The Evolution of the Collection Department: Part 2

Hi:
In the past few blogs, I have identified some of the problems which developed when computers were introduced into collections departments over the last thirty years. Some of the advantages of computerization are as follows:
1) It allows credit and collections departments to compile statistical data identifying problems and enables the departments to quickly deal with them.
2) Computers allow instantaneous communication among credit, sales and collection departments, transferring documents, pictures etc., throughout the departments.
3) Computers have virtually eliminated one huge problem of the past for retailers in dealing with NSF checks through point of sale terminals.
4) Advanced computerized phone systems have allowed companies to reduce their staff by having many questions electronically answered.
In a well run company the sales, credit and collection departments work in concert. Each department needs the help of the other and can utilize the experiences of each other. Unfortunately, many companies have done away with 75% of their experienced credit and collection people, thereby making it harder for the consumer to be dealt with in a personal manner. The only remedy for this situation is generally to talk with supervisors and sometimes even the bosses of supervisors. One needs to go up the ladder to find a professional with the authority to deal with a particular situation. Monday I will talk about collection agencies.
Have a good weekend.
Until then,
Alan