1. Oracle Credit Management Presented by Venkatash Kovela
Customer Credit Score
and Integrations
Presented by Venkatash Kovela
Rapidigm Inc.

2. Venkatash Kovela Rapidigm Inc. Presenter Introduction: Contact:

3. Session Agenda Release Information Who Should Use?
Benefits of using OCM
OCM Advantages
OCM Integrations
Brief OCM Functionality Overview
Scoring Model Strategy
Case Folder View
Question and Answers
December 7, 2018

4. Release Information 11.5.9 11.5.10 11.5.10+ FP.G 11.5.10+ FP.D FP.F
OCM.A
Rollup Patch
OAF 5.7H
OCM.C
OCM.D
OCM.B
OAF 5.10
December 7, 2018

5. Who Should Use? Industry Focus: Practically any industry
Suitable for customers who use home grown solutions and/or have extensive customizations for credit application review and approval processes
Customers who are investigating and spending on high budgets and have manual decisions in place
Customers who have extensive credit policies including global risk zones
Customers who Credit Agencies like Dun and Bradstreet (D&B), Global Credit or Seafax etc for credit decision
December 7, 2018

6. Benefits of using OCM
Good customer scoring strategies will have better visibility, quicker decision making, reduces manual efforts and increase in the profitability
Reduces the credit-to-cash life cycle
You can have aggressive and/or conservative credit policies based on customer classes
Track credit performances and history of credit decisions and run reports as needed
Continuous and scheduled periodic credit evaluations for high risk customers or for all customers
Matches global credit policies
Strengthen internal controls and policy compliances
December 7, 2018

7. OCM Advantages
It can be easily configured on top of an existing 11i implementation (minimum with Fin-Pack.D)
Easy configuration depending on requirements.
Online credit application and approval process will eliminate many home grown systems
Controls escalating and higher incidences of bad debts
Reduces collection cost and diminishing returns
Lack of visibility in International Credit. Can handle financial risks in global market
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8. OCM Integrations
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9. OCM Functionality Overview
Create manual credit applications at various party and customer levels for trade and term credits.
Integration with Oracle Order Management and Oracle Lease Management for credit application and approval process
Determine the need of handy check-list data points for manual credit reviews
Determine credit scores based on business and corporate credit strategies
Scoring based on values outside Oracle instance
Perform automated credit analysis based on scores
December 7, 2018

10. OCM Functionality Overview
200+ standard data points available including financial, credit, collections, aging etc.
Define additional custom data-points for scoring and check-lists views
Suggest manual or automated credit recommendations
Use Oracle Approvals Management Engine (AME) for internal approval hierarchies
Purchase/Update customer/prospect data using integration with D&B
Batch load customer data received from D&B
Use D&B data points for online customer scoring
Monitor Credit Performances
December 7, 2018

11. Scoring Model Strategy
Build a suitable corporate across the board customer scoring strategy
Scoring Data Points can be numeric or alpha-numeric like Country Code, D&B Rating etc.
Each alphanumeric data point must have its own range, e.g., Range Low = ‘5A1’ and High = ‘5A1’
Prefer data points values with percentage and/or with number values like weighted average days paid etc.
More data points used more complex will be the scoring strategy
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12. Scoring Model – Setup Elements
Currency
Identify scoring data points
Set value ranges
Assign score points 0 for low and 100 for best score
Assign weights to make 100
Calculation example:
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13. Scoring Model - Example
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14. Alpha-Numeric Data Points
Same Score
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15. Additional Data Points
Extensible functionality (future Oracle Release)
Associate a PL/SQL function to a data point to derive the data point value during runtime.
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16. Automation Rule - Setup
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17. Check List View
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18. View of a Case Folder
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19. View of a Case Folder
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20. Questions and Answers