Credit Management in Australia - October 2017

Volume 25, No 1 October 2017

The Publication for Credit and Financial Professionals

IN AUSTRALIA

Celebrate 50 years of history

 Impact of new insolvency changes  Managing international credit risk

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Volume 25, Number 1 – October 2017

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Message from the President

History

6 7 18 20 22 24 26 29 30 31 32 33

Introduction Past national presidents Queensland South Australia Victoria Western Australia New South Wales Timeline Past Magazines Young Credit Professional Credit Team of the Year Past Conferences

Human Resources

34

What happens when you hire a narcissist

By Petris Lapis

NSW Division: Women in Credit – Back row: Rebecca Bishop, Amanda Borland, Beth Gray, Debbie Leo, Treacy Sheehan, Balveen Saini. Front row: Sue Day, Sev Indrele, Tracy Bevan and Anna Taylor.

59 Qld Division: 2017 Qld YCP winner Nathan Wilkinson with AICM CEO Nick Pilavidis, Qld President Roger Masamvu and Martin Morris (D&B).

62 SA Division: James Neate receives his Life Membership from Trevor Goodwin.

Credit Management

38

Customer centricity in collections

By Nikki Dennis

The challenges around internationally standardised company information for credit risk

42

By Stephen McKinney

44

Financial Relationship Management – Are you across it yet?

By Symon Cook

Challenges and concerns that keep credit managers awake at night

46

64 Vic/Tas Division: Lou Caldararo and Jeff Hurst with their Life Member certificates.

By Kirk Cheesman

68 34 Petris Lapis

38 Nikki Dennis

42 Stephen McKinney

44 Symon Cook

WA/NT Division: 2017 YCP – Lisa Marr (WA State President), Vivienne Terpkos, Peter Hamers (winner), Angela Porter and Ricky Black (D&B).

ISSN 2207-6549

DIRECTORS Australian President – James Neate LICM CCE Australian VP, Finance – Gregg Odlum MICM CCE Professional Development – Rowan McClarty MICM CCE YCPA & CCE – Trevor Goodwin LICM CCE Legal Affairs – Greg Young MICM CCE Member Services – Jeff Hurst LICM CCE CHIEF EXECUTIVE OFFICER Nick Pilavidis MICM CCE Level 3, Suite 303, 1-9 Chandos Street, St Leonards NSW 2065 PO Box 64, St Leonards NSW 1590 Tel: 1300 560 996, Fax: (02) 9906 5686 Email: nick@aicm.com.au EDITOR/PUBLISHER Nick Pilavidis | Email: nick@aicm.com.au

47

47

Robyn Erskine

Adrian Hunter

50 Terry Ledlin

52 Leigh Adams

Insolvency Spring brings a proliferation of insolvency law reform

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By Robyn Erskine and Adrian Hunter

Privacy Putting privacy in perspective – what you need to know and mandatory data breach notification

50

By Terry Ledlin

PPS PPSA – possession is 9/10ths of the law – really?

CONTRIBUTING EDITORS

By Leigh Adams

NSW – Balveen Saini MICM Qld – Stacey Woodward MICM SA – Gail Crowder MICM WA – Lisa Marr MICM Vic/Tas – Donna Smith MICM CCE

AICM Training news How to motivate people Course dates

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ADVERTISING Andrew Le Marchant LICM CCE Phone Direct 02 8317 5052 or Mob 0418 250 504 Email: andrew@aicm.com.au EDITING and PRODUCTION Anthea Vandertouw | Ferncliff Productions Tel: 0408 290 440 | Email: ferncliff1@bigpond.com THE EDITOR reserves the right to alter or omit any article or advertisement submitted and requires idemnity from the advertisers and contributors against damages or liabilities that may arise from material published. CREDIT MANAGEMENT IN AUSTRALIA is published by the Australian Institute of Credit Management, Level 3, Suite 303, 1-9 Chandos Street, St Leonards NSW 2065. The views expressed in CREDIT MANAGEMENT IN AUSTRALIA are not necessarily those of Australian Institute of Credit Management, which does not expect or invite any person to act or rely on any statement, opinion or advice contained herein (whether in the form of an advertisement or editorial) and neither the Institute or any of its employees, agents or contributors shall be liable for any opinion contained herein. © The Australian Institute of Credit Management, 2017.

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Around the States New South Wales Queensland South Australia Victoria/Tasmania Western Australia/Northern Territory New Members

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Contact: Andrew Le Marchant Click Here EDITORIAL CONTRIBUTIONS SHOULD BE SENT TO: The Editor, Level 3, Suite 303, 1-9 Chandos Street, St Leonards NSW 2065 or email: nick@aicm.com.au

Ph: 1300 560 996 E: andrew@aicm.com.au

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aicm

From the President

James Neate LICM CCE National President

W

elcome to those

There will be a series of important

attending the 2017 AICM

announcements throughout the Conference

National Conference

including the AICM Credit Team of the

and to those who could

Year sponsored by Equifax, the AICM

not join us at the Conference this year, a

Young Credit Professional of the Year

special welcome to this bumper 50 year

to be awarded at the President’s Gala

anniversary edition of our magazine.

Dinner sponsored by Dun and Bradstreet

As we celebrate 50 years since the

and we will also recognise the Certified

incorporation of the AICM and indeed

Credit Executive Dux of the Year for 2017

80 years since the formation of its

sponsored by NCI, at the exclusive CCE

predecessor the ‘New South Wales Institute

invite only luncheon. This conference will

of Credit Men’, we reflect upon the history

see the inaugural Student of the Year Award

of the Institute and naturally the role of

presented.

credit within commerce.

Within the pages of the magazine are

The trade fair exhibitors’ booths have this year been oversubscribed and so there

various reflections on how different life

is a wonderful opportunity to review and

now is in a modern, technological and fast

examine all the very latest in the market in

paced commercial environment compared to

the one place. There will be opportunity for

earlier times. Nevertheless, the role of credit

you to catch up with colleagues and friends,

has at all times been at the core of proper

always a source of much information and

commercial business and risk management

insight.

practices. That remains very much the case

This year is a special occasion for the

today especially given the complicated,

AICM. We can be proud of where the

regulated and technical space where all

Institute now stands as the premier training

branches of the broad credit family operate.

and advocacy organisation for credit.

The focus of the Conference therefore

Our technical programme has never been

remains to update, upskill and inform our

stronger, nor our voice and influence in

members of the very latest in all things credit.

legislative affairs more prominent.

The program of speakers highlights the

The AICM continues to serve as the

range of areas that must be understood in

foundation for a career in credit and the

order to be an effective, compliant and best

quality and depth of our technical training

practice credit professional.

remains a hallmark of the AICM ‘Setting

The Conference would not be possible

The Standard’.

without the assistance of our sponsors and I thank them all, particularly Equifax who are

Enjoy the Conference, you will be all the wiser for the experience.

our Premier Sponsor, now in their 11th year

4

running and Austral, who are our Supporting

– James Neate LICM CCE

Sponsor.

National President

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

AICM History

2017 MARKS 50 YEARS since the AICM was incorporated as a national body and we wanted to celebrate this occasion by reflecting on where we have come from and to pay respects to so many people who have contributed to our organisation.

We were aware that we had an offsite storage facility but no one had been there in years. We decided to visit to check out what was actually stored. Amongst the accounting records we found a treasure trove of documents and minutes from our predecessor the Australian Credit Men in 1936 to late 1990’s which we have either digitised or now keep on site to prevent further deterioration.

It became apparent our “forefathers” were very keen on networking and the involvement of members to improve the standing of the credit profession.

Much of what we do today is a continuation of the work these volunteers undertook and the time they spent mapping out a plan for our national organisation. We are forever grateful for their work.

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The documents reveal the challenges they faced in a time before emails and instant communication when telephone conversations were expensive and the National Board often only got to meet face to face every second year.

At the outset we envisioned reprinting multiple pages of documents which demonstrated the changes in our institute throughout the years and thought these would be of interest to members, however it became apparent that what really matters is the people behind these documents. We can all relate to the events where our colleagues came together to improve our profession.

In establishing a review of our history, each state appointed a historian who is passionate about the AICM and wants to see our history preserved. We encourage all members to review special artefacts and if you have photos or documents (especially pre 1992) that you’d like to donate or copy to the AICM history team.

