- Institute a strategic and automated approach to cash collections
- Leverage credit data for risk-based collections
- Embed and manage risk policy across the enterprise
- Segregate disputes from the collections process
- Manage bad debt reserves at the customer level
Five Best Practices for Effective Credit & Collections Management
The largest asset on most companies’ balance sheets is their accounts receivable (A/R) and the goal of the credit and collections department is to manage this asset through the proper evaluation of customer risk and the timely collection of outstanding invoices.
The following five best practices can help organisations achieve this goal: