You can significantly improve collection performance by finding ways to diminish the time spent on support activities. By consolidating information, adding communication tools and creating organizational efficiencies you can redirect your time and effort to contacting past due accounts (By David Schmidt, Recovery Advisor, Nov/Dec 2002, P. 12)
Cranking Up Collections
The Key Drivers Underlying Collection
Productivity (By David Schmidt)
Don’t Neglect the Small
Stuff
Tips for Keeping Your Collection Engine Running at Full Power
(By David Schmidt)
Making
the Most of Collectors
A collections staff can have a tremendous impact on a company's cash flow and
its image in the marketplace. But reaping the benefits requires carefully
selecting the players and removing obstacles to the team's success. (By David Schmidt, Business Finance,
July 1999, P.107)
Show
Me the Money!
How do you know you're getting maximum value from collection agencies? A
systematic evaluation procedure can provide solid proof. (By David Schmidt, Controller Magazine,
June 1997, P.43)
8
Pitfalls of Collection Automation
You know that you need to automate your collection system. But do you know how
to do it right? (By David Schmidt,
Business Finance, May 1999, P.46)
Open Your Cash Flow Faucet All the Way
How
Automating Collections Gave Dunlop-Slazenger a Competitive Edge (By David
Schmidt, Business Credit, October 1996)
Speeding
Up Collections
Collection software packages prove that the rewards of automating the
receivables process are a sure thing.
(By David Schmidt, Controller Magazine, December 1995,
P.51)
Deduction
Management:
[Return to Index]
Grappling with the Deduction
Monster
Eight Ways to Keep
Deductions Under Control (By David Schmidt)
Plugging
the Black Hole of Deductions
Although only a small percentage of deduction claims are illegitimate, failing
to recover those sums dilutes profits over time. The key to recovering all
payments you’re due is minimizing opportunities for deductions to occur. (By
David Schmidt, Business Finance, May 2000,
P.47)
Innovations
in Deduction Resolution
All payment deductions are not created equal - some are legitimate, some are
not. Either way, if they're not handled efficiently, deductions can be a drain
on resources. (By David Schmidt,
Controller Magazine, August 1997, P.36)
Beyond
Small Change
Payment deductions can take a big bite out of sales; deduction resolution tends
to eat up substantial resources. (By
David Schmidt, Controller Magazine, March 1996, P.35)
E-commerce &
A/R Management:
[Return to Index]
Credit and Collections Finds a Home Online
Credit
and collection activities are migrating to the Internet. Find out what works best and what products
and services are available online. (By
David Schmidt, Business Credit, October
2001)
Receivables
Management in an 'E' World
What new capabilities should companies look for in credit and collection
managers? Creativity, technology know-how, problem-solving and
relationship-building skills are at the top of the list. (By David Schmidt, Business Finance,
May 2001, P.29)
Challenges Presented by E-Commerce
Before
you move online, you better automate your back office systems because manual
systems are analogous to road blocks on the information highway. (By David Schmidt, Business Credit,
June 2000)
Net
Gain
Credit-related Internet applications help companies automate information flows
and greatly improve the order-to-cash process.
(By David Schmidt, Controller Magazine, August 1998,
P.45)
The
Internet Advantage in Credit and Collections
The Net is more than an economical alternative to commercial credit databases.
It's also a powerful communications tool that can boost the credit department's
efficiency. (By David Schmidt,
Controller Magazine, April 1997, P.27)
General
Credit Management:
[Return to Index]
How to Kill a Customer
Seven Practices Credit and Collections
Needs to Avoid (By David Schmidt)
How Does Your
Organization Measure up?
Nine Critical Success Factors (By David Schmidt)
The Dirty
Dozen: Twelve Ways Credit and Collections Will Be Transformed By a Technology-Driven
World
This article isn’t so much about
technology, but rather how it is changing the management of trade
receivables. With a number of trends
starting to come together, we can expect some dramatic changes over the next
three to five years (By David Schmidt, Business Credit, January 2002)
It
has been a decade since credit pros have had to labor in a down economy. Now is the time to get back to the
fundamentals of good credit policy and to take proactive steps to protect the
value of your receivables portfolio.
