice.
We recognise that the improvement of the plan needs to continue, and we commit to actioning the plan over the rest of 2024 and into
2025 and will regularly report on progress to our stake holders.
Following achievement, we will continue to monitor supplier payments as a key KPI within our business to avoid any unfortunate possible
situations occurring in the future.
Ahmad Asad Chishti
Director