Here are your state contacts:

NATIONAL:

QUEENSLAND:

NEW SOUTH WALES:

Andrew Le Marchant LICM CCE

Toni Sawyer LICM CCE

Grant Morris MICM CCE

andrew@aicm.com.au Ph: 02 8317 5052

toni@aicm.com.au Ph: 0412 666 996

gmorris@southernsteel.com.au Ph: 0407 405 198

VICTORIA:

SOUTH AUSTRALIA:

WESTERN AUSTRALIA:

Jeff Hurst LICM CCE

Neil Ricketts LICM

Frank Vredenbregt LICM CCE

jeff@jghcreditriskmanagement.com.au Ph: 0427 945 791

neilricketts1@optusnet.com.au Ph: 0432 682 997

fvredenbregt@ahg.com.au Ph: 08 9351 4862

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

National Presidents We recognise that our organisation was led by a group of credit professionals who exhibited foresight and determination to make our institute successful. These leaders gave their time generously and in the following pages we celebrate and thank them for their involvement with the AICM. Each national president came to office with a personal desire to implement change, faced challenges and worked with the other volunteers to achieve their plan. We’ve asked them a series of questions and have collated the following interviews

to capture the essence of the AICM as seen through the eyes of the national president. Interestingly while some priorities change there are recurring themes that run through the interviews.

We start with a letter from our founding president Lionel Scott who was instrumental in the formation of the national AICM, edited our text book, spent countless hours promoting the credit profession and who at the end of his life wrote this emotional farewell to the institute he clearly loved.

1967

Lionel Scott 20th April 1982 Firstly I advise that my wife is writing this letter because I am not in a position to do so. Because of the worsening state of my health it is extremely unlikely that I will see any of you again.

May I say that anything I have been able to do for the Institute over the years has afforded me much pleasure. After all I have always regarded the Institute as my baby since I first conceived the National idea just on twenty years ago. Would the relevant councillors please give my regards to the earlier councillors including Ian Coates, Ian Haddrill, Dusty Rhodes and especially that lovable fellow Ted Furze.

Finally I commend to you the future of our Institute; lend your efforts to its continued advancement and above all keep its name unsullied.

My personal regards to you all. – Lionel Scott

1969 – 1971

Ed Furze LICM As a highlight of my term in office, the appointment of Miss O M Rhodes (South Australia) as the first lady on the National Council stands out. She was allocated the Education Portfolio, and her outstanding ability in this sphere resulted in the establishment of education facilities at tertiary level in all but one state. Education also included the introduction of Diploma Courses and Correspondence Course facilities in some Divisions, which were made available to the others.

The National Institute achieved greater recognition by Commerce resulting in increased demand for qualified Credit Officers and improved salary levels.

Vital and necessary progress was made towards eliminating the parochial and unacceptable attitude of some Divisions towards many issues relating to future stability, progress and nationwide recognition of the National Institute.

Acceptance by Commonwealth, State and kindred bodies of submissions in matters relating to inherent credit problems was achieved.

Ian Coates ~ 1967–1969

Ian Hadrill ~ 1971–1973

Gordon Ward ~ 1976–1977

Peter Fletcher ~ 1977–1979

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

7

AICM History

National Presidents

1973 – 1976

Merv Carey Without a doubt the highlight of my presidency was my launching in Sydney of the first Australian Credit Management Manual in 1974.

This hallmark was achieved with the help of a number of leading business people and the editing by one of the Institute’s founders’ and a good friend, the late Lionel Scott.

The other highlight was an extensive tour I carried out in the United States investigating their equivalent body, credit procedures and laws in general. The early 70s was a period of great change. The Whitlam government was elected and proceeded with major reforms, notably welfare and consumer protection, also unfortunately, high inflation.

1979 – 1981

Keith Pears LICM I think it is fair to say that the advanced technological and Legislative changes (such as the Privacy Act, Corporations Law and Consumer Credit Code) that have taken place during those years has provided a platform for the higher recognition of the credit profession. This has resulted in an increased acceptance by educators, business leaders and Government that the Institute is a truly professional body which has proven that it can provide an ongoing credit education program and a worthwhile backup service to the credit industry generally. It is interesting to note that in the 1980 Jan/Feb issue of Credit Review I wrote among other things…. “that unemployment is still going to be with us in the 80’s” “there will be increased pressure on Australian industries to restructure, reorganise and become more export conscious” “Of prime importance will be the continuing development of human resources” “success will lie in management’s ability to persuade people to get on with the job and achieve the best possible results” Not a lot has changed has it? I am sure that the recently adopted new constitution and the implementation of the Certified Credit Executive Program is a step in the right direction and will ensure that the Institute will continue to progress and meet the challenges of the change with confidence to achieve its objectives.

1981 – 1983

Keith Wilson Since joining the original Queensland Chapter of the Institute in 1962, I consider it a privilege to have served on the Queensland Division Council for over 16 years.

It was an honour to be elected as Australian President from 1981- 1983.

The highlights of the last 30 years for me, were to see the amalgamation of the six State Divisions in 1967 to form the Australian Institute of Credit Management. In March, 1982 a meeting was held in Launceston of all State Education Portfolio holders to consider the introduction of a Uniform Education Program and Standards of Admission to the Institute.

In February, 1994 a meeting was held with the Executive of the New Zealand Credit and Finance Institute. Informal discussions had been held on several occasions since September 1980, when I attended their Convention in Wellington, and their President attended our National Conference in Launceston in 1983.

I am looking forward to the next decade to witness the growth in our profession and the Australian Institute.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

1983 -1985

John Morris Following the formation of the Australian Institute of Credit Management in the 60’s there was a considerable period of time in which the Institute did not progress at the rate which one would have anticipated at the time of incorporation. Communications at that time were of a far less standard than we enjoy today, together with only having a National Council Meeting on an annual basis, made unity of the Institute quite difficult.

This factor, of course, was not unique to AICM and influenced many areas of the business world within Australia. However, there were many members who supported the idea of unity and slowly the wheel began to turn. A Committee of all the Education Chairmen from each Division was formed to arrive at a common basis for educational standards throughout Australia to enhance the career prospects of members. A start had been made and has since then been changed and amended to produce what we, as an Institute, have today. In September 1984, the National Conference was held at the Sheraton Hotel, Perth. At that time there was a reluctance for people from the eastern states to travel to Perth for a conference due to the time and distance involved. In an effort to overcome this, in 1983 Basil Dunn and I travelled to each capital in the course of a week, making a slide presentation to each Division. The conference was the only one held over a seven day period and was a huge success in every aspect with a large number of members and partners “Crossing the Nullabor” for the week of activity. Now that I have left the workforce, I watch with great interest the developments of the Institute and trust that it continues to grow and achieves the recognition from both Governments and the business world that is so essential in today’s electronic world.

1985 – 1988

Brian Hoskin Balance the interests of the business and its debtors At the time Brian Hoskin was appointed South Australia’s delegate to the AICM board, the institute had no bylaws and relied solely on the constitution for governance. He was appointed to the bylaw portfolio with the challenge of putting together a sample of bylaws for discussion and subsequent board approval and implementation. “They still exist today, with updates,” Brian says. The bylaws cover every aspect of the institute and its members’ expected conduct.

Looking back Brian says legislative changes in South Australia in the early 1970s had a significant impact on the credit profession during his time in it. The new laws gave greater protection to debtors, for instance ensuring contract fine print was in a font size to be large enough so it was legible. “The legislation was to assist debtors to understand what they were signing. That was a big change, and it meant other states dealing with debtors in South Australia had to abide by those laws too,” he explains.

Brian credits then-premier Don Dunstan with spearheading the new laws, “He wanted to do something to help debtors,” he says. “What happened in South Australia at that time precipitated future changes at the federal level with the subsequent introduction of the new credit laws. These steps combined helped to encourage a level playing field throughout Australia for the procedure in the granting and operation of credit,” he says. As for the future, Brian believes credit is under pressure due to high consumer debt levels and the rising cost of living.

Early influences Brian credits Ted Phillips, one of the South Australian Institute of Credit Men’s founding members as an early influence.

“He was full of information, and a person who not only looked after business but also tried to assist debtors who were in default. He was a good man and I learned a lot from him; he encouraged me to join the institute,” he says. Brian’s advice to credit professionals today is not only to look after the business as a credit manager, but to also look after their debtors.

