As shown in the previous issue of "The Credit Manager", the VVCM deems innovation of Credit Management of great importance. It enables the Credit Management profession to evolve. This will benefit clients, their customers and thus the society. The prize, which is awarded annually, is intended to honour companies, individuals and/or organisations for the way they have made an innovative contribution to the improvement of and/or the introduction of new tools for credit managers.
Six cases were submitted for the VVCM Credit Management Innovation Award 2019. From these applications, the independent jury, consisting of Jean Gieskens (Senior lecturer VVCM Education), Cees Jansen (Chairman of the VVCM), Casper Sonnega (VVCM Credit Manager of the Year 2016), Rody Heijstek (CEO of Mail to Pay, winner of last year) and Martin van der Hoek (honorary member and former Chairman of the VVCM) selected three innovation projects, which have led to a demonstrable positive breakthrough in the way Credit Management takes place. The jury tested the projects on innovation, being operational and on their contribution to the field of Credit Management. This year , Syncasso, GGN and Signicat were nominated for the VVCM Credit Management Innovation Award.
Dick Kruiswijk, director Market and Communication at Syncasso presented an approach of visual debt collection communication, which is particularly understandable for low-literacy debtors.
Together with Kredietbank Nederland, the University of Groningen and the Stichting Read and Write in 2017, Syncasso started the research ' Read ≠ Understand ' with the aim of mapping the percentage low literacy among debtors-customers, followed by a research how to communicate best with them. At the end of April 2018, the intermediate reporting of the study showed that more than 50% of the debtors in Syncasso are low-literacy. A shocking high percentage that even the NOS Journal (National Broadcasting Agency) did an extensive report of, because the average in the Netherlands is 18%. Having difficulty reading and writing has major implications and is detrimental to all parties involved. The creditor must wait (even) longer for payment. Syncasso needs to make more effort and cost to get the debtor moving. If the debtor is not be able to respond in a timely manner he will be facing additional (extrajudicial) court costs. Besides being unfair to the low-literacy debtor, this is also inefficient and ineffective for Credit Management. The challenge is to develop debt collection communication that is understood by everyone.
Kees van den Heuvel, commercial director at GGN, gave a presentation with the motto "With data you can really collect social".
He told that in the past, with all debtors was communicated in the same way. No distinction was made in the moment of communication, the tone of voice or the channel. A debtor who could not pay was tared with the same brush as a debtor who did not want to pay. Meanwhile, the entire collection market has evolved and accounts receivable are increasingly being segmented. In 2017, GGN published a best practice with client Bol.com, in which they demonstrated that a major improvement was achieved with a segmented approach. The biggest improvements in the collection came mainly from debtors, who could pay. A segmented approach will only help Debtors who cannot pay in a limited way. Simply put: If you don't have the money, you can not pay with a segmented approach either. That was a reason for GGN to further look into the debts that cannot be paid. In doing so, they sought answers to the question: can we ensure that debtors who are unable to pay will be able to pay again in time?
The third nominated for the VVCM Credit Management Innovation Award 2019 was Signicat. Edwin de Ron, Senior Sales Executive of Signicat Benelux, presented a collaboration of Signicat with Rabobank, which led to Rabo eBusiness becoming the first Digital Identity Service Provider. This makes it possible to electronically identify the identity of customers and to have documents signed and preserved. This simplifies the verification of the identity of customers from all over Europe. It prevents the misuse of someone else's identity. A textbook example of digital transformation.
Great pitches of fifteen minutes followed by questions and answers contributed to the judgement of the jury under the direction of Martin van der Hoek, who announced the winner of the VVCM Credit Management Innovation Award 2019 at the end of the afternoon. Signicat won the coveted prize. Also on behalf of the organization of Credit Expo Congratulations!
Edwin de Ron
Edwin is a Senior Account Executive for Signicat in the Netherlands.
November 19 2019