Novelis
 

Industry
Manufacturing

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Novelis Case Study


Quote

“We started by centralizing contracts but quickly came to see the real power of this solution. Pramata helped us realize the end game when we were still at the beginning.”

- Chris Courts, Vice President and Deputy General Counsel


Executive Summary

Novelis recognized a need for greater visibility into key contract terms and a higher level of data quality. The company’s legal leadership sought a solution that would eliminate silos of incomplete contract data—setting the stage not only for essential compliance and risk management initiatives, but also for ongoing strategic decision support.

     ✓  Improved internal controls and compliance

     ✓  Improved confidence in revenue recognition process

     ✓  Increased negotiation leverage for more profitable business relationships

     ✓  Improved payment terms for increased net working capital

 

Challenges

  • Decentralized and non-standardized approach to customer and supplier contracts

  • Contract silos negatively affected deal negotiations and created unmanaged potential risk

  • Sales team confusion led to internal competition for customers

  • Fragmented legal review of sales and procurement agreements

  • Company was transitioning from GAAP to IFRS accounting standards

 

Solution Benefits

  • Ten million pieces of data collected, cleansed and organized into a single, centralized system

  • Ability to perform apples-to-apples risk analysis across the company’s relationships

  • Improved legal and finance team collaboration ensures consistent, standardized terms for pricing, volume and liability

  • Access to clean, accurate data strengthens internal controls and secures regional office compliance

  • Increased negotiation leverage for commercial teams results in more profitable relationships

  • Accelerated migration from GAAP to IFRS accounting principles, and laid long-term framework for revenue recognition compliance and flexibility

 

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