MITIGATION RISK OF INABILITY TO COLLECT RECEIVABLES

MITIGATION RISK OF INABILITY TO COLLECT RECEIVABLES

In the regular business process, is realistic to expect that the collection of overdue receivables in certain cases can be delayed or impossible, because the debtor's insolvency or illiquidity. Given the realities of the market, while designing the company's business plans, extremely is important to create realistic and well predicted amount of receivables which can be a prospective problem for repaying. When planning the amount of due which can potentially occur in so called ''collection inability issue'', Company must bare in mind the historically results of unclaimed receivables combined with the projected volume of business in planning period. Such results, if they are placed on realistic expectations, can show the scale of the potential damage for operations of the company.

The purpose of this text is to briefly present the methodology and to decrease or to anticpate the risks of delayed payment or inability to collect due payment in full.

If we take conducted manner of serbian companies in field of default due receivables risks  as one of basic bussiness premise,  we can perceive conclusion that serbian corporate awareness of the reduction of this type of risk is on very low level. At this level of serbian private corporate sector development, it is  pressumed that top management charged to lead companies is at the high-quality level, which is far from the actual situation. In truth, most of the company leaders its knowledge base on a self-management philosophy of socialism, that see company as proprety wich owner is everyone and no one, or at untaught managers whose main goal is servility to the company owners for subsistence ignorance and incompetence. In the first case, it is a relic of communism, in which is impossible to change the ''viewing angle and pattern of conduct'', while in the second case, the managers are to some extent the side effects of capitalism, which is in line with the capital in the serbian process of privatization wich  origin was not investigated, and have bare desire to satisfy their primary needs and base desire, with no idea how to make a change on better at professional field, proactive personal quest of knowledge, as well as the management company improvement.

Such management does not recognize that at market is a possibility with use of certain methods can be reduce the risk of debt default, and with the professional and corporate responsible behavior of top management in this segment, it is possible to make a comparative advantage at the market. Given the business conditions that apply at this time in Serbia and World, this can create a comparative advantage that can be crucial not only for the growth of the company, but in the company existence in present market circumstances. By reducing the production and decreasing of products selling and services, it can be estimated that one of the keys to success in business management is predictable and successful debt collection.

The successful decreasing methodology of risk inability to collect receivables is symbiosis that require ''clean-cut'' information about debtors and their businesses and the existence of skills and knowledge to analyze the available data in top management. In view of the company's who are creditors, it is necessary to actively monitor, analyze and take actions in order to minimize or avoid the damage to the company, created by unrepayed debts.

If this aspect of the business is placed on quality formed ground, it is realistic to expect that the projected loss from the beginning of this text is lower, and therefore the company's income is higher, which in times of turbulent business environment can be the milestone of the survival and company  growth.

To be continued ...

UMANJENJE RIZIKA NEMOGUĆNOSTI NAPLATE POTRAŽIVANJA

U okviru redovnog poslovanja realno je očekivati da naplata dospelih potraživanja u odredjenom broju slučajeva može biti usporena ili nemoguća, iz razloga nesolventnosti i nelikvidnosti dužnika. Imajući u vidu realnost tržišta, prilikom projektovanja poslovanja kompanije od izuzetnog značaja je realno i kvalitetno projektovati iznos dospelog potraživanja kod koga će se pojaviti problem prilikom naplate. Prilikom projektovanja iznosa dospelog potraživanja kod koga će se potencijalno javiti problem u naplati, uzima se u obzir istorijski gledani rezultati potraživanja sa ovakvim karakteristikama koji se kombinuje sa projektovanim obimom poslovanja. Ovako dobijen rezultat, ukoliko je postavljen na realnim očekivanjima, može da prikaže obim potencijalne štete koja može da nastane u poslovanju kompanije.

Svrha ovog teksta je da ukratko prikaže metodologiju predupredjivanja i smanjenja nastanka rizika usporene naplate ili nemogućnosti naplate dospelog potraživanja u celosti.  

