Collections End When the Dunning is Done

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Collections End When the Dunning is Done

• By Jay Shiner
• From Braun Consulting
• Thank you for coming!
• http//www.braunconsult.com
• jshiner_at_braunconsult.com

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About Braun Consulting

• Consulting firm that delivers IT business
  solutions to Fortune 500 and technology-driven
  clients
• Founded in 1993
• 450 employees and growing rapidly
• Headquartered in Chicago
• 11 Offices throughout the US

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We help clients identify opportunities and
transform their business by leveraging the
convergence of

• Business Solutions - Customer-centric strategies
  that improve relationships with customers
• Business Intelligence - Business intelligence
  capabilities (including CRM and data warehousing)
  and analytical applications
• E-Solutions - Internet, intranet, extranet
  applications
• Operations Solutions - Web Integration

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Current Partners
Paragren Pivotal Prime Response Prism
Solutions SAP SAS Institute Siebel Systems Sun
Microsystems Sybase The Data Warehousing
Institute Wincite Systems
Adexa Brio Technology Broadbase Software Business
Objects Clarify Exchange Applications Hyperion
Solutions Microsoft NetDynamics Oracle
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Oracle Applications

• Financials
• Manufacturing
• Supply Chain
• Customer Relationship Management

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Collections End When the Dunning is Done

• What is Dunning?
• Creating Dunning Letters
• Creating a Letter Set
• Managing Customers
• Running the Dunning Process
• Dunning History

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What is Dunning?

• Part of Order to Cash
• Take an Order
• Produce an Invoice
• Send a Statement
• Try to Collect
• Send a Dunning Notice

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Creating LettersAR_TOP/srw/ardl1b.txt and
ardl1f.txt

• Remit to Address
• Custom Greeting - ardl1b.txt
• Overdue Invoices
• Custom Closing - ardl1f.txt
• Collector Information

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Creating a Letter Set
Resend Last Letter Yes/No Use Grace
Days Yes/No Dun Disputed Items Yes/No Finance
Charges Yes/No Include Unapplied
Receipts Yes/No Finance Charges On Disputed
Items Yes/No Send Letters In Sequence Yes/No Dunni
ng Method Days Overdue/Staged Dunning
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Running the Dunning Process

• Days Overdue
• - Range of days past due
• Staged Dunning
• - Number of days since last sent

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Creating a Letter Set
Letter Sequence Sequence Letter Name Days
Overdue 1 User1 15-29 2 User2 30-74 3 User3
75-99999
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Creating a Letter Set(NavigategtSetupgtPrintgtDunnin
g Letter Sets)
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Managing Customers

• Profile Class vs. Customer Level
• Assign a letter
• Minimum invoice amount
• Minimum dunning amount
• Grace days

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Profile Classes(NavigategtCustomersgtProfile
Classes)
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Customer Level(NavigategtCustomersgtStandard)
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Customer Level(NavigategtCustomersgtStandard)
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Customer Level(NavigategtCustomersgtStandard)
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Managing Customers - Techy

• Get a list of customers by annual sales
• Define customer levels
• Define tolerances
• Update using the Braun Consulting Transform
  Methodology (see handout)
• Review Quarterly

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Running the Dunning Process

• Order by Customer or Postal Code
• Letter sets low - high
• Customer low - high
• Collector low - high
• Customer Number low - high
• Days Overdue vs. Staged Dunning
• Single staged letter
• Dunning level low - high
• Country
• Transaction Type low - high
• Preliminary

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Running the Dunning Process(NavigategtPrint
DocumentsgtDunning Letters)
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Dunning History

• Customer History
• Legal History
• Edit Mistakes

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Dunning History(NavigategtCollectionsgtAccount
Details)
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Dunning History(NavigategtCollectionsgtAccount
Details)
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Dunning History(NavigategtCollectionsgtAccount
Details)