“They represent a firm’s major asset,” he says. He also suggests trying to mentor people before granting them credit

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

9

AICM History

National Presidents

because many will keep looking for credit in desperation, which can very easily cause great hardship. Says Brian: “credit managers need to wear two caps. One to look after their company’s assets in the form of trade debtors and another to look after debtors to make sure they are not overexposed.” It’s good advice for every credit professional to follow.

1988 – 1991

Bill Duncan On a commercial footing Bill Duncan joined the AICM in 1975 at the age of 28 and during his career was closely involved in developing the institute’s education program, having run a TAFE credit management course in Brisbane for many years. Aside from his role as Yellow Pages credit manager, Bill was initially closely involved with the Brisbane AICM chapter, holding the position of Queensland division president from 1980 to 1982, followed by Queensland director in 1985.

“In 1985 I moved to Sydney to acquire an interest in a debt collection agency and I became more involved in debt recovery. I joined the New South Wales division as a councillor and became a director for the NSW directorate in 1988.

Then from 1988 to 1991 I was national president. Because I had my own debt collection business I had the time and resources to do a lot of work for AICM,” he says. During that period the executive re-positioned AICM from a credit managers’ club to a business to make AICM more professional and to run it at a profit by conducting initiatives such as conferences and seminars to generate funds.

“It was during that period we started to develop business plans and budgets,” says Bill. During that time the first executive director, Les Wilson, was appointed as the AICM’s first full-time employee, working from offices in Sydney. We worked hard to make sure board meetings were conducted correctly, minutes were taken and budgets were discussed,” he says.

Bill, who is the national practice manager for a legal practice with credit managers as clients, says the role has become much more central in large corporations due to heightened consumer credit risk. “We’ve seen the introduction of privacy laws and new credit legislation, and the credit manager of today is a real professional,” he says, adding that the biggest challenge over the last 20 years has been new technology.

Presidential highlights Bill credits Les Wilson and other former presidents Bob Blakistan, Steve Mitchinson and Roger Penfound as important influences on him. “We were a very effective group of directors,” he adds. As for the future Bill expects organisations will continue to have a growing realisation of the importance of the credit manager role. “I would encourage any young person who wants to become involved in credit management to join the institute to be able to network with other credit managers and achieve professional accreditation,” he says.

1991 – 1994

Bob Blakiston Business time for the AICM During his time as president Bob Blakiston was an agent for change at the AICM.At the time, the state presidents all had extensive management experience, and there was a move to instil more business-like processes in the institute, which had been the focus of a number of previous presidents as well. “The board set about doing a business and financial plan, to treat the institute as a not-for-profit business. Our aim was to make sufficient funds to expand our activities, particularly in policy development and education,” says Bob. “We wanted to create member activities that bonded them, and open up communication channels and networks. In those days it was taboo to talk about credit between companies,” he says. Bob brought together a dedicated team of board members who were committed to developing policies and procedures for the elevation and advancement of the credit management profession and its members. “The first

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

bold step we took was appointing the AICM’s first, full-time executive director, Les Wilson in 1989. It was a huge investment.

He took all the board’s initiatives and turned them into policies and procedures and implemented them.”

Changing times Bob has seen the credit profession undergo substantial changes, in particular the introduction of many new laws that affect the credit sector, many of which favour debtors. He is critical of proposed new laws that relax bankruptcy regulations.

Having worked extensively in general management, Bob has also witnessed more businesses using trade credit insurance, particularly in commercial credit. “I understand it removes risk, but there is a cost. The risk is a light touch assessment of the worth of that customer. My advice to sound businesses that are struggling to get credit is to find a credit manager to talk to, who’s prepared to go in and bat for you,” he says. In terms of the future, Bob sees substantial risks to the credit sector from cyber security risks. He sees identity theft and security of personal information as important emerging issues.

“It’s a significant problem and it’s not clear to me how it will be resolved,” he says.

Early support Bob credits two fellow AICM members as important early influences. Malcolm Pickles was one. “He was a true credit manager. He really inspired me to take on the task of changing the institute and the credit management profession.” Ted Phillips was another mentor. “I listened to Malcolm and Ted and I grew as a person. I always sought their wisdom and their advice,” he says. Bob always worked to have the credit manager and its function separate from the accounts department and to be recognised as a marketing role, not a back room position. “That started to take place in the 1990s when credit managers began to receive recognition.” He advises all credit professionals to become involved in the AICM. “Having served on the council for almost two decades it was truly rewarding to have a team of people bonding together to strive for the same goals, to raise the standards of the credit profession. “Through functions and education programs you can develop excellent skills, network with likeminded people and develop your capabilities. The AICM is a great place to grow your career and further your credit knowledge and the profession.”

1994 – 1995

Roger Penfound AICM as a learning ground Roger Penfound joined the AICM board in 1990 and took on the education portfolio, working closely with TAFE Victoria to develop a certificate course. Then in 2002 the highlight of his career was being made a life member of the AICM. Roger says credit will only increase in importance. “Credit is getting tighter and the world is changing. I certainly had challenging times in credit but the challenge now is even more difficult. Credit is so heavily regulated and it’s essential to be mindful of that.” He names fellow AICM life member Roland Rodda as one of his most significant mentors. “There are two things he taught me. The first thing is to listen with your eyes and listen with your ears. In credit, you talk to a lot of people and you’ve got to hear what they say. If you’re gazing out the window you’re not listening.” Roland also taught Roger about the importance of taking instruction. “He gave us a test with about 50 questions. He said, “I’ll give you five minutes to do the test, but read it first and then do the questions.” No-one read it and we just started going hammer and tong and no one finished it. “The last question said: To pass this test, all you need to do is put your name and company you work for in the space provided at the top of the first page. There is no need to answer any questions. So the second major thing I learnt is to read something thoroughly before making any comment.”

A collegiate environment Roger says he learnt an enormous amount from his peers at the institute, “Being in the institute you learn from your peers; they’re probably the main way you get information. It means you can do your job more easily.” According to Roger the AICM is the best place to learn to become an experienced credit professional. “It will give you the tools to become a very good credit manager. If you’re a member of the institute, you will have the backing you need to do your job. Without it, you’ve got nothing because you have no information coming to you.

“The most important aspect of being a member of the institute is the information you get privately on which you can base your decisions. The learning capabilities let you do your job to the best of your abilities,” he says.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

11

AICM History

National Presidents

1995 – 1997

Steve Mitchinson Bedding down professional qualifications Steve Mitchinson says two initiatives are the hallmark of his presidency: the introduction of the Certified Credit Executive (CCE) program and a period of unprecedented membership growth. “Prior to becoming national president, I led the initiative to obtain federal government funding to develop a competencybased framework for a credit management and mercantile agents. That was the first step. The next step was to build a more structured approach to achieving professional standards. So with Les Wilson, the CEO at the time, we developed the CCE framework, which was subsequently implemented,” Steve explains. “This coincided with the strongest period of membership growth the institute had experienced,” he adds.

Steve has seen the credit industry transform since he started working in it in 1975. “The level of sophistication has increased; we are an integral part of efficient business operations. There’s now a greater recognition, across commerce, of the value of sound credit and risk practises.” Over the next 10 years, Steve expects credit to continue on its current journey.

“Credit will be dominated by artificial intelligence. Credit scoring was the first step and there will be an increased use of data and analytics to make more effective decisions. Like all financial services positions there will be a higher level of automation in job roles,” he states.

Learning from the best Steve says Basil Dunn was one if his most important mentors. “Basil was the first person to introduce himself to me at the first AICM event I attended. He shared his knowledge and encouraged me. “I was only 22 and the average age of people in the room was about 50. I felt like a fish out of water and Basil took me under his wing and introduced me to a lot of people and made an imprint on my life.”

Steve was the inaugural winner of the Basil Dunn award, which recognises outstanding contribution to the credit industry in Western Australia. “I took this as an enormous honour,” he says. Steve’s advice to other members is to remember you get out of the institute what you put into it. “I would never have achieved what I have in my career if I had not become involved with the institute in the mid 1980s. It introduced me to important people and ideas that helped expand my horizons. Credit results are a barometer of overall company quality and I believe a solid understanding gained in credit management can open many more career doors if you set your mind to it,” he adds.