Ako kao jednu od osnovnih premisa uzmemo odnos sprskih kompanija prema riziku nenaplativosti dospelih potraživanja, možemo doneti zaključak da je korporativna svest rada na umanjenju ovog rizika na veoma niskom nivou. Razvoj privatnog sektora u Srbiji, kao jednu od osnovnih premisa podrazumeva da je menadžment koji vodi kompanije na visoko kvalitetnom nivou, što je daleko od stvarnog stanja.  Istini za volju, većina lidera kompanija svoje znanje bazira ili na samoupravnoj filozofiji upravljanja društvenim kapitalom koji je svačiji i ničiji, ili na prinaučenim menadžerima kojima je glavni cilj servilnost prema poslodavcima radi golog opstanka neznanja i nestručnosti. U prvom slučaju se radi o reliktu komunizma kome je nemoguće promeniti ''ugao gledanja'' i obrazac ponašanja, dok se u drugom slučaju radi o nuspojavi kapitalizma, koja je u privatizaciji pored kapitala čije poreklo nije ni ispitivano na površinu izbacila i ljude koji sem gole želje za zadovoljenjem svojih primarnih potreba nemaju ideju i želju kako da u profesionalnom pogledu naprave promenu kako na ličnom polju osvajanja znanja, tako i u okviru upravljanja kompanijom.

Ovakav menadžment ne uvidja da postoji mogućnost da se primenom odredjenih metoda dodje do smanjivanja rizika nenaplativosti, i da je stručnim i korporativno odgovornim ponašanjem u ovom segmentu, moguće napraviti komparativnu prednost na tržištu. Obzirom na uslove poslovanja koji važe u ovom trenutku, ovako stvorena komparativna prednost može biti presudna ne samo za rast kompanije, već i na opstanak kompanije u datim okolnostima. Smanjivanjem proizvodnje i plasmana proizvoda i usluga dolazi se do toga da je jedan od ključeva uspeha u poslovanju redovna, uspešna i predvidiva naplata potraživanja.

Sama metodologija umanjenja rizika nemogućnosti naplate potraživanja zahteva simbiozu podataka o dužnicima i njihovom poslovanju uz postojanje veštine i znanja analiziranja dostupnih podataka. Gledano sa aspekta kompanije koja je poverilac, potrebno je aktivno pratiti, analizirati i preduzimati poteze radi umanjenja ili predupredjivanja nastanka štete za kompaniju.

Ukoliko se ovaj aspekt poslovanja postavi na kvalitetne osnove, realno se može očekivati da projektovana šteta sa početka teksta bude manja, i samim time da prihod kompanije bude veći, što u vremenu turbulentnog poslovnog okruženja može biti jezičak na vagi opstanka i rasta kompanije.

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COLLECTION OF CLAIMS FROM LEGAL ENTITY

DEBT COLLECTION OF COMPANY RECEIVABLES

COLLECTION OF CLAIMS FROM LEGAL ENTITY  

CASE STUDY

Given the overall macro and micro economic conditions suggest that debt collection in company may represent one of the pillars of the future development planning. Quality of repayment system, for performed services, goods or work done, can significantly influence the development of the overall business. Unsynchronization and inability to collect receivables due, if it occurs frequently, primarily leading to the current lack of liquidity with the tendency to develop into insolvency, eventualy leading to the collapse of the company's core business and could create company disappearing from the market.

The main aim of this paper is try, through a brief case study to show  factor of irregular client behavior and monitoring of it, because it can create problems in collecting company receivables.

In developing this paper, we used data of 17 businesses companies, with a total of 163 receivables, that have been processed trought analysis.

