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case study

Background
Company A: a supply chain management company. Has a
turnover of £40m and 250 employees. Terms of trade are net monthly.
3,000 live accounts (individuals & companies), high volume, low value transactions, working across 3 computer systems due to previous acquisitions.

Periodic evaluation can be offered to ensure that as the business evolves so do the Credit Management practices.

Contact APP Credit Management today…

Issues:High Days Sales Outstanding (DSO) of 90 days and loss of
business due to unhappy customers

Objectives: To maximise cash flow, minimise bad debts
and improve customer relations
Options: Allow situation to continue and deteriorate
Or
Engage APP Credit Management

APP Action Plan: To identify main issues / potential reasons for
high DSO. To identify cause of increased DSO ie. high volumes
of queries.

Structure Action Plan: Assess debtors ledger Review existing
processes & procedures Review current strategy for collections
Cross functional computer systems Formulate Credit Management
health check report

Recommendations: Through the health check report Management
selects which recommendations they wish to implement APP
implements management’s chosen recommendations APP evaluates
outcomes Make adjustments if required and offer further suggestions
for the future.

Tel: 0795 170 8028 • enquiries@appcreditmanagement.co.uk