1997 – 1999

Stephen Barratt Lawyer brings skills to team Stephen Barratt was something of an anomaly when he stepped into the role of AICM president in 1997. Rather than being a long-term credit manager, which was the background of many of his predecessors, Stephen is a lawyer.

“My mission was always to promote the professionalism of the credit sector and the importance within a company of its credit management and credit staff,” he says. Stephen comes from a credit background: his father was the state manager for an electrical company.

“He was ahead of his time in that he always believed in the importance of a credit manager in a business and thought credit management should be equal to sales in importance to a company,” he explains.

According to Stephen, he was fortunate his father’s credit manager at Lawrence Hanson was Olive ‘Dusty’ Rhodes, one of the first female leaders of the AICM. “Dusty was a trailblazer, she promoted the whole industry. So she was the first big influence. I did some work in credit as a lawyer in debt collection.

I saw credit managers make such a difference to their company,” he says.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Stephen credits another former president, Bob Blakiston, with encouraging his involvement on the executive.

“Bob asked me if I would be interested in sitting on the national committee,” he says, explaining that a number of other presidents including Bill Duncan, Roger Penfound and Steve Mitchinson all worked closely together at the time for the benefit of the institute. “We became much more oriented towards professionalism. We started to get young people with a career in credit involved,” he explains.

Changing ways Stephen says the credit industry has transformed from a time when it didn’t have a profile in the management structure.

It was not uncommon for credit managers, even in substantial companies, to be part-time workers. “The importance of the credit manager has progressed in big companies and they sit higher in the corporate structure than they used to. It’s recognised credit is important to sales because there’s no point selling if you don’t get the money for the sale,” he notes.

Professional development and certification has also advanced the credit sector, which means it’s now seen as a viable career, he says. Stephen’s advice to someone starting out in credit now is to understand the nature of the business and its people as well as its debts.

“Make sure everything is sound from a legal perspective and understand the conditions under which the business is prepared to offer credit. Sales play an important role in a business, but a job isn’t complete until the debt is paid. The fundamental element of credit that all credit managers need to understand is the job’s not done until payment is received,” he says.

1999 – 2001

Gerry Cavanagh Certified Credit Executive Gerry Cavanagh says establishing the examination for the Certified Credit Executive program during his time on the board was one of the most fulfilling aspects of the role. “That was in conjunction with TAFE, which helped set the questions. When the program first started some members were worried about examinations, so we put together mock exams to help them,” he says.

Gerry notes the first exam in 1998 coincided with the national conference, which was held in Hobart that year. “I marked the examinations with one of the TAFE lecturers so we had consistency,” Gerry notes.

Over the years he says the credit sector has become more structured and professional. “In the early days people got their start in credit just with basic business knowledge of accounts receivable. But over the years the industry has become very professional because of how the role affects cash flow.

“Everything has changed dramatically thanks to the internet and technology. Now credit managers are far better equipped academically and also with knowledge of credit. There are also many more players in the industry,” he says, adding that tighter privacy laws have also changed credit. In the future Gerry expects there will be an even greater requirement for credit professionals to have academic qualifications, especially in top management positions.

Getting an education Gerry says there have been many people over the years who have helped develop his education in credit. “Many people have inspired me. I don’t like to name people because I don’t want to forget anyone,” he adds.

For anyone joining the industry now, Gerry can only recommend credit as a career. Many different people including insolvency practitioners, solicitors and representatives from credit bureaux are joining the industry and the institute, which only adds to the diversity of the sector. “It’s an exciting and vital industry. Many major companies now place much more emphasis on their credit department because cash flow is so important,” he says.

The changing nature of credit so that it’s now aligned to a business’s marketing function is a new dynamic the industry is managing, says Gerry. “Refusing a line of credit can be to the detriment of your the company if you haven’t taken the right approach. There’s always a risk factor when you’re issuing credit to a company, which is why developing experience in the credit industry is essential.

“Arm yourself with good education and knowledge and take advantage of the AICM’s professional development program. The industry has become so much more professional over time and this will only continue,” he says.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

13

AICM History

National Presidents

2001 – 2003

Brian Fulmer Spearheading training Having formerly been professional development director, Brian Fulmer spent his time as president finalising the transformation of the AICM into a registered training organisation. “I led the team in the development and introduction of the RTO process, which created a business income stream for the AICM. In doing that, we brought all credit training in Australia under one roof,” explains Brian.

The increasing gender diversity in credit management is a major change that’s taken place through his career. Although it was once known as the Australian Institute of Credit Men, women are an important part of today’s AICM. Brian says there are many more females in credit management roles now and that the need for professionalism has grown over time. “No one actually leaves school wanting to be a credit manager. It’s a role we fall into. Some of us, like myself, take to it like a duck to water. I started off in consumer credit, that’s where I cut my teeth. Then I moved into commercial credit, which is a different role. The monthly debtors’ ledger was in excess of $100 million. Those sorts of figures are why the industry needed to be professionalised and training is an essential part of that,” he says.

Brian says a number of other factors have changed credit over time. The technology revolution has transformed the credit management industry and credit departments have shrunk with automation. “When I started work advancement was by retirement. In other words, as a credit manager retired, everyone stepped up a peg. Now people are promoted on merit and ability, rather than length of service,” he adds. The role of training in the profession has also changed, with the diploma course now an essential aspect of credit. The increase in legislation ranging from the Privacy Act, Trade Practices Act through to the National Credit Code has necessitated a deeper knowledge of the laws that govern credit.

Brian says the value in being part of the AICM is the instant network of similarly minded people. “I could always pick up the phone if I had an issue outside my range of knowledge and ring a number of people and ask their advice for a way around it. If it was an insolvency issue, I could ring an insolvency practitioner who was a member, seek their counsel and get a definitive answer.” He says it’s important to remember you get out of the institute what you put into it. “You must be seen, you must be proactive and you must be willing to contribute. If you do that you’ll have a very rewarding experience and build good relationships.”

2003 – 2005

Paul Phillips Moving towards professionalism Paul Phillips was president at a time when the AICM was undergoing a transformation into a more commercial operation. The need to identify new revenue streams was a priority, and during Paul’s tenure, the institute started to hold national conferences for the first time. “Prior to my presidency we had biannual conferences and the conference in between the national conference was run by each of the states,” he explains, adding that the first conference was held at the Gold Coast in 2003. At the same time, significant enhancements were made to the AICM’s professional development program, another achievement during Paul’s time on the board and as national president.

Paul began his career in the 1970s and he says the industry is now a real career path for those in the industry. “The credit industry has developed and it’s become very professional. Credit is very much a part of businesses now and not just an adjunct. Business decisions are made on the credibility of clients and the sale’s not made until the cash hits the till,” he says. Additionally, technology has made an enormous change to the industry. Says Paul: “Credit is two-fold because it’s consumer on one side and commercial on the other. Technology has made an enormous change to consumer credit. As a result, more people are using credit than ever before.” On the commercial side he notes new tools like electronic invoicing and electronic letters of demand have been game changers. “I started out in consumer credit and we used to have ledger cards for every person that had a debt,” he says, reflecting on how the industry has changed over time.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Looking forward In the future, Paul thinks there will only be more demand for credit and even more focus on the creditworthiness of the counterparty. “We’re going to become even more analytical and we’ll be relying more on positive as opposed to negative credit reports,” he says, adding that this will reduce the number of people intentionally defrauding businesses by inventing identities. As a result, credit managers will become important analysts in a business and will tend to have tertiary qualifications. “Automation will become increasingly more important,” Paul adds. As for the AICM, he believes it will become essential for professionals within the credit industry to become a member. “The laws will continually evolve in this area which means it will be essential to be part of a professional organisation to keep abreast of the changes. Without being a member, you’re going to have to do an awful lot of work on your own, or you won’t know what’s going on,” he adds.

2005 – 2009

Mike Murphy Michael, known by all as Mike, sadly passed away on 26 May 2016. Mike joined the AICM in 1989 and served for in excess of 25 years on the WA Division Council and the National Board, including 4 years as National President. He was well respected throughout the credit industry and delivered numerous qualification based training sessions on our behalf. Mike was part of the original team that worked together in the formative years of the AICM’s registered training organisation and there are hundreds of people from credit clerks to senior credit managers who benefited from his insights and experience.

