Question

01/18/20 Be original and use you own words Revenues (Inflows) Does the organization that you work for receive revenue after services are delivered or before? Why do you think this is? What grouping of revenue do you believe the organization that you work for uses (service line, revenue source, etc.)? Why do you think they chose this grouping? Is this a good choice or do you think there is a better option? add your refrence

Answer 1

The organization I work for receives revenues after the services have been delivered to the full satisfaction of the customer. We usually sign a service contract with our customers and then start offering our services based on the contract. Services offered have to comply with all the norms stated in the contract. Once the customer is satisfied with the services, we receive the revenue.

Our revenues segments have been designed based on the services we are offering to the customers. Our revenue segments are therefore: Consulting, technology and outsourcing. The company chose this grouping:

• As out workforce is also aligned as per these three groupings.
• Our cost structure is different in each of these groups
• Our bill rates to the clients across these services are different.
• For accounting convenience
• For tracking the performance across these three key segments