SunGard has updated its credit and collections solution, AvantGard Receivables (GetPaid), so that it now includes statistical modelling functionality to improve cash oversight and risk monitoring.
The account receivables (A/R) solution’s new statistical modelling capabilities can transform how corporates address their collections strategy, claims SunGard, by dynamically incorporating risk as a key driver of collections prioritisation, instead of just relying on aging invoicing data.
Risk-based collections help companies accelerate their collections by enabling them to address accounts with the highest probability of delinquency and ‘cash at risk’ first. Rather than relying on aging, invoice value and static risk data, statistical modelling leverages historical customer payment data to predict future paying behaviour. High risk customers can therefore be placed on a ‘high touch’ heavy oversight call collections strategy using SunGard’s updated AvantGard Receivables (GetPaid) solution.
The new modelling module is also integrated with the software’s basic credit decisioning programme says SunGard, improving the accuracy of this by using historical records. The upgrade comes with streamlined navigation to improve the user experience, says SunGard, and access to critical data such as the ability to import credit data from various sources, such as credit bureaus and the US National Association of Credit Management (NACM) protocols.
According to CJ Wimley, chief operating officer (COO) of SunGard’s corporate liquidity business: “By employing risk-based collections, world-class credit and collections departments are able to gain a competitive advantage through their ability to decrease and better manage risk, and implement smarter operations through improved operational efficiency.”
SunGard’s AvantGard Receivables suite is a web-based order-to-cash solution that includes collections management, dispute workflow, credit risk management, cash application, sales and customer portals, as well as reporting functions and dashboards. The upgrade can be deployed ‘off-the-shelf’ internally at treasuries, as with its predecessors, or in a private cloud-hosted environment. Alternatively a Software-as-a-Service (SaaS) delivery model is also possible depending on individual treasury needs and capital expenditure budgets.