Never one to pass up an opportunity to network with his colleagues and peers, Mike was considered by many, as much, and usually more, a friend than a business associate. The respect and esteem in which Mike was held resulted in him being presented with the Basil Dunn award, Western Australia’s premier recognition of dedication to the AICM and its goals, and Life Membership of the AICM. In further recognition of his dedication to training in Credit Management, the AICM will be working towards setting up a Mike Murphy Scholarship Fund to further the education of deserving members.

2009 – 2012

Frank Vredenbregt Change is the only constant in credit Shortly after Frank Vredenbregt took over as national president, the AICM lost a major source of income supplying educational course material. It also received demands for repayment of significant amounts of alleged overpayments received over several years. “Over several months of negotiations we got back on track, receiving a significant amount of monies owed to us by directly negotiating with the parties involved, and structured ourselves to where projected expenditure was matched by projected income,” he explains, crediting this as one of his most important achievements as president. Frank has been a member of the institute for more than thirty years. He still remembers the first AICM event he went to and he has watched the institute evolve and mature over time to its benefit. “We now do formal training rather than just holding workshops, so training and professional development has improved out of sight over the years,” he notes.

According to Frank, the industry has also shifted markedly during his time working in it. More stringent requirements of compliance, legislative change and technology have transformed the credit sector. “Credit departments have shrunk, and there has been a centralisation of the credit function from branch levels to head office,” he observes. In the future Frank expects to see even more centralisation across credit, and downsizing as a result of further technological development. “Credit departments will continue to downsize. By the same token, you still need experienced and qualified credit staff controlling it, to ensure you meet your corporate goals and compliance obligations,” he warns.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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AICM History

National Presidents

While Frank has not had particular mentors he has been influenced by everyone he’s met in the industry. “When I first joined the state council in Western Australia I was able to learn a lot from senior members of the institute, a lot of whom are still in the industry now. “I never had a mentor as such, but people like Bill Walter, Steve Thomas, Steve Mitchinson and Mike Murphy to name a few, were, and those still in the industry are, as much colleagues as mentors. If I had a problem I would talk to one of them. If they had a problem, they would talk to me. It’s a great experience to be able to exchange ideas and work closely with other members.”

Frank’s advice to younger members is to complete formal qualifications to ensure they understand the central concepts in credit. He says experience is equally important. Gain as much experience as you can in a position, and then look for other positions to broaden your experience and grow your career. Then, build and expand your network. “I would encourage everybody to give back to the institute some of which it has given you, in recognition of how much it has helped you develop your career. Everyone has something from their own experiences to give. You are never too young or too old to help. This way, the institute will continue to grow and support our credit managers of the future,” he says.

2012 – 2016

Grant Morris Follow your instinct Grant Morris’s tenure as AICM national president is characterised by numerous incremental changes to the way the institute is run to ensure it not only meets but exceeds member needs. During Grant’s presidency the Certified Credit Executive (CCE) exam was re-established and reformatted for a new era, resulting in substantial growth in the number of CCEs. An update of the institute’s memorandum and articles of association was another achievement during Grant’s time as president. This included giving a voice to all members by removing membership categories which did not have the power to vote.

Grant and his peers on the executive also helped resurrect the solvency of the institute during a challenging time in its history. “We were able to turn it around in a relatively short period. It meant difficult decisions in terms of staffing and the institute’s direction,” he explains. This involved a generational change of management, and appointment of a new chief executive, Nick Pilavidis. It also involved growing recognition of the importance of diversity to the industry and the profession generally. To this end the institute has made material changes to provide greater equality to all and introduced the WinC events directed at our female membership.

“Nick’s history is in credit management, which was something we needed so we could become closer to members to receive direction and guidance about the areas we want to head in, rather than looking at the bottom line and decide which activities to pursue,” says Grant. As a result, the institute has been able to have a much closer involvement in public policy development and has been working to build strong relationships with a number of government departments and agencies including the ATO, Attorney General and Small Business Ombudsman.

A progression of the profession Grant says he has witnessed an evolution of credit over time. “There has been an improved recognition of credit management, the impact it can have on a business and its role protecting a company’s largest asset, its debtors’ ledger.

Credit has gained recognition – it’s not just a finance or cash-flow function, it can assist with onboarding customers and in sales,” he notes. Technological change has also been substantial as the industry has developed and Grant believes this will only continue. “There’s an opportunity for more businesses to adopt new credit technologies,” he observes.

Lessons learned Grant says he has had many teachers and mentors throughout his career who have taught him valuable lessons. Always taking account of the business’s main purpose when working as a credit professional is one. “One colleague who was an early influence would always say it’s important to have good processes but to also share the master plan. Pull it out and use it so everybody’s aware of it, don’t stick it in a drawer,” he says.

Another early mentor taught him not to be too hung up on procedure. “It’s good to have process, but it’s also good to know when it’s appropriate to test the boundaries,” says Grant. A third life lesson is to always trust your gut instinct.

“It knows what your head hasn’t yet figured out,” he says. It’s good advice for all credit managers to follow.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

2016 – current

James Neate Member engagement a perennial priority for presidents Current national president James Neate has adopted the concept of engagement with members as the theme of his presidency. “The AICM has paused to look at what it needs to do for members, how it connects with people and the role it plays within the credit industry,” he adds. “Improved member engagement follows an important phase for the AICM during which it has been repositioned. We have confirmed our standing as the voice of the credit industry and reconnected with all commercial players in credit in an ever-fluid industry,” he adds.

Through this process James has focused on positioning the AICM as the voice to drive legislative change and speak at a national level on behalf of the credit industry to stakeholders, government and agencies. “Connecting with members must remain at the core of what we do. The structural work repositioning the AICM is now in place, so the immediate emphasis is to encourage each of our divisions to reach out to our members and other credit people to make sure they understand the role we play,” he explains.

The future The pace of change in the credit sector is relentless and credit professionals will need to continue to do more with fewer resources and at a faster pace. Says James: “Technology will drive that, but nothing can replace mature, informed, educated credit insight – what I call credit wisdom. It really is something that must be learned from experience.”

“No matter how much we automate what we do, there will always need to be that informed assessment to make the most commercial, strategic, “credit-wise” decision.” James notes the AICM has always been a place where members are encouraged to mentor other people to help advance careers. “That was my experience as a junior member. That constant coaching and coaxing led to my involvement as a member, then on to the division council and through the ranks.”

James recommends becoming involved with the AICM as a path for career advancement. “Like many things in life, the reward you achieve depends on the contribution you make. The AICM is a supportive, collegiate group. We work in a highly technical and regulated area of commerce and finance that is often under-recognised and under-appreciated.

At the AICM, we understand the role and importance of credit. The institute is where you will find support, insight and career options,” he says.

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October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

17

QUEENSLAND

1973 – Queensland Credit

1988 Bi-centennial celebration issue

1986 – Queensland Credit

1988 – Look how advertising has changed for Equifax.

1995 – The Easy Guide to Credit Control for Small Business

1997 – YCP’s Karen Hart, Charmaine Pal (winner), Natalie Denschel, Michelle Thompson, Maddison Phillips and Mary-Ann Phillips.

2000 – Our four new CCE members: Ken Gorringe, Darryl Kassulke, Ian Hall and Greg Mowle.

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1984 – Graeme Gribben, Ray Chappelow and Ted Fritz.

1992 – Christmas Function

Membership drive – these still apply!

1984 – Queensland Credit

1984 – An example of D&B’s advertising

1994 – Faye Whiffen on train with Mike Howard

1995 – Brian Fulmer, Robert Burns, Keith Wilson and Don Fenwick

1996 – Councillors Mark Woods, Sponsor Rodney Dart from Citec, Scott Volkers, Faye Whiffin and Sponsor Lionel Hogg of Feez Ruthning.

1999 – New members: Mario D’Astuto, Gail Turnball, Eric Reid, Frances MacDonald, Yolka Valzacchi and Lee Monroe.

1999 – Dux of Credit Control Kathy Hamilton with presenter Robert Burns LICM.

2000 – The executive office team: Phil Hintz MICM, Marion Hintz CCE and Karen Harvey.

