Accounts Receivable and Credit Policy in Receivable Management

This DIXONTECH course provides a deep understanding of accounts receivable management and credit policy formulation. It highlights the connection between credit strategy, risk control, and customer relationship management. Participants will learn to design, implement, and monitor credit policies that enhance liquidity, minimize defaults, and maintain a healthy balance between risk and profitability. The training includes analytical tools, policy frameworks, and real-world case studies to strengthen financial decision-making.

TRAINING TOPICS

• Structure and objectives of receivable management
• Principles and frameworks of credit policy
• Credit assessment and scoring techniques
• Collection management and recovery strategies
• Risk mitigation and bad debt control
• Policy implementation and performance measurement

BY THE END OF THIS TRAINING COURSE, DELEGATES WILL BE ABLE TO:

Develop and manage effective credit and receivable policies.

• Formulate structured credit policies and procedures
• Evaluate and control customer credit risks
• Design receivable monitoring systems
• Optimize cash flow and working capital
• Reduce delinquency and write-offs
• Improve credit decision-making accuracy
• Align credit and AR strategies with business goals

TRAINING IS TAILORED TO

Finance professionals involved in credit control and receivable management.

• Credit and Collections Managers
• Accounts Receivable Officers
• Financial Controllers and Analysts
• Risk and Compliance Professionals
• Treasury and Finance Executives
• Customer Relationship and Sales Managers
• ERP and System Accountants

TRAINING METHODOLOGY

The DIXONTECH methodology integrates case studies, group analysis, and simulation-based exercises. Participants will evaluate credit portfolios, design policies, and apply tools for risk assessment and collection management. This interactive approach ensures that concepts are linked directly to practical implementation in professional environments.

DAY 1

FOUNDATIONS OF RECEIVABLE MANAGEMENT AND CREDIT POLICY

• Overview of accounts receivable management
• Objectives and key components of credit policy
• Linking receivables to organizational strategy
• Balancing profitability, liquidity, and risk
• Frameworks for credit control governance
• Challenges and opportunities in receivable management
• Case study: effective receivable management structure

DAY 2

CREDIT POLICY DESIGN AND IMPLEMENTATION

• Developing written credit policies and guidelines
• Defining roles, responsibilities, and authority levels
• Establishing credit terms and payment conditions
• Setting up approval and exception procedures
• Internal communication and policy alignment
• Monitoring compliance with credit policies
• Workshop: drafting a credit policy document

DAY 3

CREDIT ASSESSMENT AND RISK ANALYSIS

• Customer evaluation using the 5Cs of credit
• Credit scoring systems and ratio analysis
• Setting credit limits and exposure thresholds
• Managing high-risk customers and new accounts
• Credit insurance and guarantee mechanisms
• Using financial statements for credit assessment
• Practical session: calculating customer creditworthiness

DAY 4

RECEIVABLE MONITORING, COLLECTION, AND CONTROL

• Ageing analysis and performance indicators
• Identifying overdue and problem accounts
• Designing collection strategies and escalation processes
• Customer communication and negotiation techniques
• Managing disputes and partial payments
• Reducing bad debt provisions effectively
• Role-play: handling difficult collection scenarios

DAY 5

PERFORMANCE MEASUREMENT AND POLICY ENHANCEMENT

• Key performance indicators for credit and AR efficiency
• Benchmarking receivable performance with best practices
• Continuous improvement in credit management processes
• Using data analytics for decision-making
• Reviewing and updating credit policies periodically
• Technology and automation in credit control
• Developing a roadmap for credit excellence