Direct Op costs savings worth 2 pc, claims Kale

MUMBAI, INDIA: As per what is shared in a press note, Kale says its service helps airlines recover upto  two per cent of their Direct Operating Costs. Kale Consultants Ltd, a technology solutions provider to the Airlines, Airports, Logistics and Travel (AALT) industry, announced its Direct Operating Costs (DoC) Payables Audit service as a part of its Airlines financial management solutions portfolio. DoC forms around 50 to 60 per cent of an airline's overall cost structure, hence it is crucial for airlines to audit and exercise control on these payables.

Commenting on the new service Neela Bhattacherjee, Head, Airlines SBU said "High transaction volumes and absence of a proper contract management system, makes it difficult for airlines to verify vendor invoices against

services delivered. Non-automation and non-availability of operations data at a single source makes it more challenging to conduct invoice reconciliation. This leads to leakages in the space of direct operating

costs. Kale's DoC Payables audit helps cash-strapped airlines to identify recoveries and prevent future cost leakages."

"DoC Payables Audit is a specialized service delivered through a robust payable audit framework which overcomes many of the limitations mentioned above. This helps airlines plug leakages in vendor payments effectively and

improve bottom-line."  the company states.

Kale provides this service from its Managed Process Services (MPSR) division. It employs a dedicated team of audit experts who are IATA certified professionals with hands-on training on Kale's audit framework. A triple-filter quality check ensures that airline clients receive accurate payables audit reports which provide complete cause-analysis along with information filter to the most granular level.