Credit Information at your Fingertips ...
The only way that a credit department can achieve success is through developing and implementing an efficient and effective credit information management system which satisfies and achieves the credit objectives of the particular organisation.
Credit managers need to know WHEN, HOW and WHAT actions may need to be taken at any instance, to the benefit of their own firms in order to maintain sound business relationship with their clients, whilst securing sound cash flow and improve profit.
MACM provides an effective and efficient Credit Information Management System, which is:
The MACM Credit Information Management System provides up-to-date information which should trigger and help credit mangers to act proactively.
Amongst other services, MACM provides the service of daily information sharing between peer groups at the least possible cost to its members based on trust, co-operation, and reciprocity with the primary aim being that to develop a positive credit environment in the Maltese business arena.
MACM serves as an effective and efficient credit management information system to its members, and provides relevant data and information which the credit managers need in order to act proactively. Credit information regarding defaulting debtors is lawfully exchanged between the members of the Association on a daily basis to ensure that the information provided is always up-to-date and relevant.
MACM also provides valuable data, pertaining to the managing of customers/debtors that is available to the public from other sources, such as the Law Courts, The Registry of Companies, VAT Department and other official sources that help creditors identify clearly their (prospective) debtors.
MACM provides comprehensive and updated credit reports on entities registered in Malta which help MACM Members to analyse the credit worthiness of their prospective and existing customers in an effective manner.
Members of MACM have the facility to monitor their existing customer on a daily basis. The MACM Credit Management Information System keeps Members informed of any changes in their customers’ status on a daily basis. MACM Members will then be able to take any necessary actions in a proactive manner to secure sound cash flow at all times.
Being a member of MACM, the credit manager/controller has also the opportunity to meet and discuss credit issues with his peer group during the Credit Industry Group Meetings organised periodically by the Association. Thus, his decision making will be more effective, less risky and technically more profitable to his company.
Credit defaulters and fraudsters are common clients to the suppliers coming from the same industry or market, and the best way to be informed of any early ‘warning signs’ is surely by forming part of a credit industry group. This system has been proved successful in various countries and it is also leaving positive results within the Maltese business community through MACM membership. MACM has helped its members to identify potential customers who were on the brink of failure. MACM has also served as a platform and assisted its Members to get paid from bankrupt customers.
The credit department does more than just crunch numbers and make collection calls. The credit department is becoming a more integrated business unit within the business organisation. It determines the level of cash flow of the organisation, and to an extent, the profitability of the whole organisation especially in Malta where credit facilities were easily granted. Credit decisions will be taken more wisely and professionally when the internal and external business environmental factors are taken into consideration. The only way to make effective, profitable and competitive credit decisions, as well as to reduce risks associated to credit is by basing these decisions on accurate and timely information.