(By David Schmidt, Business Credit, May 2001)
Get
Better Mileage for Your Information Dollars
The explosion of business information available over the Internet is making it possible for credit managers to fine tune their information gathering routines and cut costs while at the same time increasing the quality of their decisions. (By David Schmidt, Business Credit, March 2001)
Post-Acquisition
Receivables Blues
Caught up in the hype of a merger or
acquisition, senior executives often gloss over the challenges inherent in
merging A/R portfolios. But problems with receivables can eat into the cash
flow -- and future revenues -- of a newly formed company. (By David Schmidt, Business Finance,
January 2001, P.67)
Developing
Receivables Resourcefulness
Even if you don’t have state-of-the-art receivables software, improvements in
credit and collections productivity are possible. (By David Schmidt, Business Finance, November 2000,
P.49)
The
Softer Side of Credit
Many credit professionals believe that a customer-friendly mind-set results in
long-term, profitable relationships that benefit all concerned. (By David Schmidt, Business Finance,
March 1999, P.31)
Grappling
With the Octopus
While a shared-services approach to credit and collections can save money and
improve performance, some important subjective criteria must be weighed in
before making a final decision. (By
David Schmidt, Business Finance, January 1999, P.63)
Even credit departments with
minimal resources can produce big results. The key is to develop efficient
processes -- and then automate them to the max. (By David Schmidt, Business Finance, October 1998,
P.81)
Terms
of Endearment
An effective credit policy that
benefits both your company and its customers doesn't come easily. It requires
aligning sales and credit toward achieving corporate goals, defining appropriate
risk and addressing a variety of tactical factors. (By David Schmidt, Controller Magazine, April 1998,
P.43)
How
Teams Clean Up Credit & Collections
Including credit and collection staff members on process-oriented teams results
in happier customers, streamlined processes and better collections. (By David Schmidt, Controller Magazine,
May 1997, P.22)
8
Critical Success Factors For Credit and Collections
How to reduce payment risk in your receivables portfolio by upgrading internal
policies and procedures.
(By David Schmidt, Controller Magazine, January 1997, P.41)
The
Credit Tug of War
Should credit be a finance function or should it come under the direction of
sales and marketing? (By David Schmidt,
Controller Magazine, October 1996, P.24)
This is the information age,
and those who do not get maximum value from their information resources are
going to be at a competitive disadvantage.
It is all about linking the islands of information that help perpetuate
functional silos so that everyone in the organization can have easy access to corporate
and customer intelligence. (By David Schmidt, Business
Credit, March 2002)
An
Intelligence Approach to Improving A/R
As an ever-widening stream of data flows into credit-and-collection functions,
companies struggle to organize and leverage the information. Those that extract
intelligence from this deluge reap the benefits of improved accounts receivable
performance. (By David Schmidt,
Business Finance, December 1999, P.73)
Cost-Effective
Credit Investigations
Spending more to reduce debt-default rates isn't always worthwhile. To maximize
profits, businesses must balance bad-debt risk with the many obvious and
not-so-obvious costs of aggressive credit reporting.
(By David Schmidt, Business Finance, June 1999, P.61)
Survival
of the Fittest
Credit managers have a wealth of alternatives to traditional credit reports,
including abundant, low-cost Internet resources. But the reports, which are
evolving to meet varying needs of users, still play an important role. Here's
how to use them wisely. (By David
Schmidt, Business Finance, December 1998, P.41)
Keeping
Tabs on Customers
Industry credit groups provide a collective intelligence on customer payment
habits and financial status, giving their members an edge in identifying credit
risks and solving collection problems.
