Application Of Credit Metrics Model In Accounts Receivable Of B Company

At present,in the domestic industrial manufacturing industry,in order to increase the market share and improve the capital turnover efficiency,enterprises often choose to use credit sales as the main settlement method,resulting in a sharp increase in accounts receivable.However,the sharp increase in accounts receivable,while increasing the company’s book profit and reducing inventory reserves,has also virtually reduced the company’s cash flow,resulting in a decline in the company’s real profitability,a reduction in the ability to repay debts,and a reduction in the capital turnover efficiency.Thus increased the enterprise’s business risk.Therefore,how to reduce the total amount of accounts receivable and reduce the risk of accounts receivable is an important research topic in the development process of each credit selling enterprise.The case of enterprise B selected in this paper is a typical industrial manufacturing enterprise,which is affected by many factors such as the imbalance of production needs brought about by market saturation,market irregularities brought about by market credit crisis,and historical supply relations.The structure of supply and demand based on the buyer’s market has been formed,and in the course of development,there have been short-sighted actions that have reduced requirements in credit management in order to increase sales revenue and increase market share,resulting in an increase in the scale of accounts receivable.Although the enterprise put forward a lot of credit policy management schemes,it still lacks a set of perfect credit measurement models based on the actual operation data of the enterprise,in order to scientifically and effectively guide the optimization of credit policies and the reduction of accounts receivable.Therefore,B enterprises have increased the corresponding accounts receivable risk measurement model managementresearch and application.Through the risk management theory and the risk management theory of accounts receivable,this paper looks for the problem points in the risk management process of accounts receivable of B enterprises,aiming at the historical data of accounts receivable of enterprises for 5 years.From the five dimensions of overall analysis,structural ratio analysis,turnover rate and turnover days analysis,age analysis,cause analysis,etc.,it is found that there are liquidity risk and bad debt risk in the management of accounts receivable.According to the risk points of corporate accounts receivable and the opinions of corporate managers,the credit rating system required for the creation of Credit Metrics is determined,the weight of each indicator is calculated using the analytic hierarchy process,and the credit rating of the main debtor of B enterprise2010-2018 data is performed.The risk transfer matrix is calculated.At the same time,two representative listed debtors and one non-listed debtor are selected for detailed rating and analysis,and the debtor’s risk assessment opinions and recommendations are obtained.Finally,based on the status quo of accounts receivable management and risk management theory,the risk of accounts receivable and the output results of Credit Metrics,it is suggested that enterprise managers should improve the awareness of account receivable risk management and improve the accounts receivable management system.Strengthen the daily management of accounts receivable,improve the construction of accounts receivable information system to effectively reduce the credit risk of accounts receivable.