Course Details

This course is appropriate for a wide range of professionals but not limited to:

• Accounts Receivable Specialists and Supervisors
• Credit and Collections Analysts
• Finance and General Accounting Staff
• Revenue and Billing Managers
• Sales and Customer Service Support

• Expert-led sessions with dynamic visual aids
• Comprehensive course manual to support practical application and reinforcement
• Interactive discussions addressing participants’ real-world projects and challenges
• Insightful case studies and proven best practices to enhance learning

By the end of this course, participants should be able to:

• Explain the full order-to-cash cycle and the role of AR clearly.
• Develop and implement effective customer credit policies successfully.
• Execute collection strategies to minimize past-due accounts reliably.
• Process and apply customer cash receipts accurately and efficiently.
• Utilize key AR metrics (DSO, aging) for performance measurement correctly.
• Comply with regulatory requirements related to revenue and bad debt confidently.

DAY 1

Fundamentals of Accounts Receivable and the Order-to-Cash Cycle

• Welcome and Introduction
• Pre-test
• The role and importance of the Accounts Receivable function
• The complete order-to-cash cycle (sales order to cash receipt)
• The relationship between AR and Revenue recognition
• Principles of developing and managing customer credit policies
• Assessing and mitigating customer credit risk and exposure

DAY 2

Invoicing and Billing Management

• Best practices for accurate and timely customer invoicing
• Managing sales orders, delivery confirmation, and billing schedules
• Implementing electronic invoicing (EDI) and automated billing solutions
• Customer tax requirements and billing compliance
• Handling adjustments, credit memos, and returns documentation
• The impact of billing discrepancies on customer relationships and collections

DAY 3

Collections Management and Customer Communication

• Developing a structured and proactive collections strategy
• Effective techniques for segmenting accounts based on risk and age
• Mastering professional communication for collections calls and emails
• Utilizing dunning processes and automated collection workflow tools
• Negotiating payment plans and managing difficult collection scenarios
• Legal considerations in debt collection and customer disputes

DAY 4

Cash Application and Reconciliation

• Methods of receiving customer payments (ACH, wires, lockbox, card payments)
• Efficient and accurate application of cash to open invoices
• Handling unapplied cash, suspense accounts, and partial payments
• Daily and monthly reconciliation of the AR subsidiary ledger to the GL
• Managing foreign currency receipts and exchange rate implications
• Accounting treatment for write-offs, allowances, and bad debt expense

DAY 5

AR Reporting, Metrics, and Review

• Analyzing key AR performance indicators (KPIs)
• Measuring Days Sales Outstanding (DSO) and Current vs. Past Due %
• Creating and interpreting the Accounts Receivable Aging Report
• Auditing the AR function for efficiency and compliance
• Developing action plans for continuous process improvement
• Post-test
• Certificate ceremony