(By David Schmidt, Controller Magazine, February 1998, P.43)
Tailored
Solutions for Your Credit Information Needs
Credit information no longer comes in a one-size-fits-all package. Companies
can manage their resources better than ever before by using custom-made
solutions to meet specific requirements.
(By David Schmidt, Controller Magazine, December 1996, P.37)
Migrating
to Export Financing
Organizations that develop effective export
financing practices know how to tap banks, government agencies and other
resources to minimize their risks and ratchet up profits. (By David Schmidt, Business Finance,
July 2000, P.63)
You're
Not in Kansas Anymore, Part One
Before jumping into the world
marketplace, credit managers need a guided tour of credit reporting
practices. No two countries or customers are the same, and foreign credit
reports look a lot different than their American cousins. (By David Schmidt, Controller Magazine,
October 1997, P.37)
You're
Not in Kansas Anymore, Part Two
Qualifying a foreign customer's creditworthiness is only half the battle
exporters face. Once you have found a suitable customer, you still have to
structure the sale -- and choosing the best selling terms isn't always
simple. (By David Schmidt,
Controller Magazine, November 1997, P.37)
Applied
properly, technology will dramatically increase credit department productivity
– find out how. (By David Schmidt, Business
Credit, January 2001)
Learn
about the Role Technology has Played in Shifting the Credit and Collection
Paradigm. (By David Schmidt, Business
Credit, October 2000)
Imaging
Is Everything
The ability to view originals of documents such as invoices and delivery
notices from the desktop is helping companies streamline work processes. (By David Schmidt, Business Finance,
September 2000, P.121)
Courting
Automation
Organizations that automate their credit and collection processes to meet
business-to-business e-commerce demands reduce costs, quicken response time and
improve accuracy. (By David Schmidt, Business
Finance, April 2000, P.49)
Three-Way
Stretch
A trio of new tools -- risk analysis, collection/deduction and remittance
processing software -- can expand your receivables reach and maximize
bottom-line profits. (By David Schmidt,
Controller Magazine, June 1998, P.43)
Beyond
Accounts Receivable Software
A/R software has reduced the grunt work in billing and cash posting, but a lot
more needs to be done to achieve maximum efficiency in credit and collections.
There's a wide variety of add-on packages that can take your processes to the
next level. (By David Schmidt,
Controller Magazine, March 1998, P.51)
The
Permanence of Change
Companies are continually redefining and automating the credit function to
streamline operations.
(By David Schmidt, Controller Magazine, December 1997, P.45)
Power
Shopping for Credit Automation Tools
Credit analysis, collection/deduction management and electronic remittance
processing packages are taking the credit and collections function to new heights
of productivity.
(By David Schmidt, Controller Magazine, May 1997, P.29)
The
commodization of receivables requires much more of an investment-like approach
to receivables management (By David Schmidt, Business Credit, April
2001)
Evolving
Species
Trade receivables securitization, which is still in its infancy compared with
securitization of consumer debt, offers companies the opportunity to gain
liquidity and reduce the cost of borrowing. (By David Schmidt, Business
Finance, October 2000, P.77)
Why
Collect When You Can Sell?
Tired of dealing with accounts receivable (A/R) headaches, some companies are
exploring the benefits of selling A/R outright. Exercising that option can
deliver something more than quick pain relief; sometimes, it's a heady economic
move. (By David Schmidt, Business
Finance, September 1999, P.111)
Factors
of Life
Factors have come a long way in providing a variety of cash flow products that
address diverse business situations. Here's how to choose factoring services
that are a good fit for your company.
