company may be considering using Artificial Intelligence - AI or accepting Cryptocurrencies , recent issues related to supply chain risk , new automated payment processes , or international credit and collections initiatives you may be facing .
Automation
Leverage Automation in the Credit Department . Technology has made a massive difference in the way credit functions are handled . Personal computers and use of e-mail are now commonplace in virtually every credit department , and that ’ s just the beginning .
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Develop and communicate clear goals that are in line with the cash , revenue , and marketing needs of your company . Remember , planning cannot be done in a vacuum ; it is a team effort . Seek out the information you will need to understand your company ’ s business goals for the year and your department ’ s capacity to meet them .
Update computers and make sure the staff gets adequate training on the new hardware and software acquired .
Develop reports that help staff members maximize their time by prioritizing workflow . Continuously be aware of the latest in automation tools that help the credit and collections process .
This will enable you to advise your company on how to leverage new technologies to improve your staff ’ s productivity , provide added performance transparency , and improve results . When given the opportunity , be willing to adapt to and learn how to use new products .
Communication
Focus on interpersonal relationships and general communication skills . You surely need to be adept at selling the value of your department ’ s contribution . Articulate the rationale for a difficult decision .
A key element of credit management is selling what your department needs from others . Be sensitive to the needs of others . Maintain good listening skills , and understand the business needs of those you interact with , and those who depend on your department .
Try to find ways to compromise . Be prepared to explain the reason for the department ’ s policies and procedures but keep an open ear . Work to build , not burn bridges . Expand your network to gain cooperation and trust among other stakeholders and your customers .
Pulse on the Changing Market
There is need for clear understanding of the changing market conditions . Understand how trends are affecting your industry and customers . One question I may pose is how conversant are you with economic and political trends like war in Ukraine and the general increase in the price levels and their effects to customers in general ?
Goal setting
Develop and communicate clear goals that are in line with the cash , revenue , and marketing needs of your company . Remember , planning cannot be done in a vacuum ; it is a team effort . Seek out the information you will need to understand your company ’ s business goals for the year and your department ’ s capacity to meet them .
Measuring
Measure what is important and adapt . Manage performance metrics that support the achievement of your goals . React quickly when meeting your objectives is at risk . If one approach fails , look for alternatives and adapt . One basic way to measure credit activities is to segment key performance metrics . It can also help you identify what may not be working so you can improve
Reporting performance
Keep your management informed of issues that will negatively impact performance results , harm customer service objectives , or require their support . Never surprise your management .
Be Strategic
It is worthwhile to go beyond daily tactical management of the credit and collection function . Develop strategies for managing your portfolio considering the variety of risk characteristics . Plan automation initiatives to address future needs . Determine how best to deploy your staff to maximize department efficiency and manage the company ’ s cash flow and revenue forecasts . Find process breakdowns impacting customer deductions or disputes , then work with others to develop corrective strategies .
With so much on our plates , it can be hard to stay on track and achieve our professional goals . However , by following these examples , you can set yourself up for a successful year ahead .
By improving your skills , building a strong network , and satisfying your customers , you ’ ll be on your way to success ! So what are you waiting for ? Start planning your goals today and see the results for yourself !
Professional development goals are important because they help you stay on track and reach your objectives . They can help you develop new skills , keep up with the latest trends , and learn more about a particular topic or field .
Creating professional development goals is an effective way to organize your learning efforts and increase your efficiency . It is also a good way to reflect upon your progress over time and identify any areas that need improvement .
Wasilwa Miriongi is a Certified Credit Professional currently working as the Managing Director , Del Creder Credit Management Limited . You can engage him on this or related matters via email at : WMiriongi @ gmail . com .