Smart Controllership: Cloud Credit Control Software For C-Suite Executives
CLOUD CREDIT CONTROL SOFTWARE
The need for sophisticated cloud-based credit control mechanisms has been on the rise, with organizations wanting to optimize their Order-To-Cash processes. But determining the right system for credit control is no easy task. The software needs to be able to accommodate the unique needs of businesses and be tailored to their credit performance goals. As stress around cash flow and liquidity increases due to the COVID-19 pandemic, this solution needs to cater to variety of considerations while optimizing cash flow.
An effective cloud credit control software should provide comprehensive solution that covers all aspects of the Order-To-Cash process from assessing customer?s creditworthiness to selecting the right credit terms, invoicing, and collecting payments. Throughout this process, the software should also send intelligent, tailored notifications to customers for payment reminders.
Below is step-by-step guide for executives on how to make use of cloud credit control software to optimize their order-to-cash process and benefit from an efficient control system with minimal overhead.
Step 1: Evaluate the Customers
The first step for any credit control system is to evaluate customers? risk levels. This can be done by obtaining copies of their credit reports and assigning predefined credit iscore categories to each customer. The software should also be able to track how customers were given credit and how much, so that changes can be made in the future if necessary.
Step 2: Select Credit Terms
Once the risk level of the customers has been determined, the next step is to choose an appropriate payout terms and discounts. This should be based on the goal of optimizing cash flow and liquidity, while taking into account the risk level. In some cases, customers may be offered special payment terms or discounts, which need to be managed in the system.
Step 3: Send Invoices
The software should facilitate automated and customized invoicing. This allows customers to have clear and concise view of their orders and payment history. Furthermore, the ability to set payment reminders within the system not only reduces the risk of default, but also enhances the customer experience.
Step 4: Monitor and Collect Payments
The next step is to monitor payments and collect them in timely fashion. For this, credit control software should provide tracking tools that can be used to keep tabs on outstanding payments. With this system, users may then set customized automated payment collection processes, allowing for smoother and more efficient collection process.
Step 5: Review the Results
In the fifth final step, the user should review the results of the credit control system to assess its effectiveness. It is important to regularly review payment trends and past successes, in order to ensure the system is in line with performance objectives.
Conclusion
Cloud credit control software is an effective tool for C-Suite executives who are looking to optimize their Order-To-Cash process while reducing the risk of default payments. This type of software provides comprehensive solution that covers all aspects of the order-to-cash process, while facilitating automated invoicing and payment collection. With the step-by-step guide outlined here, it is now possible for executives to make use of this software and leverage its advantages for maximum benefit.