(By David Schmidt, Business Finance, February 1999, P.67)
A Strategic Approach to Receivables
Outsourcing
If
you are using outsourcing to address tactical situations without having given
thought to the big picture strategic issues, you may be dooming your
outsourcing venture to failure or at least missing out on opportunities to
better leverage your resources. (By
David Schmidt, Business Credit, April 2000)
Beyond
Buck Passing
Companies that treat receivables outsourcing casually are doomed to
disappointment. After all, an outsourcing firm is only as good as the
information you provide. (By David
Schmidt, Business Finance, September 1998, P.45)
Sending
in the Collections Cavalry
Outsourcing firms offer broad experience and a deep knowledge base to help
companies improve receivables - and the quality of service keeps getting
better. (By David Schmidt,
Controller Magazine, September 1996, P.43)
Automation Tackles the Settlement Process
The advent of the Internet
and e-commerce has sparked a great deal of interest in creating seamless
payment systems – find out what is available now and what is on the
horizon. (By David Schmidt, Business
Credit, July/August 2001)
Fast
Cash
Autocash software can substantially improve the efficiency of the
cash-application process by eliminating the need for human intervention in 90
percent of remittance postings. (By
David Schmidt, Business Finance, November 1999, P.79)
Playing
the Information Float
In today's low-inflation
environment, bank lockboxes are transcending their traditional treasury role.
Companies focusing on receivables management find that the lockbox can be a
powerful tool. (By David Schmidt,
Controller Magazine, May 1998, P.69)
Automating
Remittance Processing Shortens the Collection Cycle
Companies that automate remittance processing typically realize a 60 to 80
percent labor savings. Reallocating
those resources, coupled with the reduction in information float when payments
are posted automatically is accelerating collections. (By David A. Schmidt, Business Credit, January 1997)
Powerful
Tools for Faster Collections
Procurement cards and automated payment drafts - which require relatively
little capital, training and integration - are shortening the collection cycle,
generating operational efficiencies and creating customer goodwill. (By David Schmidt, Controller Magazine,
November 1996, P.25)
Score
One for Collections
Risk scoring isn't just for credit approvals anymore. Using internal and
external data to predict delinquent accounts' probability of paying, companies
are making their collection processes much more efficient. (By David Schmidt, Business Finance,
October 1999, P.65)
Reasonable
Precaution
Filing a UCC security statement can strengthen your position as a creditor in
the event of a customer bankruptcy. However, filing can be cumbersome and
costly unless you know how to streamline the process. (By David Schmidt, Business Finance, August 1999, P.45)
A
Delicate Balance
Companies can minimize the chances of late payment or nonpayment by knowing
their customers. Automating data collection and dissemination and a portfolio
approach can further tilt the scales toward lower bad debt and greater
sales. (By David Schmidt, Business
Finance, November 1998, P.71)
The
Credit Insurance Jigsaw Puzzle
Can credit insurance help your bottom line? In many cases, it can, but not if
the policy you end up with is a poor fit with corporate goals and credit
practices. (By David Schmidt, Controller Magazine, July 1998, P.35)
The
Great Game of Credit Scoring
Credit scoring is gaining popularity as a commercial credit tool. Companies
that employ credit scoring models and build the necessary support processes can
hit a hole in one in the credit decision improvement process -- while reducing
costs. (By David Schmidt, Controller
Magazine, January 1998, P.61)
Charlatans
at the Gate
Credit fraud is a growing problem that can sneak up and attack any company.
Understanding your vulnerability and getting to know your customers can
substantially reduce risk. (By David
Schmidt, Controller Magazine, September 1997, P.49)
Riskless
Business?
Most companies insure business assets -- with the exception of accounts
receivable. But there are compelling reasons to insure receivables, too, and
several insurers have placed large bets that you will change your mind once you
learn the facts. (By David Schmidt,
Controller Magazine, July 1997, P.65)
Power
Packed Credit Analysis Software
Credit analysis software that contains portfolio management components gives
credit departments the necessary tools to analyze large and small
accounts. (By David Schmidt,
Controller Magazine, March 1997, P.49)
Divide
and Conquer
Taking a portfolio approach to credit and collections, in which customers are
segmented into logical groupings with common characteristics, such as product
lines or distribution channels, can help reduce risk and maximize profits. (By David Schmidt, Controller Magazine,
February 1997, P.51)