Presentation on theme: "Credit Management zonder verspilling"— Presentation transcript:
1Credit Management zonder verspilling Wilma Arends, 22 maart 2012
2Corporate Fact Sheet 2010 Over $1.62 billion revenues 2010 6600 employees16+ Manufacturing Plants Globally20+ Sales Offices GloballyCorporate Headquarters: St Louis, MO, USACEO: John S. StroupTicker Symbol: BDC (NYSE)Electronics and Communications marketsKey markets:industrial automation,broadcast andEnterprise
3Belden Company ValuesBelden is committed to fulfilling the highest standards in terms of ethical conduct and integrity at all times and in all places.Customers define our success.We invest in our people.We succeed together through teamwork.We play to win.Continuous improvement is our way of life.We reach for greatness.John S. StroupPresident Belden Inc.
4Belden Worldwide Headquarters Production bases Sales subsidiaries and officesJoint-Venture-sitesAustria ViennaCanada CobourgCzech Republic Horni PudluziChina Beijing Dalian Huizhou ShanghaiDenmark GjernFrance Colmar Domont Horbourg-Wihr LyonGermany Ettlingen Neckartenzlingen SchalksmuehleGreat Britain Littleborough ManchesterWessexHungary BudapestItaly Bagnacavallo Lugo Milan TorinoJapan TokyoMexico Tijuana NogalesNetherlands HilversumVenloRussia MoscowSingapore SingaporeSpain Barcelona MadridSweden Malmö Switzerland DachsenUAE DubaiUSA St. Louis, MO (Headquarters) Chambersburg, PA Leominster, PA Richmond, IN Washington, PA4
5Belden European Sales Footprint Austria ViennaBelgium BrusselsFrance Domont Horbourg-Wihr LyonGermany Ettlingen Neckartenzlingen SchalksmühleGreat Britain Littleborough Manchester WessexHungary BudapestItaly Agrate Brianza GiavenoNetherlandsHilversum VenloRussia MoscowSpain Barcelona MadridSweden MalmöSwitzerland Dachsen
7HistoryIn 1902, Belden is foun-ded by Joseph Belden in Chicago, Illinois.In 1993, Belden expands into Europe.In 2004, Belden and Cable Design Techno-logies merge to form Belden CDT Inc.In 2006, Belden CDT Inc. is renamed Belden Inc.In 1924, Hirschmann company is founded by Richard Hirschmann in Esslingen near Stuttgart, Southern Germany.In 2005, Hirschmann Automation and Control GmbH is formed.In 2007, Belden Inc. acquires Hirschmann Automation and Control.In 1933, Lumberg com- pany is founded by Karl and Erich Lumberg in Schalksmühle near Düsseldorf, Germany.In 2002, Lumberg Automation Components GmbH is formed.In 2007, Belden Inc. acquires Lumberg Automation.
8Credit Management Belden EMEA Belden strategie:Identify opportunities for enhanced revenue generation by making risk transparent and acceptable by Belden Strategy, and keeping receivables at a low level.Wees pro-actief: ken het land waar je verkoopt, je markt en je potentiele klant!
9Lean ManagementDefinitie: Het vastleggen van processen welke onze teams en leiders in een lijn zetten van constante vooruitgang.