The structure of receivables in respect of a debtor was:

- An individual: 26 unrepaid claims

- Entrepreneur: 60 unrepaid claims

- Limited liability of 77 unrepaid claims

With further analysis of claims, it can be reached to a certain regularities in terms of monitoring clients / debtors whose liabilities are not settled in a regular manner, the predicted by contract between client / debtor and creditor (claimant).

By analyse of the receivables, it was found that 42% of the total claims are collectible.

58% of receivables are uncollectible, and in 38% of receivables, is founded that the collection was possible at the moment when the primary problems in servicing the client / debtor obligations rised, but that was  less and less possible to collect due because of poor quality in monitoring by the creditor, and the risk of unrepaying has been growing over time. Eventualy, that 38% of receivables goes into 58% of uncollectable receibavles.

From the results shown it can be clearly concluded that the percentage of receivables may increase at a certain percentage, by actively and promptly company monitoring of client / debtor  servicing of debts.

Mentioned regularity is reflected in the fact that the active monitoring of clients / debtor, can create  eventuality  to detect early indicators suggesting that it is necessary to reduce the volume of business with the potentially problematic client / debtor, or terminate cooperation and by doing that to minimize the risk of default due to insolvency of the client / debtor.

Thus, minimizing the risk of failure to collect receivables and the decreasing  potential oscillations in collection of receivables, can improve business position of company.

Remeber, every company action is message for itself. Because of that, clear and up on time collection is sending the message of serious company wich dont want to leave unresolved problems. Strong messages create strong respect of duties on the market.

NAPLATA POTRAŽIVANJA  PRAVNIH LICA

STUDIJA SLUČAJA

Imajući u vidu celokupnu makro i mikro ekonomsku situaciju ažurna naplata potraživanja kompanije može da predstavlja jedan od stubova planiranja budućeg razvoja. Kvalitet izvršene naplate za  usluge, robu ili izvršen rad, koji predstavlja delatnost kompanije, umnogome može da utiče na razvoj celokupnog sistema poslovanja. Nesinhronizacija i nemogućnost naplate dospelih potraživanja, ukoliko se učestalo pojavljuje, primarno dovodi do trenutne nelikvidnosti sa tendecijom da preraste u nesolventnost koja vodi u poslovni kolaps kompanije i nestajanje sa tržišta.

Cilj ovog teksta je da kroz kratku studiju slučaja prikaže faktor neažurnog praćenja ponašanja klijenta na tržištu koji može da napravi probleme u naplati potraživanja.

Prilikom izrade ovog teksta, korišćeni su podaci 17 privrednih subjekata, sa ukupno 163 nenaplaćena potraživanja koja su bila predmet obrade. 

Struktura nenaplaćenih potraživanja u pogledu forme dužnika je bila:

-          Fizičko lice: 26 nenaplaćenih potraživanja

-          Preduzetnik: 60 nenaplaćenih potraživanja

-          Društvo sa ograničenom odgovornošću: 77 nenaplaćenih potraživanja

Daljom analizom potraživanja, može se doći do odredjene zakonomernosti u pogledu praćenja klijenata/dužnika čije obaveze nisu izmirene na redovan način, predvidjen uguvorom izmedju klijenta/dužnika I poverioca.

Analizom mogućnosti naplate, utvrdjeno je da je 42% ukupnog potraživanja naplativo.

Od 58% potraživanja koje je nenaplativo, u 38% je ustanovljeno da je naplata bila moguća u momentu nastanka primarnih problema u servisiranju obaveza klijenta/dužnika, ali da je usled nekvalitetnog praćenja od strane poverioca, rizik nemogućnosti naplate rastao je protekom vremena, počev od momenta nastanka problema u servisiranju obaveza klijenta/dužnika. 

Iz iznetog se može jasno zaključiti da je procenat naplate potraživanja moguće u odredjenom delu uvećati, kroz aktivno I ažurno praćenje klijenata/dužnika u vezi sa njihovim servisiranjima dugovanja koji nastaju u poslovanju.