2001 – Elizabeth Morris – 2000 National Dux with David Wilson (left) and Peter Ham.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

QUEENSLAND

2001 – Councillors: Peter Ham CCE, Lisa Hudson, Patrick O’Loughlin CCE, Graeme Brown, past National President Brian Fulmer CCE and Phil Jefferson.

2002 – QLD YCPA finalists: Leanne Towner, Tanith Willoughby, Jenene Johnson, Kristy Thiele, Rohan Evans and Kylie Moore.

2003 – May Credit Focus Night: Andrew Hamlyn, Lorraine Cole, Derek Miller and Michael Peet.

2003 – our newest life member Marion Hintz, with Life Members Roland Rodda (left) and Robert Burns.

2004 – Cert IV Graduates: Ron Freier with graduates Amelia Ferlito, Ian Liddel and Debbie Keans.

2005 – Life Member Arthur Sandell and Wayne Clark.

2006 – July awards evening pin recipients: Larry Ingram, Decia Guttormsen, Chris McCarthy, Ron Freier, Peter Laurens and Brian Fulmer.

2007 – YCP finalists: Murray Ashford, Linda Wilson, Catherine Lo, Danielle Graham and Murray Walter from D&B.

2008 – Malcolm Robinson and Warwick Ballantine-Jones.

2009 – QLD award recipients: Brian Fulmer, Alyssa Sickerdick (Marion Hintz Award), Graeme Annable (Les & Peg Crook Award), Rachel Dumughn (Bob Burns Award) and Bob Burns.

2010 – Frank Vredenbregt (Australian President) presenting, Alyssa Sickerdick (Queensland YCPA National Finalist) with her certificate.

2011 – Immediate past president Greg Young presenting newest Life Member Peter Ham.

2012 – Carla Seirlis presents Michael Peet with his Fellow Certificate.

2015 – QLD February Event Speakers: Karl Hill and Nick Combis

2016 – QLD YCP Finalists: Nathan Wilkinson, Nicole Storm, Ashleigh Mason, Mark Russell (D&B), Emma Beal, Ross Leggett (winner) and Mark Moorhouse.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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SOUTH AUSTRALIA

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1993 – Charles Collins receiving his life member certificate from State Director Stephen Barratt.

1994 – Patricia Stewart, Kathy Barnes, Mary Jeffries and Jan Menzel.

1995 – New SA Councillors for 1995/96.

1997 – Advanced Credit Management Certificate recipients: (Back row) Claude Bin, Alan Nelson, Andrew Hoegee, (Front row) Valerie Walter, Ann-Louise Reid, Tammy Short, Carmel Poynter and Ann-Marie Caruana.

1998 – Kathy Williams, Craig Walker, Simon Oldacre and Priscilla D’Rozario.

1998 – New members (Back row): Brad Holland, Des Munro, Tom Demon, (Front row): Lynda Cram, Mandy Goodfellow, Elaine Ayres and Mark Answerth.

1999 – Quiz night winners.

2000 – Christopher Pyne and James Neate.

2001 – Neil Ricketts, Kerry Hammill and Paul Vaile.

2002 – Laurie Elliis award winners Robert Richter, Olive (Dusty) Rhodes and Neil Ricketts.

2002 – Long serving members: David Baker, Rosanna Taylor, Christine McMahon and James Neate.

2003 – Terry Collins (new Executive Officer), Tracey Weckert, Nigel Hillier and Brett Wilmott.

2003 – YCP finalists: Mollie Hart, Natalie Ellis, Ian Loftus, Jane Hofland and Vicky turner (Nadia D’Angelo – absent).

2003 – Service Pin recipients: Peter Macks, Bruce Loftus, Michele Baker, Anne Marks, Chris Renwood, Paul Westo and Stephen Barratt.

2004 – Long serving members: Neil Ricketts, Jane Hofland, Kerry Hammill and Paul Phillips.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

SOUTH AUSTRALIA

2004 – New and upgraded certificates (Back row): Shane Wilmott, Steve Amey, Steve Harding, Mark Pettitt, (Front row): Sophie Giann, Nadia Iop and Rebecca Paddick.

2005 – CCE badge recipients: Lindsay Chuck, Chris Renwood, Kathryn Jarrett, John Smyth and Paul Vaile.

2006 – Jack Kierse and Eric Seibert receive their 50 year plaques.

2006 – Mark Hall, Trevor Goodwin, Mark Aiston, Brad Jones.

2006 – Quiz Night winners (Back row): Chris Deed, Paul Vaile, Helen Vaile, (Front row): Deb Foster, Michael Grant, Elisha Camp, Lydia Stefani and Lyn Grant.

2007 – (Back row) Trevor Goodwin, (Speaker), Kerry Hamill, Terry Collins (CEO), Neil Ricketts (Director), (Front row) Noel Richardson, Mike Murphy (National President) and new Life Member Eric Siebert.

2008 – Large contingent of Fyfe credit team.

2009 – Peter Brewer, raised $700 for Movember.

2010 – Cherylee Harris (D&B) with YCP finalists Kimberley Milton, Marcelle McEwan, Janelle Muegge (SA Winner), Nicholas Hughes, Prue Gubbins and Shivaan Christensen.

2011 – May Dinner: Lee-Anne Ober, Abby Poyzer, Peter Ivkovic, Emma McLean, Leanne Mitton and Clare Harris.

2013 – Gail Crowder, Lyn McKell and Lisa Anderson.

2013 – James Devonish presents Lindsay Chuck with his Life Membership.

2014 – Trevor Goodwin, Amanda Campbell, Craig Jones, Jordana Schhenk and Judy van Hoed.

2014 – YCP finalists Alice Carter, Rebecca Edmiston, Tarnya Richards and Jacqui Phillips.

2016 – Nick Pontikinas, James Devonish, Neil Ricketts, Anne Wilkins, James Neate (National President), Gail Crowder (President), Josh Richards, Trevor Goodwin (Director), Rebecca Edmiston and Kevin Hollister.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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VICTORIA

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1992 – Carol Pope.

1993 – Betty Fleming: 25 years as a councillor for Tasmania.

1994 – Life Member Paul Cooney.

1994 – Lyn Harris and Lew Riley.

1994 – Life Member and past national president Roger Penfound congratulates Max Besley on his retirement.

1994 – Newly elected Victorian Director Maurie Marchant congratulates his colleague Bruce Arthur on his election as his replacement Victorian President.

1995 – Victorian Councillors Harry Sampson, Sonia Clay and Roger Penfound.

1996 – Finalists at the 1996 YCP: Rob Herrick (D&B), Melinda O’Brien, Alison Scandurra, Marie Pastro and Shane Hicks.

1997 – Life Members Vic Pulford, Betty Fleming and Derek Breeze.

1997 – Max Frost and Ian Bartholomew receive their 30 year pins.

1998 – Margaret Boyd and Toni ten Bensel enjoy their Christmas celebration.

1998 – June Bingham, Glenda Marr and Natalie Fly.

1998 – Long serving Victorian Executive Officer Pat Clark.

1998 – YCP’s Suzanne Page, Nicole Payne, Gordon Simpson (D&B), Kylie Pistritto, Sally Price, Roxana Puilia, Paul Goldsmith, Julianne Ferris and Fotios Egglezos.

1999 – Peter Maloney, State President Terry Piazza.

2000 – Steve Milne and Suzy O’Connor.

2001 – Tony Mammone after whom our Encouragement Award is named.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

VICTORIA

2001 – Cathy Hollis, Liz Wood and Terese Kincaid.

2002 – Maureen Beavis and Shayne Milsom.

2002 – All Life Members Roger Penfound, Bruce Arthur, Harry Sampson and John Cooper.

2002 – YCP’s Melissa Roszczyk, Adam Wood, Belinda Walker, Katrina McKean (winner), John Lenders (Victorian Minister for Finance and Industrial Relations), Amanda Phelan (Tony Mammone recipient), Ian Loftus and Christine Christian (D&B).

2003 – Diploma in Financial Services recipients Narelle Lewis, Allan Duke and Maree Hodge.

2004 – Elizabeth Allwood, Lou Caldararo, Madison Covington, Tony Mackwell (convenor), Pam Barton and Jeff Hurst receive their CCE.

2005 – Jim Manning, Jeff Hurst and Robyn Erskine.

2005 – Division President and future director Colin Prosser presents former councillor John Buhagiar with his 30 year pin.

