Payment delays, the economy’s top issue, can be reduced by up to 37%

Companies working with commercial credit – the payment on time for products or services delivered – and which come to have problems collecting the money can improve cash flow by reducing the average length of the payment delay. An application for automating business processes from Wizrom Software allows an average reduction with 37% of the payment delays.

"The experience has shown us that automating certain processes and eliminating the human error risk generates an improvement in the rate of reimbursement. We calculated upon the average payment periods and upon the average period of delay before and after implementation, that our application generates a 37% reduction in payment delays”, said Adrian Bodomoiu, Wizrom CEO, the company with the largest number of ERP implementation.

According to the European Payments Index, Romania is in the category of the countries with the highest risk of payment delays, with an average delay of 182 days, in 2012. It's about payment delays over the deadline provisioned in the contract or invoice.

Given this reality, Wizrom introduced in the latest version of ERP WizPro solution a Business Process Management (BPM) module to automate many of the procedures for billing and payment recovery. This includes automatic invoice sending, launching warnings when invoices reach maturity, issuing and sending letters to clients, and launching tasks for debt collection for the financial and sales teams.

Another functionality of BPM helps the user to, once it highlights a non-paying client, the application issues alerts for blocking due services / deliverable products to the customer with delays. Depending on a customer's payment history, BPM can automatically calculate commercial credit limits – the maximum amount of products / services that can be delivered for a certain amount.

Wizrom Software also offers solutions that can generate analysis such as Business Intelligence and predictive analysis showing what customers are likely to stop the partnership or which of the clients will become bad payers – based on payment history.