Pomenuta zakonomernost se ogleda u tome da je aktivnim praćenjem podataka klijenata moguće doći do otkrivanja ranih indikatora koji upućuju na zaključak da je potrebno ili smanjiti obim prometa sa potencijalno problematičnim klijentom/dužnikom, ili prekinuti saradnju i na takav način minimizirati rizik nenaplativosti potraživanja usled nesolventnosti klijenta/dužnika.

Samim time, umanjuje se rizik nemogućnosti naplate potraživanja, te se u poslovanju umanjuju potencijalne oscilacije koje mogu da nastanu usled neredovne naplate potraživanja.

Upamtite, svaki čin kompanije je poruka za sebe. Jasnim porukama u vezi sa naplatom potraživanja, kompanija šalje poruku da ne ostavlja ništa slučaju, i da uvek mora biti ozboljno shvaćena u poslovanju.

Negotiations: Tips that can help

Negotiations: Tips that can help

1. Guide conversation in a way that would be considered acceptable interlocutor and professional if you are opposite side.

2. Remember, negotiation is trading concessions in order to achieve an acceptable level of achievement of its objectives.

3. Never negotiate unprepared, have and keep a clear plan, but be flexible if you need to evaluate and reduce your goals. Good preparation is the basis for successful negotiations.

4. Set clear goals and guide negotiations toward them.

5. Interlocutors have to be treated equally, or you should give the impression that this is so.

6. Never underestimate the interlocutor, but let them underestimate you. Underestimating the opposite side will open space for interlocutor to make his intentions more visible. More comfortable attitude will open up the space for your unexpected arguments, and that will create  advantages that will help you to reach your goal. Underestimation create confusion (when interlocutor realize that he underestimate you and made mistake), and that is wide open space to use ‘’narrow gap of opposite side judgment’’, and make your goal completed.

7. The concentration of the negotiations and the interlocutors is the basic prerequisite for successful negotiations. Do not let your thoughts unrelated to the topic of negotiation fly over your head, because otherwise you're an ‘’sitting duck’’ to your interlocutor.

8. Sometimes,there is a need for changing the rules in the course of negotiations. Negotiations are discussions rather than debates. There are not many places for domination, but you have to defend your position. But, if there is space for domination, do not show it openly because it can cause a defensive stance that could block negotiations. Use created domination if you have it, but indirectly and unobserved as possible.

9. Be open as needed to get the impression of interlocutor that discussion is honest and open, and show that there is no hidden goals (hide your final intention), but do not be without a defensive argumentation if the interlocutor is crossing the ‘’border of openness’’ that you set in negotiations.

10. Rise your main argumentation at the moment in the culmination of negotiations. Beware, sometimes a lie is going but that is not something that will bring you to the finish line successful.

11. Patience is the marrow of a good negotiator. Be patient, give the impression that you have all the time in the world, but use discreet arguments and methods that will hasten interlocutor with the decisioning.

12. Understanding is crucial. Look at things from opposite perspective and judge objectively. Try that before negotiation start. Try to anticipate all steps and mark the key issues, which can weaken your negotiating position.

13. Avoid open confrontation of opinions.

14. Show your disagreement of opinions, but only with argumentation. Be careful, this can be seen as offensive move, and can create defensive attitude to the opposite side.

15. If you must make concessions, do that progressively. Trade with your concessions in order to increase their value. Create the impression that you are giving a lot and getting only some. Make impression that, with given concessions, other side is the winner of negotiations.

16. Rare are the cases that reach all the goals you want. Because of that, be realistic. Do not waste your time on impossible. Things that are impossible, use in negotiations only if you can get more. Targeted misleading can bring success.

17. Stick with your goals as much is possible.

18. Always be professional. Negotiation finish with impression of ‘’open door’’ for future negotiations  whether completed negotiation was successfully or not.

