How to Get the Most Out of SAP Collections Management

  • by Mark Chalfen, Finance Capability Lead, Bluefin Solutions
  • April 1, 2014
Learn a few tips on how to capitalize on the functionalities that SAP Collections Management offers.
Learning Objectives

By reading this article, you will learn how to:

  • Optimize your Collections Management implementation
  • Design a system that enhances your business process
  • Not make common mistakes others have made before
Key Concept

SAP Collections Management is a process within SAP ERP to efficiently manage the customer collection process. It is based around the principle of a prioritized worklist for the collections specialist to use to contact customers. The specialist then updates the worklist with the actions from the contact.

Although SAP Collections Management offers benefits to companies that implement it, mistakes can prevent them from maximizing the benefit of this software. I discuss some of the common mistakes and how to resolve them to ensure that your accounts receivables department is as efficient as possible.

Note
To see what SAP Collections Management actually is and what it is intended to do, I recommend you review the article I wrote titled "How SAP FSCM Complements Standard FI-AR to Reduce Days Sales Outstanding."

Within SAP Collections Management the core tool centers on a prioritized worklist with which the credit control team works. This worklist replaces downloaded aged debt reports, either in spreadsheets or paper copies, supported by the standard transaction code FBL5N.

I provide mitigation tips to ensure common design issues are not made, ensuring that the true business benefit you expect from your Collections Management implementation is actually achieved.

Mark Chalfen

Mark Chalfen is the finance capability lead at Bluefin Solutions, a niche SAP consultancy in the UK, and an SAP mentor. Mark has more than 12 years’ experience in SAP FI/CO in a number of industries. Mark’s core skills include Financial Supply Chain Management (SAP FSCM) and the new GL. He is currently advising a wide variety of clients on maximizing their SAP landscape either in the current R/3 version or upgrading to SAP ERP.

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Comments

4/5/2014 7:54:00 AM
Vishwanath Krishnamurthy

Superb article...

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