2006 – Ian Box presents Nella Simeoni with her CCE Dux award.

2010 – Peter Ligeti, Tony Leo and Debbie Leo.

2011 – Amal Clarke and Lou Caldararo.

2015 – Melanie Veld, Rosina Edgar, Maureen Grant and Charles Tims.

2016 – Darin Milner, David Condello and Lou Caldararo.

2016 – Carole McTavish, Lou Caldararo, Donna Smith, Ersilia Barbone, Piera Rushton and Daniel Sutherland.

2016 – YCP Finalists: Catrina Galanti, Toni Atkinson, Craig Brooks, Nitish Arora, Joshua Tseitlin, Meg Pillai, Lyndon Miranda and Joshua Rutland.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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WESTERN AUSTRALIA

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1992 – First YCP finalists with State President: Con Crista, Carmen Woodhouse, Vicki Horlock, Jan Barrett, Narelle Lewis, Diane Cowl and Steve Thomas.

1993 – WA’s first female fellow Glenda Jeffery.

1993 – Bill Walter, Bill Darcy and David Hyatt.

1994 – Basil Dunn and Steve Thomas with a certificate to celebrate Basil’s 27 years service to council

1994 – Annette Dargan, John Dabelstein, Lindiwe Mashinini, Scott Fletcher and Frank Sorgiovani.

1995 – YCP Finalists: Gerry Cavanagh (WA President) Caroline D’Rozario, Leanne Mahoney, Duilio Paccani, Joe Mondi, Meredith Eagleton, Narelle Lewis and Steve Mitchinson (National President).

1995 – Aileen Vog and Dianne Lambert at a Darwin event.

1996 – WA Council: (Front row) Frank Vredenbregt, Bill Machlin and Kevin Allen. (Back row) Roy Haagman, Lesley Dabelstein, Mike Murphy, Glenda Jeffery, Andrew Cummings, Donna Reirman, Steve Thomas, Christine Campbell and Gerry Cavanagh.

1997 – Mike Murphy and Geoff Cross.

1997 – Life Member and past National President Steve Mitchison wins inaugural Basil Dunn award presented by Life Member and past National President Gerry Cavanagh.

1998 – Kevin Allen, Alan Waters and Mark Street.

1998 – YCP’s Tracey Sulejmani, Jason Louis (winner) and Matthew Scanlon.

1999 – New CCE recipients: Joe Monol, Roy Haagman, Anne Bower, Mike Murphy, Frank Sorgiovanni, (seated) Glenda Jeffrey and Rona Day.

2000 – New CCE recipients Frank Vredenbregt, Con Crisa, Steve Thomas and Bill Richardson.

2000 – Bill Walter and Bruce Elliot receive their 25 year pins

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

WESTERN AUSTRALIA

2000 – Anna Geor D&B, Daniel Marsh YCP and Life Member and past National President Mike Murphy.

2003 – YCP finalists (Back row): Brooke Varady, Megan Dare, Kareen Pearson, (Front row): Shannon Murphy, Malcolm Field and Amanda Cawthorne.

2006 – WA President Evan Verge with the YCP State finalists: Carmen Langley, Jodie Johnson, Leanne Cook and Joanne Lazenby.

2007 – Life Members: Steve Mitchinson, Gerry Cavanagh, John Morris, William Walter, Malcolm Pickles, Robert Blackiston and Eric Skipworth.

2008 – Carmen Langley and WA YCP State winner Philip Kelly at the AICM Awards Dinner.

2009 – Mark Russell, YCP winner Christine Ashworth and Evan Verge.

2010 – YCP finalists Robert Brassington, Nicole Devir and Rikki-Lee Schulze.

2011 – Kevin Allen, Mike Murphy and Steven Mitchinson.

2012 – YCP finalists Kapish Pattani, Alexandra Botsis, Melissa Kerr, Rosanna Maugeri, Tara Ritchie Kristy Shrigley and Jenna Sims.

2013 – Ron Adams receiving the Basil Dunn Award from WA President Colin Phillis.

2014 – YCP finalists: Erin Pullen, Melissa Cooper, Tamera Russell (Winner), Shane Musarra, Mitchell McGovern and Pushkar Bendre.

2015 – Val Baynes, Natalie Lunt and Donna Trezise.

Byron Savage, Simon Williams, Paul Saunders, Tom Concannon and Kim Valenti.

2016 – Ricki Lee Schulze, Sarah Reed, Edwina Reed, Warren Myers, Beth Blackwell and Ben McCallum.

2017 – WINC guests.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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NEW SOUTH WALES

1993 – Division Presidents: Fred Jaques, Bill Duncan, Alan Burton, Arthur Weston, Martin Bates, Alan Puttock – Registrar NSW Division 1982/93 and Eddie Watts.

1994 – Ray Barclay presents Darryn O’Keefe with NSW TAFE Commission Award for highest pass in 1994 Advanced Credit Management Certificate

1995 – AICM veteran trainer Marie Addamo with graduates from the 1994 specific skills course.

1995 – Three finalists for Young Credit Controller of the Year Michelle Larkin (American Express), Irene Tan (Qantas) and Karen Sampson (Faber Castell).

1996 – NSW has strong roots with WINC – Gail Bebber, Diane Williams, Marie Addamo, Marcia Jolly and Jenny Pendon.

1997 – Australian President Stephen Barratt, Debra Swales, Dick Steell, NSW Division President Michael Peet, Jenny Peet and NSW Director and Australian Vice President Greg Brookes at NSW State Conference at Coffs Harbour.

1997 – Reg Robinson: the NSW co-ordinator of Parramatta meetings was a stalwart of the AICM. Thank you Reg.

1999 – Sell out crowd.

1999 – Canberra Conference Generals Keith Herzog, Grant Morris, Heather Spring and Pauline Worrad.

2000 – Life member Michael Devine, Donna Pistol, State Director and fellow Life Member Greg Brookes and Phillip Tull.

2000 – NSW State President Paul Phillips with Jan Reeves and Debbie Leo presenting NSW YCP award to Kellie Sprod.

2001 – NSW YCP Rachelle Frain, Life Member David Francis, Belinda Dawson and Paula Nemme enjoy the state conference.

2001 – Ian Greenwood, Debra Swales, James Van Poppel and Life Member Jennie Barclay-Smyth enjoy the Terrigal state conference.

2002 – Anne Maree Green, Beth Gray, Corrie Monsma and Steve Douglass.

2002 – Paul Phillips, Gail Bebber and Geoff McDonald.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

NEW SOUTH WALES

2002 – David Hall, Treacy Sheehan, Rachael Hurrell and Debbie Leo.

2002 – Warwick Butcher, Karen Sampson, Mark Logue and Nick Razmovski at a Newcastle Branch meeting.

2002 – YCPA Finalists: Simon Holloway, Robyn Maclean, Vaios Kortikis, Janine Scott, Kurt Armbruster and Carlie Brown.

2003 – Brendon Nelson, John Field, Rodolfo Duque and Mark Joubert

2003 – Margaret Irish shows John Ratcliffe her CCE certificate.

2003 – Fernando Giovanini, Jan Reeves and NSW State President Andrew Le Marchant.

2003 – NSW State Council: Beth Gray, David Francis, Kurt Armbruster, Margaret Irish, Grant Morris, David Hall, Andrew LeMarchant, Ken Sheppard, Michael Devine, Debra Swales, Brett Bradley and Paul Phillips.

2004 – Robyn Brook and Rodolfo Duque.

2005 – YCP winner and finalists: Ben Pettitt, Aynslie McMahon, Nicolas Pilavidis (winner), Kristi Rothwell, Michelle Hogan and Rebecca Pettit.

2006 – 25 year pin recipients: Jim Reid, David Francis and Eric Milne

2006 – YCP winner Aynslie McMahon being presented with her trophy by D&B NSW Manager Tim Lord.

2006 – Grant Morris presents Roger Bates his 30 year pin.

2008 – Credit Team of the Year – BOC.

2008 – NSW state president Ken Lawless presents Ken Sheppard and Paul Phillips with their Life Memberships.

2008 – Our CEO Nick Pilavidis receives his CCE award.

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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NEW SOUTH WALES

2008 YCP finalists: Marle Ambrose, Warrick Smith, Peter Tien, Kacey Heinisch, Theresa Brown, Christina Alexsoska, Zahra Barbour with Nick Pilavidis.

