More than 90% of Credit Directors admit that their biggest challenge lies in mitigating credit risk without impeding revenue growth. To achieve this elusive balance, credit directors at Fortune 1000 companies including Dr. Pepper, Air Products and Danone are leveraging automation for credit management with the aim of:
- Increasing account coverage: Automating credit scoring for low-value, low-risk accounts, so that credit analysts may focus on high credit risk accounts.
- Revising credit limits based on customer behavior: Determining credit reviews based on payment behavior to reduce credit risk and ensure accounts are assigned appropriate credit limits.
- Revising credit limits based on external flags: The credit limits for most accounts are reviewed yearly or bi-annually, without taking into external factors including revised credit ratings. Companies are leveraging automation to flag an account for credit review if any external flag, including a change in credit rating, is raised.
Download the PDF below for further details on how Fortune 1000 companies are leveraging automation for a better credit review process and improved credit management.