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FSC's evaluations of company impacts focus on payment practices. FSC first developed the application of "net back" analysis to all utility credit and collection activities. "Net back" examines the net revenue generated by a practice, taking into account the dollars subject to collection, the proportion of dollars collected, and the costs of collection. FSC's customer impact model develops a measure not only of the cash paid by a customer, but a separate measure of: (1) prompt payment of bills; (2) regular payment of bills; (3) complete payment of bills; and (4) continuing payments (through contribution to fixed costs). FSC's process evaluation relies on activity-based management principles. ABM principles help program administrators identify the resources devoted to generating particular outputs. This informs both cost and quality control decisions. FSC's performance evaluation looks not only at the outputs of a program, but evaluates the results of the program as well. FSC's performance evaluation helps program administrators define objectives, measure those objectives, develop and report data on those measurements, and process the data once obtained. FSC's work has found that all utility credit and collection initiatives, low-income or otherwise, can be evaluated using its impact, process and performance models. |
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