I think I've identified four different types of credit account person. Each has their own challenges and priorities which influence how they go about getting and using financial information for the good of the business.
1. The Ambitious Credit Account Person: “I need to provide more strategic direction and add value to other departments with the company.”
Chances are they’re looking to climb the job ladder, it’s about taking actions that get noticed (in a good way) and impress the boss. How about getting full reports on all the prospects you’re currently chasing or monitoring your competitors for credit or filing changes?
2. The Under Pressure Credit Account Person: “I need to find new ways of managing costs and maintain performance.”
Most businesses are keeping an eye on costs with an increased pressure on all of us to do more with less. Managing the sales ledger, invoicing, payment chasing, distribution management, staff demands and you want me to run credit checks with our current supplier!
3. The Frustrated Credit Account Person: “My current system is not providing what I need in terms of options, information and functionality.”
Must be awful to be in a job where you don’t have the tools to do the best job you possibly can. With suppliers and customers being a bit more cautious, there is a need to increase the amount of credit checks that you run. Even if it’s somebody you have dealt with for a long time, businesses change, people move on and we’re only as good as the people we employ.
4. The Relaxed Credit Account Person: “I don’t think we need to change anything, we’ve always done it this way.”
Great I guess if you’re business is static and doesn’t really change much but in reality, if credit scores are changing then the risk to your business is changing.
So which one you, or more interestingly, did I forget somebody?