Review current lending & debt management strategies, collection policy & process, adequacy of staffing, information system for tracking & monitoring receivables.
Effective Receivable Management
The methodology includes :
Do a gap analysis and benchmarking with good receivable practices adopted by other companies including early warning and rehabilitation strategies
Put together a revised lending & receivable strategy, portfolio monitoring & analysis, collection process with adequate internal controls
Do a pilot to test before full roll out.
Train all applicable resources on the debt management processes
Setup a relevant MIS and analytics for effective monitoring & review system