Pregovori: saveti koji mogu pomoci

1. Vodite razgovor koji želite na način koji će sagovornik smatrati prihvatljivim i profesionalnim.

2. Pregovaranje je trgovanje ustupcima kako biste postigli prihvatljiv nivo ostvarenosti svojih ciljeva.

3. Nikada ne pregovarajte nepripremljeni, imajte jasan plan, ali budite fleksibilni ukoliko procenite da morate. Dobra priprema je osnov za uspesne pregovore.

4. Postavite jasne ciljeve i vodite pregovore ka njima.

5. Prema sagovorniku se treba odnositi ravnopravno ili odati utisak da je to tako.

6. Nikada ne potcjenjujte sagovornike, ali im dozvolite da oni potcene Vas. Sagovornikovo potcenjivanje ce napraviti privid mogucnosti za njegovo lezernije i lagodnije ponasanje koje ce Vama otvoriti prostor da kvalitetnom i neocekivanom argumentacijom izvucete vise za sebe. Potcenjivanje podrazumeva zbunjenost pregovaraca (prilikom shvatanja da je potcenjivanjem napravio gresku) koji je olako shvatio drugu stranu i povlacenje koje ostavlja prostor za trazenje ispunjenja ciljeva zbog kojih ste i usli u pregovore.

7. Koncentracija na pregovore i na sagovornika (ili više njih) osnovna je pretpostavka uspešnog pregovaranja. Ne dopustite da Vam glavom lete misli koje nisu u vezi s temom pregovaranja, jer ste u protivnom laka meta sagovornika.

8. Postoji potreba za menjanjem pravila u toku pregovora. Pregovori su diskusija a ne rasprava. Nema puno mesta za dominaciju, ali morate braniti svoju poziciju. Ukoliko i ima mesta za dominaciju, ne pokazujte to otvoreno jer mozete izazvati odbrambeni stav koji bi mogao blokirati pregovore. Koristite dominaciju ukoliko je imate, ali posredno i neopazeno sto je vise moguce.

9. Budite otvoreni koliko je potrebno da sagovornik stekne utisak otvorenog razgovora, ali ne i bez obrane ukoliko sagovornik predje granicu otvorenosti koja je postavljena sa Vase strane.

10. Izadjite sa glavnim argumetimam otvoreno u momentu kada je vrhunac pregovora. Vodite racuna, laz ponekad prolazi ali nije nesto sto ce Vas dovesti do cilja.

11. Strpljenje je osnovno obeležje dobrog pregovarača. Imajte strpljenja, stvorite utisak da imate ''sve vreme sveta'', ali diskretnim potezima navodite sagovornika da pozuri sa donosenjem odluka.

12. Razumevanje je presudno. Gledajte stvari i iz tuđe perspektive i prosuđujte objektivno. Trudite se da pre samih pregovora u sklopu priprema, predvidite sve korake sagovornika i zatvorite ''opsta mesta'' koja bi oslabila vasu pregovaracku poziciju.

13. Izbegavajte otvoreno sukobljavanje misljenja.

14. Pažljivo i argumentovao navodite neslaganje sa sagovornikom.

15. Ustupke činite progresivno ukoliko morate, trgujte ustupcima kako biste uvećali njihovu vrednost. Stvorite utisak da ste dali mnogo a da ste dobili malo te da je sagovornik ''pobednik'' pregovora.

16. Retki su slučajevi da postignete sve ciljeve koje želite, budite realni, ne gubite vreme na neostvarivo. Nestvarivo koristite u pregovorima jedino ukoliko time dobijate vise, jer predstavljate svoju poziciju vaznijom nego sto zapravo jeste. Ciljno dovodjenje u zabludu ume doneti uspeh.

17. Ostanite pri svojim ciljevima.

18. Ostanite profesionalni. Pregovaranje završite pozitivno bilo uspesno zavrsenim pregovorom, bilo ostavljanjem ''otvorenih vrata'' za ''buduce pregovore koji ce doneti rezultat''.