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Every credit manager should be a control freak. The consummate professional needs diligence, judgment, good customer relationships, common sense, foresight and plenty of intuition. But ultimately it is essential to be in control of all the aspects of the credit function, such as terms, amounts, dayssales outstanding (DSO) policy, delinquencies and collection effectiveness.
Control begins with measurements. You cannot control something until you can identify and quantify it. Realizing that, the credit industry has established an array of benchmarks, or standards, against which to pit individual performance.
In a world as diverse and multifaceted as ...
Source: HighBeam Research, Benchmarking: from apples to oranges to lemons.