Creditworthiness Decision

Credit Risk Assessments

Solid Credit Risk Assessments

Assessing your business partners’ creditworthiness involves checking their financial situation. This is a key activity for every credit manager. Your business partners’ financial situation must be stable enough to ensure they can fulfil their obligation to pay any credit you might grant them for goods and services provided by you. Checking a business partner’s creditworthiness is an important foundation on which to assess the amount of risk you are willing to take and to make a solid credit decision. There are different sources of internal and external data that credit managers can choose from, depending on how much credit is needed and how cost-effective obtaining the information is. External data are used to assess the risk that comes with a certain business relationship and to make a sustainable decision that both helps to enhance the relationship with the customer and that protects your business from the risk of payment defaults.

Integrate Your Credit Risk Assessments in SAP

There is a variety of different national and international providers of credit and business information. Based on their specific need, organizations are provided with valuable information that will help them smooth out their business processes: solid risk assessments for their credit and collections management as well as for optimizing their supplier portfolio and consistent data quality for marketing and sales campaigns.

 

While the products and services offered by rating agencies are highly beneficial, their lack of integration in SAP presents a considerable challenge. Companies have to request information using the Internet or a non-SAP software solution and then have to manually enter the information in SAP. Since most of these processes are handled manually, they impose an extra administrative and organizational burden on staff workload. This impairs the efficiency of their credit management and interferes with successful accounts receivable collections, all the while driving up the costs to their business.

 

SOPLEX offers modern software solutions that allows organizations to integrate their credit ratings and business information completely in their SAP systems. The integrated retrieval and management of business information plays a vital role in modern credit management processes and an efficient accounts receivable collection strategy.

 

Go to the Software section to discover our solution portfolio for managing credit ratings and business information.