XY Company Customer Credit Management Process Design

The paper selected the XY company,whichhas a higher share in the market and enjoys a high reputation among consumers for the express service,but along with the multi-service morphology blossom and widely expand sales,the credit risk faced by the company is growing and having a negative impact on the company's long term development.At the beginning,the paper introduces thecustomer's credit management status of XY company and the credit situation of the express industry,after financial data analyze the problemhappens to three aspects: acccoutable receivable overdue,late collection andhuge bad debt amount.Via the questionnaire survey and current status analyze,the problem mainly caused by the defect of stucture,system,principle and customers information.Then,focus on how to improve and resolve the problem.First,establish the company's organization structure which includes three departments,they are customer information clarify,credit authorization and credit condition monitor departments.Second,develop the credit management system which include credit application,information archive,credit authorization,credit analyze,account receivable and KPI sub-system.Third,optimize the principles.Afterward,design the credit management process,cover in the beforehand,the concurrent,and the after section,make sure the right personnel allocates to every section and the related principle and system can be executed.This process not only resolve the customer's credit problem but also reduce the company's credit risk,AR overdue and bad debt amount,ensure the long-term and healthy development.Last,analyze the process effectivenessand assume one case to illustrate how to take affect and control the risk in the beforehand,matter and the after section if based on the customer credit management processso that reduce the loss.In view of the status of XY company in the industry,by the design of the customer credit management process,will also have a positive reference for other companies no matter in the same industry or other industry.