theadudley@charter.net
Dear Thea,
My president, CFO, or branch managers are always asking about random accounts or to go over the aging. My percent current is solid and DSO is in-line with industry trends. This gets old and is irritating, what are they looking for?
Signed, Irritated in Iowa
Dear Irritated,
Lesson of the day:
A man is getting into the shower just as his wife is finishing up her shower when the doorbell rings. The wife quickly wraps herself in a towel and runs downstairs. When she opens the door, there stands Bob, the next-door neighbor.
Before she says a word, Bob says, “I’ll give you $800.00 to drop that towel.”
After thinking for a moment, the woman drops her towel and stands naked in front of Bob.
After a few seconds, Bob hands her $800.00 and leaves.
The woman wraps back up in the towel and goes back upstairs. When she gets to the bathroom, her husband asks, “Who was that?” “It was Bob the next door neighbor,” she replies.
“Great!” the husband says. “Did he say anything about the $800.00 he owes me?”
Moral of the story:
If you share critical information pertaining to credit and risk with your co-workers in time, you may be in a position to prevent avoidable exposure.
They are looking for information. The story behind the numbers. They are asking to be involved, engaged and included so hopefully, you all can work as a team. Instead of viewing this as an annoyance or assault on your awesome credit management skills (which I am sure are fabulous) view it as a cry for inclusion.
Beat them to the punch. Send out KPI’s pointing out what is going on with their branch or the entire aging. Set up a monthly or quarterly meeting with everyone who is asking you. What you have on your hands is a good thing. You are looking a gift horse in the mouth. Some owners, presidents, branch managers, etc. never ask; they really don’t want to know. Throw a saddle on that gift horse and enjoy the ride.
Dear Readers: Unbelievably it is that time of year again. Time for the annual round up of the best, or should I say worst, excuses for non-payment of the year. Please send your ridiculous, creative, amazing, and just plain embarrassing excuses for non-payment or late payment to me to make this year’s list. I’ll get the champagne ready!