10Het TeamSusan Sun. Junnie Zhu. Wilma Arends. Eric Chan. John Einwalter. Brent White. Tom Hale. Dennis Yang. Wayne Shen. Barry Leung. Chad Kibler. Blue Li10
11Scope & target sheet Kaizen Event Scope & Target Sheet Basic Data Kaizen Event Scope & Target SheetBasic DataKaizen TeamKaizen LocationSuzhou Shared ServicesProcess OwnerJohn EinwalterProcess BoundariesAR Credit Policy and related proceduresTeam LeaderEric Chan/Chad KiblerToolTransactional Process Improvement (TPI)Co-LeaderStart Date09/12/11End Date09/16/11FacilitatorBrent WhiteDaily Start Time8:30 AMDaily End TimeTBDCo-FacilitatorTeam Meeting AreaSuzhou Meeting RoomTeam Members(1) Wilma Arends (EMEA), (2) Tom Hale (BAG), (3) Wayne Shen (APAC) (4) Blue Li (APAC) (5) Susan Sun (APAC) (6) Barry Leung (APAC) (7) Dennis Yang (APAC) (8) Junnie Zhu (APAC) (9) Eric Chan (APAC) (10) John Einwalter (Corp) (11) Chad Kibler (Corp)Kick-Off Meeting Roomvia teleconferenceKick-Off Meeting Date9/12/2011Kick-Off Meeting TimeReport-Out Meeting RoomReport-Out Meeting DateReport-Out Meeting Time9:30 AMTeam ResourcesProblem StatementIn 2011, the global organization has struggled to meet free cashflow and OWC targets. A large contributor to not meeting those targets is the amount of Account Receivable that are past due. As a global organization the past due amount has ranged from USD 35.2 million to 54.6 million. The company does not have a global risk profile when extending credit to customers or a standard decision process that each location follows.How Is The Need For This Kaizen Tied To A VSM? How Is the VSM Tied To SDP and an AIP, TTI's, or KPI's?In order to reduce the amount of Past Due AR, we must understand and standardize the approaches we take to customer credit risk as a global organization. A reduction in Past Due AR will improve OWC.Kaizen Objectives (Related To VSM, SD, AIP, TTI's, Or KPI's)The objective would be to review current credit policies and potentially create standardized policy/template approach that can be utilized globally. Standard processes can be used in determining how we grant and review customer credit lines to prevent the potential for past due receivables. The focus will be on how we determine when and amount of credit to extend to customers and the tools used in the process to make a quality decision.
18Key Kaizen Breakthrough Identified IssueProcess Change in KaizenLack of a standard method globally to evaluate data.A standard checklist for data evaluation was established.Differing approval levels and personnel existed globally.Standardized our approach to approval globally.We lacked a standard tool to evaluate customer credit risk.Leveraged the EMEA tool, and put it into the global process.18
19$3.1 Million for the remainder of 2011 ResultsMetricPre-Event BaselinePre-Event TargetEst. Post Kaizen ActualImprovement*AR Past Due$55.9 Mil. (Jun)$43.1 Mil. (Dec)$40.0 Mil. (Dec)$3.1 Million for the remainder of 2011* Improvements from credit policy and collection changes versus previous KPI targets19
20Communications PlanAudienceObjectiveFocused Key MessagesMediaFrequencyAssignedDue dateCFOEngagementNeed senior management support coming out of the KaizenVariousTreasuryASAPRegional VP FinanceCommitmentImplementation support, follow approach consistentlyFLTProject / Newspaper ItemOct in STLBU LeadershipAcceptanceSell benefits of Faster Credit Decisions, Less Negotiations, Shared Standards (customer treatment, systems), Admin Savings, Lower OWCSLT MeetingOne-timeNext meeting after Oct 20Sales LeadershipUnderstandingMeeting with VP, FinanceOne-Time - includes presentation/instruction on escalationVP Finance & Credit LeaderSoon after FLTSales, CBT Training?OngoingSales LT for the RegionTBDCredit TeamsImportant new enhancements to the credit process. Will require training on new process (Checklist, Matrix, Escalation)Tom Hale, Wilma Arends, Eric ChanA structured communication plan has been put together to insure successin implementation.
21Lessons LearnedWilma’s Law: The warmer the climate, the higher the Days Sales Outstanding.We have much better understanding and agreement among our three divisions.I learned about the tools and processes that we can leverage.We accomplished far more than I dreamed possible.We learned that we were similar in our approaches.21
22Vandaag: Minimaliseren van risico Kredietwaardigheid van klanten, landen en marktenContinue monitoring, bezoeken, informerenCountry ratingMarktonderzoek
23Bedrijfsprocessen Controle over leveringen: Verlagen leveringstijd: openen warehouse op locatieHarmonisatie incoterms: CIP-CPTTrack & traceCheckPointRotterdamCheckPointDubaiCheckPointAgentCheckPointCustomer
24Bedrijfsprocessen Klachten Twee wekelijkse vergaderingen met kwaliteit- logistiek-inside sales afdelingRoot-cause analyse
25Collection OnGuard Business Units Profielen: risico groepering per klantAssessmentBenaderingRegio’sTotale risico Belden: customer groups
26Vandaag: Marketing Sales Supply Chain BU Sales & Complaints Sales ToolboxCretix Credit AssessmentExternal information sourcesShows the relationship with OS and the interrelatedness of each role as they provide strategic Customer Account ManagementCustomer creditworthiness Country risk Market risk26