AR management with NetSuite can be easy, efficient and focused if you use the right features to accomplish your objectives. Here are five tips for NetSuite AR management.
KPI’S, DASHBOARDS AND REPORTS
NetSuite makes it easy to establish goals, and measure and report performance against them.
Start by establishing Key Performance Indicators (“KPI”) which reflect your goals for essential metrics such as Days Sales Outstanding (“DSO”), Average Days Delinquent (“ADD”) and Accounts Receivable Turnover ratio (“ART”).
Configure your NetSuite Home Dashboard to include the KPI’s you want to track and report. This makes it easy to see how you are doing and to report the same. You can also drill down from the Dashboard to identify the source of the results, so you can focus your efforts on the customers needing the most attention.
Use the ability to create customized reports to further help you identify major problems, so you can spend your time most productively on the major problem accounts.
Use online notes to record actions and conversations on collections, dispute resolutions, credit requests and other matters. This will allow you to have the history on a problem account readily available when you follow up with the customer, sales rep, internal personnel or other interested parties. Having an account’s history recorded in one place makes collection calls and follow-up activities less of a hassle and more efficient.
Automated reminders can make AR management easier and more efficient. Reminders can be used to notify you when action is required on a past due account. Set up automated reminders to send follow-up email reminders, invoice copies, statement copies and collection letters if necessary. Automated reminders allow you to spend more time focusing on problem accounts, not shuffling paperwork.
AR management often requires forwarding documents to the right people to facilitate the resolution of issues holding up payment of past due accounts. Work flow makes it much easier to electronically attach required documents from customers, sales reps, shippers, lawyers and internal personnel, which may be necessary to resolve disputes and other collection problems. It is another great feature you can use to minimize tiresome and time consuming clerical tasks, so you can focus on problem accounts.
Add a hyper-link to your invoice templates, which connects with a secure payment portal. When you call past due accounts remind them how easy it is to pay immediately with a credit card or ACH transfer. Don’t give a past due account an excuse to delay payment until a check can be cut.
These tips for NetSuite AR management make achieving your goals easier and more efficient. If you have not integrated AR with your company’s NetSuite ERP platform, or you still use a manual AR system, an AR software provider can help you with the transition.
Automated accounts receivable, credit and collection software, which can be seamlessly integrated with NetSuite, is available from Lockstep Collect, the leader in cloud-based software solutions made specifically for businesses selling on credit terms. Lockstep Collect’s software is a “Built for NetSuite” application, which meets NetSuite’s “Suite Cloud” platform development standards and best practices.
If your firm would like to learn how you can automate your accounts receivable, credit and collection software, and integrate it with NetSuite’s ERP platform, please contact Lockstep Collect at www.lockstep.io.