Using risk assessment to prioritise accounts receivable collections
Business Problem
In a busy accounts receivable team, knowing which customers to focus collections efforts on is crucial. A well-managed order-to-cash (O2C) process enhances productivity and financial performance. Traditional prioritisation methods include by balance, payment performance, aging buckets, or days sales outstanding. However, these can overlook key information that impacts a business’s ability to pay, including changes in creditworthiness, adverse alerts and late payment indications. But gathering the data to complete a risk assessment can be time consuming and manual.
Product Solution
Access Monitor enables you to continuously monitor the credit risk of customers, with all the information you need in one place. Each customer is placed into one of our eight proprietary risk bucket categories based off data from our global sources.
By filtering your customers by risk bucket category, you receive an instant priority list of which customers to focus your collections effort.
You can also understand the 'why' behind the risk rating by drilling down on each customer's details and using this information to proactively engage with your customers. This can contribute to an improved chance of collection whilst maintaining a positive customer relationship.
Expected Result
Using the Access Monitor risk buckets to prioritise customers for collection can contribute to a seamless collection process. Improve your collection rate, decrease your days sales outstanding and reduce bad debts.
Ready to see how Access Monitor can help prioritise your collections?
Book a tailored demo with our team to learn more.