Feature Articles

KeshMahinder Singh, CEO & President of Kollect Systems Sdn Bhd

“KESHMAHINDER SINGH, CEO & President of Kollect Systems Sdn Bhd addresses, in this article, the perennial payment collections challenge SME businesses face in today’s world. Kesh, is an expert in the area of Revenue Collection and Debt Management, with two decades of experience consulting the Banking and Finance industry. Kesh shares how Accounts Receivable (AR) Collections automation technology can help improve the financial health of SMEs.”

The KollectValley Impact on Accounts Receivable Performance

Improving Accounts Receivable (AR) performance is an important task that requires close attention by the Chief Financial Officer (CFO). Getting paid faster, reducing friction to payment, managing invoice and payment disputes and increasing customer satisfaction are directly connected to a healthy cash flow, an optimised working capital ratio and an increased ability to take advantage of opportunities for growth.

The Days Sales Outstanding (DSO) ratio is used by the CFO to measure the average collection period. CFOs looking to reduce their DSO will want to look into the inefficiencies in existing AR policies and procedures that are causing high DSOs and, additionally, will also want to analyse purchasing and payments histories and patterns of their customers.

Kollect Systems Sdn Bhd has identified several key areas for improvements in AR performance and provide KollectValley, a software platform on the Cloud, to manage AR collections and cash flow better.

Manually tracking and following up on large numbers of invoices and payments can be very time-consuming. The larger the number of overdue invoices, the larger the headcount requirements become impacting increased overhead expenses as well.

Over-reliance on Excel spreadsheets, post-it notes and ad-hoc solutions exacerbate the problem of communicating the state of collections with customers. KollectValley provides a customer-centric view of invoices and payments with information available at the user’s fingertips during collections calls for maintaining healthy customer relationships.

Manually sending out emails and SMS reminders to customers is a very time-consuming and expensive exercise. Automating the delivery of reminders ensures consistency in language, frees employees’ time, and, with the availability of bulk email and SMS messaging packages, the cost of chasing payments can be further reduced. KollectValley bundles the cost of bulk email and SMS messaging into an affordable subscription package that lowers the barriers to entry for companies looking to automate and include mass email and SMS messaging capabilities into their AR processes.

CFOs dealing with multiple subsidiaries without a centralized or connected accounting financial system are re-keying in invoice and payment information resulting in delays, increased costs and heightened frustration. KollectValley seamlessly integrates with all major Accounting and Enterprise Resource Planning (ERP) systems eliminating double-work and provides a centralized platform for a complete 360 degree view of the customer.

To empower and encourage customers to make decisions and take action, KollectValley provides a self-care option consisting of self-service tools for viewing past invoices, past payments, current outstanding invoices, initiating payments and contacting AR teams to file disputes.

Looking beyond speedier collections, KollectValley provides insight into factors that affect payment delays and assists to identify process bottlenecks - documenting actions taken and communications between AR teams and customers for process transparency.

KollectValley presents a unique opportunity for CFOs to design and implement a customized strategic approach to managing their AR collections and cash flow, better.

To date, KollectValley has helped its customers to collect over RM30 billion in revenues. Visit www.kollectvalley.my for more information on how KollectValley can help you.