Introduction to Credit Management

•       Definition, scope, and importance of credit management
•       The role of a credit manager in financial health
•       Aligning credit management with business objectives
•       Introduction to credit policies and procedures
•       Types of Credit
•       Fundamentals of Financial Statements
•       Understanding the Income Statement, Balance Sheet, and Cash Flow Statement for credit evaluation
•       Case Study: Reviewing the credit policy of a global corporation

Credit Policy Development

•       Designing an Effective Credit Policy
•       Elements of a successful credit policy
•       Setting credit limits and terms
•       Credit scoring systems and benchmarks
•       Risk management in credit policy
•       Credit Terms and Conditions
•       Payment terms, early payment discounts, late payment penalties
•       Legal terms in credit agreements
•       Creating Credit Approval Workflows
•       Group Exercise: Developing a comprehensive credit policy for a sample company

Credit Control Techniques

•       Credit Monitoring Systems
•       Implementing automated systems for tracking receivables
•       Monitoring payment performance and credit risk
•       Early warning systems for potential defaulters
•       Invoicing and Payment Collection
•       Aging of receivables and prioritization strategies
•       Managing delinquent accounts
•       Case Study: Improving credit control in a medium-sized business

Customer Credit Assessment Techniques

•       Evaluating financial statements for credit decisions
•       Analyzing past payment behavior and history
•       Conducting customer background checks
•       Qualitative vs. Quantitative Credit Assessment
•       Using big data and predictive analytics in credit assessment
•       Customer Segmentation for Credit
•       Practical Exercise: Conducting a credit assessment for different customer profiles

Credit Risk Analysis and Evaluation

•       Types of credit risks: financial, operational, market risk
•       Key factors affecting credit risk
•       The importance of creditworthiness assessment
•       Financial Ratios in Credit Risk Analysis
•       Credit Rating Systems
•       Case Study: Credit risk assessment for a potential new customer

Debt Collection and Recovery Strategies

•       Setting up a structured debt recovery process
•       Negotiation techniques for debt recovery
•       Use of collection agencies and third-party services
•       Legal actions and litigation for debt recovery
•       Understanding bankruptcy and insolvency laws
•       International debt recovery strategies
•       Practical Exercise: Developing a debt recovery plan for overdue accounts

Managing Bad Debts and Provisions

•       Identifying and writing off bad debts
•       Provisioning for doubtful debts in financial statements
•       Understanding credit insurance policies
•       Using credit insurance to mitigate bad debt risk
•       Managing Bankruptcy Risk
•       Group Discussion: Strategies to reduce exposure to bad debts

Regulatory Compliance in Credit Management

•       Credit laws, regulations, and standards (national and international)
•       Compliance with anti-money laundering (AML) and Know Your Customer (KYC) policies
•       Consumer protection regulations in credit management
•       Ethical considerations in lending and debt collection
•       Avoiding predatory lending practices
•       Practical Exercise: Conducting a compliance audit for a credit department

Technology in Credit Management

•       Digital Transformation in Credit Management
•       Implementing credit management software and tools
•       Automating credit approval and monitoring processes
•       Use of artificial intelligence (AI) and machine learning in credit risk analysis
•       Data Analytics for Credit Management
•       Predictive analytics to forecast customer payment behavior
•       Big data for trend analysis and decision-making
•       Case Study: Implementing a digital credit management system

Future Trends in Credit Management

•       The role of AI, blockchain, and fintech in credit management
•       Impact of global economic changes on credit management practices
•       Sustainable credit management strategies
•       Final Exercise: Developing a Credit Management Excellence Plan for an organization