SIRWFIN001
Complete debtor processes


Application

This unit describes the performance outcomes, skills and knowledge required to use business technology, systems and reporting mechanisms to confirm customer trading information, complete debt processing, and implement debt recovery processes.

It applies to individuals involved in routine financial administration in wholesale businesses. They operate with independence and under limited supervision and guidance from others, and within established organisational policies and procedures.

No occupational licensing, certification or specific legislative requirements apply to this unit at the time of publication.


Elements and Performance Criteria

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Confirm trading terms and process payments.

1.1.Source and confirm trading terms for purchasers of products or services based on organisational or other records.

1.2.Review trading history of purchaser of products or services.

1.3.Process routine direct purchases payments according to organisational procedures.

1.4.Inform customers of payment requirements using clear and direct communication and verify authority to purchase.

2. Establish customer debt and credit levels.

2.1.Determine individual and business customer credit levels, or refer to relevant personnel.

2.2.Identify individual and business customer bad debts using business technology or records.

2.3.Confirm credit level of customers purchasing specific products or services.

2.4.Maintain updated credit status of account customers in organisational database.

2.5.Determine acceptable debt levels for individual and business customers and report variances to relevant personnel.

3. Implement debt recovery processes.

3.1.Confirm debt payment terms for businesses purchasing products or services.

3.2.Confirm payment terms for individual debtors.

3.3.Confirm debt repayments procedures.

3.4.Process debtors, including debt recovery processes, within set timeframes.

Evidence of Performance

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

use business technology and systems to:

check and confirm current credit level and trading terms and complete routine debt recovery processing for four different customers

process customer payments in three different forms

follow correct procedure for reporting breaches of customer credit limits and trading terms for three different situations

provide clear and accurate payment information to four different customers.


Evidence of Knowledge

Demonstrated knowledge required to complete the tasks outlined in elements and performance criteria of this unit:

organisational policies and procedures for:

debtor processes:

use and storage of customer account information

establishing customer needs and trading terms

identifying credit levels, trading terms and payment status

checking debit history for a customer

administering and processing debtor accounts

different forms of payment

processing and debt recovery

identifying bad debts

confirming debt payment terms and procedures

debt recovery and financial governance

use of technology:

privacy, confidentiality and security provisions affecting data storage, communication of information and access to technology

internal communication:

management structure and communication relationships

approval processes

referring enquiries to more senior colleagues

external communication:

standards for customer interaction

key aspects of legislation that impact routine debt collection tasks, including:

application of Goods and Services Tax (GST)

Australian Competition and Consumer Commission (ACCC) provisions

Australian Consumer Law

privacy legislation

interpersonal communication techniques:

active listening and questioning

communication methods which convey information clearly and concisely.


Assessment Conditions

Skills must be demonstrated in a wholesale environment. This can be:

an industry workplace

a simulated industry environment.

Assessment must ensure access to:

a computerised business financial system, associated documentation and customer records

organisational policies and procedures for financial administration

customers these can be:

individuals in an industry workplace, or

individuals who participate in role plays or simulated activities, set up for the purpose of assessment, in a simulated industry environment.

Assessors must satisfy the Standards for Registered Training Organisations’ requirements for assessors.


Foundation Skills

Foundation skills essential to performance in this unit, but not explicit in the performance criteria are listed her, along with a brief context statement.

SKILLS

DESCRIPTION

Numeracy skills to:

read and understand routine financial information.

Technology skills to:

use business technology to access, process and enter information into organisational systems.


Sectors

Wholesale


Competency Field

Finance