What is the necessity of automating the Credit Collections Management and Revenue Recovery process?
Outstanding payments due (Accounts Receivables), represent 80% of an organizationís working capital. Improved efficiency gains in collections will have a tremendous effect on the cash flow of an organization. In general, the collections workflow is purely manual and it is difficult to track past Promises to Pay, Broken Promises, Notes and Interactions between the Collections personnel and Customers.
All Customers (Consumers and Corporate), face the Wallet Share Challenge, when paying monthly dues. For the Consumers, they have personal obligations, for example, electricity, water, rent, loans, groceries, etc. For Corporate Customers, operating overhead costs have to be settled monthly, for example, salaries, rent, suppliers, etc.
These obligations have an impact on the Customer on determining which bills have higher priority for settlement. This poses a huge challenge to organizations that render products and services to these Customers, i.e. to pursue and receive payment for the services rendered.
Therefore, the winner is the organization that provides credit, needs to consistently and courteously collect payment for services rendered, from Customers in a professional and efficient manner, which still retains the Customer Relationship in a positive light.