應(yīng)收帳款流程ppt課件

1、Best Practice Financial Processes: Accounts ReceivableAccount Receivable - Best Practice ObjectivesAccounts Receivable ObjectivesOrganisationPeopleProcessesControlsMeasuresInformation SystemsTo ensure customer payments are received efficiently and effectively for goods/services delivered, within the

2、 agreed terms and conditionsTo manage credit risk efficiently without creating unnecessary delays in the sales cycleTo maintain a complete and accurate statement of outstanding debtorsTo provide complete forecast information to assist the management of short-term cash requirementsCentralised process

3、ingEconomies of scaleCustomer focusEstablish credit levelsIssue sales orderIssue invoiceMonitor creditCollect cashProcedures manualAuthorisationValidation/matchingCredit controlCost per invoiceCredit notes percentageCost per payment receivedDays debt outstandingIntegrated with sales systemAutomatic

4、matchingElectronic receiptsCustomer relationsLegal framework awarenessCredit managementAccounts Receivable - TrendsFromToSeparate AR modulePayment by chequeComplex/variable trading termsManual matchingPerformed by Finance departmentIntegrated systemsElectronic paymentCommon trading terms for all cus

5、tomersAutomatic matchingShared or outsourced servicesAccounts Receivable - Measures/Cost Drivers90 percentileMedian10 percentileNumber of customer payment received per accounts receivable FTE per annum40,3005,500700 or lessAccounts receivable cost per sales invoice processed10 percentileMedian90 per

6、centile1318Median1 day90 percentile4 days10 percentile1 dayDays to process invoice/credit note (ie, time between receipt of invoice/credit note and entry into the accounting system)Cost driversNumber of AR receiptsLevel of multiple receiptsUse of direct debiting/standing ordersUse of electric funds

7、transferLevel of credit risk associated with customer baseVariety in payment termsDegree of foreign currency receiptsLevel of credit notesBilling - Measures/Cost Drivers90 percentileMedian10 percentileNumber of sales invoices generated per billing FTE per annum 90,00011,1001,600Billing cost per sale

8、s invoice and credit note processed10 percentileMedian90 percentile1222Median2 days90 percentile15 days10 percentile1 dayDays from despatch of goods to preparation of sales invoiceCost driversNumber of invoicesNumber of customersUse of EDIComplexity of service/goods suppliedVariety in terms and cond

9、itionsComplexity of discountsDegree of foreign currency invoicingNumber of complaintsAccuracy/level of credit notesAccounts Receivable - Level 0 Context DiagramAccountsReceivableBillsAdhoc invoices & standing dataReminders &StatementsGLPostingsGeneral LedgerCustomersBankManual InvoicesBilling System

10、StandingDataPayments(cash, cheque)Direct DebitInstructionsStatementsPayment details(Bank Giro credits)Customer Services SystemAlso electronic AP/AR data from bank for auto cash managementAccounts Receivable - Level 1 OverviewCustomerStandingData , Bills& Credit NotesAR StaffAR systemBilling systemCu

11、stomerdetailsAR data import proceduresInterface RulesAR StaffBilling systemAR systemCustomer DataLogged on ARSystemInvoice/credit noteentry rules,Bills and credit notes loading proceduresAR StaffAR SystemBills & credit notesManual invoice request Customermaintenanceprocedures, Customer relationshipr

12、ulesImport standing data, bills & credit notesAR 1.1Maintain customer dataAR 1.2Process bills, invoices & credit notesAR 1.3DatavalidationreportCustomer reportManage receivablesAR 1.4Process receipts and direct debitsAR 1.5Process period endAR 1.7Credit control policies and procedures,Call logging p

13、rocedures,Provision creation rules,Legal proceedings rulesAR staffAR systemCredit controlOpen invoiceson AR systemPrint invoices despatchedGL updatesOutstandingdebtorsCheque and receipts processing rules,Automatic allocation rules,Manual allocation rules,On account payment rulesCash/cheque/bank rece

14、iptsList of DD customers amounts dueAR staffAR systemBank statementTransaction dataReview procedures,Archiving rules,Period data proceduresAR staffAR systemPayment on accountlogged on AR systemMatched DDreceipts logged on AR systemRequest to bankProcess amendmentsAR 1.6New periodopenedon AR systemPe

15、riod endGL postingsMatchedreceiptsarchivedPeriod reportsproducedAmendment ofvalidation rules,Amendment inputproceduresAdjustmentsAmendmentsGL updatesAudit reportDebtor reportDunningletter/statementAmendment request, notify departmentProvision journalsAccounts Receivable Notes Maintain customer dataB

16、est Practice FeaturesSend bill to one address only. Where a customer is provided with goods or services at a number of locations, the consolidation in the billing process not only reduces the number of bills to be verified or created but also decreases the potential need to reconcile a number of rec

17、eivables on individual accounts. Centralise the customer set-up process in order to ensure consistency.Internal control requirementsIn order to minimise the risk of duplication of the data and the unauthorised set-up of customers, the process should be centrally controlled and operated. Before any c

18、ustomer is deleted from the system, evidence should be produced that the customer has been inactive for the appropriate period of time and no outstanding balances are present. Approval for deletion is obtained by management authority signature.The changes to customers report is regularly checked and

19、 monitored.System notification of duplicate business and birth registration numbers. Accounts Receivable Notes Maintain customer dataCost DriversNumber of customersNumber of new customersNumber of customer changesNumber of required customer standing data fields Possibility of sharing standing databa

20、seOverlap between databasesSearch criteria and standardisation to avoid duplication/redundancyKey Performance IndicatorsNumber of changes and additions carried out in a year per FTENumber of customers in op. database without transactions for 1 yearPercentage of changes and additions of total custome

21、r baseAccounts Receivable Notes Manage ReceivablesBest Practice FeaturesAged debit balances should be reviewed by management on a regular basis and explanations sought as to why debts have failed to be recovered.Overdue debit balances occur as a result a number of factors of sub-optimal performances

22、 within the sales department or within the credit control process or AR - info not recorded from bank quickly enough and therefore not processed quickly enough or timing of invoice issue. The root causes need to be addressed and rectified by altering the creditability status of the customer.Automati

23、c flagging and reporting of high risk accounts.Materiality and time limits.Internal control requirementsIt is essential that debit balances are reviewed regularly and matched with payments promptly in order to avoid the risk of fraud and minimise the chances of bad debt.Computer diary of actions tak

24、en. Stops placed on overdue customers.Aged debtor report sent to legal department and functional managers.Accounts Receivable Notes Manage receivables (Cont)Cost DriversNumber of overdue open items.Number of steps in the dunning procedure.Quality and timing of the matching process of receipts.Availa

25、bility of dunning enforcement measures.Tolerance criteria.Payment terms and conditions policy.Key Performance indicatorsDays outstanding as a percentage of average payment term.Value of overdue invoices as a percentage of outstanding balances.Bad Debt Provision as a percentage of outstanding balance

26、s.Process cost/customer payment received.Number of dunning letters as % of total invoices.Write off value as % of (sundry) sales revenue.Accounts Receivable Notes Process receipts and direct debitsBest practice featuresUse of an electronic interface between bank, cashiers and AR treasuryAutomatic ma

27、tching of receipts by value and invoice number Internal control requirementsInterface control total with bank and cashiers, dailyRegular supervisory review of open and unmatched itemsDocumentation of all overdue open items and unmatched receiptsAccounts Receivable Notes Process receipts and direct d

28、ebitsCost DriversNo. of Receipts for more than one transactionPercentage of downpaymentsQuality of payment informationNumber of unmatched paymentsNumber of foreign currency receipts and exchange rate differencesTolerance payment differencesNumber of criteria for automatic matchingKey Performance Ind

29、icatorsMonthly and cumulative tolerance difference amountsPercentage of receipts cleared automatically in monthNumber of manually matched receipts per FTE Number of unmatched receipts older than 1 monthAccounts Receivable Notes Process amendmentsBest Practice FeaturesSingle contact point for all que

30、ries. Although the query processing can be distributed there are obvious inefficiencies in directing enquiries to a number of contact points.Have access to sufficient data to be able to handle the majority of queries on-line. In this context, the use of image processing allows invoices to be called

31、up on screen quickly and, if necessary, automatically copied to the enquirer through the medium of autofax.Internal control requirementsIn order to operate an effective helpdesk, staff will require to have access to most parts of the accounts receivable system. This should be on a read only basis in

32、 order to minimise the potential for fraud taking place.Targets set for time to answer queries.Accounts Receivable Notes Process amendmentsCost DriversNumber and variety of queries received.Availability and flexibility of standard screens.Complexity of database for tailor-made queries.Response times of enquiry systems.User-friend