2009 – Vanessa Graydon and David Hall.

2009 – PPSA training gets under way with a full house!

2009 – YCP finalists.

2010 – YCP finalists: Kevin Lin, Inga Pape, Andrew Smith (D&B), Gregg Odlum (NSW Winner) and Linda Ech.

2011 – Trivia night winners Team Ecolab: Nicole Chesher, Arian Jaramillo, Robyn Whitehouse, Kylie Azzopardi, Helena Spicer, Kelly Johnson, Anne DiMaria and Treacy Sheehan (event supporter Trace Personnel).

2011 – Vanessa Graydon with YCP finalists Dean Young, Bassam Sleiman and Daniel Taylor.

2012 – YCP Judging panel: Richard Gannon, Bassam Sleiman, Arthur Tchetchenian and John Field.

2012 – NSW Credit Symposium – Keith Herzog, Debra Swales, Dianne Fiddock and Symposium Presenter Geoffrey McDonald.

2012 – YCP finalists (Back row): Melinda Wilmot, Bassam Sleiman, Tasha Armstrong, Aryan Aminzadeh, Brook Wright, (Front row): Ashley Short, Laura McCulloch, Emma-Jane Jordan, Katherine Byrne and representative for Joey Tupaea.

2013 – Gregg Odlum and Adam Clarke at the inaugural Pinnacle Awards.

2014 – June Network night: Sam Pearlman, Kathy Neale, Danielle Attard, Ramon Basta, Sarah Tait and Domitila Figueiredo.

2015 – Nick Pilavidis with vote of thanks to Malcolm Poslinsky.

2016 – Grant Morris presents Life Member Col Magee with his 5 year pin.

2017 – NSW YCP’s Balveen Sani (2013) Nick Pilavidis (2005) Fiyona Kidenya (2016) Jack Elias (2017) Anna Golubeva (2014) Kimberley Hale (2015) and Martin Morris (D&B).

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

TIMELINE OF EVENTS AT AICM

1937 – Formation of Australian Institute of Creditmen

1967 – Formation of national body – Australian Institute of Credit Management (a company limited by guarantee)

1968 – Olive May Rhodes elected as first female Australian Councillor

1974 – The Australian Credit Management Manual released

1979 – Logo developed by students of Prahan College of TAFE (now Swinburne University of Technology)

1989 – Les Wilson appointed inaugural national executive director

1990 – Establishment of a national office located in Artarmon New South Wales

1993 – National magazine titled Credit Management in Australia introduced

1992 – WA initiates Young Credit Professional Award

1997 – First national Young Credit Professional Award – Craig Dent

1998 – First intake of Certified Credit Executives

1998 – Registered Training Organisation formed

2000 – Appointment of Terry Collins as Chief Executive Officer

2008 – NSW initiates Credit Team of the Year

2014 – NSW initiates Pinnacle Awards

2010 – First National Credit Team of the Year

2014 – Appointment of Nick Pilavidis as Chief Executive Officer

2015 – Launch of Women in Credit

2016 – AICMQ launched with Coates Hire being first recipient

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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PUBLICATIONS AND MAGAZINES

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July 1966

September 1974

November 1980

December/January 1983

February/March 1983

July 1986

November 1986

November/December 1987

March 1989

August 1989

1990

March 1991

May 1991

December 1991

May 1994

February 1997

July 1998

October 2016

December 2016

July 2017

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

YOUNG CREDIT PROFESSIONAL OF THE YEAR Since the inception of the Young Credit Professional award in Western Australia in 1992, Dun & Bradstreet has been instrumental in its support of the AICM and developing credit professionals. Without D&B’s support the AICM would be unable to undertake this now national award each year across 5 states and then fly the finalists to the National Conference. Thank you D&B.

Craig Dent 1997

Chris Dunbar 1998

Nicole Payne 1999

Tina Bagnato 2000

Nathan Boyd 2001

Tanith Willoughby 2002

Brooke Varady 2003

Rodolfo Duque 2004

Nicolas Pilavidis 2005

Aynslie McMahon 2006

Adam Dayeian 2007

Jesse Lee 2008

Maria (Homer) Schandl 2009

Gregg Odlum 2010

Maree Kairl 2011

Nick Ponitikinas 2012

Balveen Saini 2013

Anna Golubeva 2014

AND

Rebecca Edmiston 2014

Tate O’Connor 2015

Fiyona Kidenya 2016

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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CREDIT TEAM OF THE YEAR Developed by NSW State President Vanessa Graydon from an idea to recognise inspiring teams by Life member Jennie Barclay-Smyth, the Credit Team of the Year is now a national award. The process resonated deeply with Debbie Leo to the point she championed her employer Equifax to take on sponsorship from inception. Prior to 2013 the Awards were run in NSW. Here are our past winners:

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BOC 2008

Harper Collins 2009

Electrolux 2010

Coates Hire 2011

CHEP Australia 2012

PFD Foods 2013

Reece 2014

Caltex 2015

Wyndham Vacation Resorts Asia Pacific 2016

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

CONFERENCES

1967

1977

1967

1977

1976

1977

1978

1980

1981

1983

1985

1993

1995

1997

1998

1999

2000

2001

2002

2004

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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Leadership and High Performance

What happens when you hire a narcissist?

By Petris Lapis*

Petris Lapis

34

Have you ever promoted or hired someone who had a fabulous ‘sales pitch’ and then watched everything unravel in front of your eyes? You may have unwittingly come across an unproductive narcissist and paid the consequences.

or unproductive (for example Hitler and Stalin). Throughout history, narcissists have emerged in times of crisis or transition to shape the future.

Examples are Napoleon, Gandhi, Roosevelt, Carnegie, Ford, Churchill, de Gaulle and Mao Tse-tung.

How do you know you have a narcissist in your workplace?

The strengths of a narcissist as a leader/manager

According to Freud there are three main personality types; erotics, obsessives and narcissists. Most of us have elements of all three. An erotic is a person for whom loving and being loved is the most important thing. An obsessive is an inner-directed, selfreliant and conscientious person and then there are the narcissists.

A narcissist is someone who is independent and driven to gain power and glory. They want to be admired, but not loved. Narcissists are emotionally isolated and highly distrustful, poor listeners and lacking in empathy. They are aggressive and paranoid about enemies. They have a grandiose view of themselves and a strong sense of entitlement.

According to Dr Ross King from Deakin University, one clue to spotting them is they don’t generally pitch in and help out with the little selfless tasks that keep an office functioning.1 Dr King lists the professions they are most likely to be attracted to as business, law, politics and media because they seek admiration, fame, wealth and success.

Narcissists can be productive (for example, Jack Welsh, former CEO of General Electric, Oprah Winfrey and Mark Zuckerberg, CEO of Facebook)

Narcissists are eloquent creative strategists who have big picture vision, enjoy risk taking and change and have a powerful ability to attract and inspire others. In the words of Michael Maccoby2, “Narcissists do not attempt to understand the future, they attempt to create it.” Freud also described narcissists as being particularly suited to giving “a fresh stimulus to cultural development” (and also particularly well suited to damaging “the established state of affairs”). Apple’s deceased CEO Steve Jobs, Amazon’s Jeff Bezos and Microsoft founder Bill Gates are examples of narcissists who have transformed their industries.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

The weaknesses of a narcissist as a leader/manager While narcissists have some helpful attributes in times of change, having them in management longer term is when their weaknesses start to cause chaos.

Unproductive narcissists lack self-knowledge and restraint. Their grandiose schemes can lead to claims of self-involvement, unpredictability and paranoia which is why an executive at Oracle described his narcissistic CEO Larry Ellison this way,

Leadership and High Performance

“The difference between God and Larry is that God does not believe he is Larry.”

As narcissists become more selfassured, their faults become more pronounced. They become more spontaneous, tend to think they are invincible, refuse to listen to words of caution and advice and can engage in flagrant risk taking.

According to Freud, narcissists are emotionally isolated and highly distrustful, uncomfortable with their own emotions and lack empathy for others. They are very sensitive to criticism which is why they shun emotions and do not tolerate dissent or people disagreeing with them.

Steve Jobs, for example, used to publicly humiliate subordinates. If a narcissist feels threatened, they will fly into fits of rage. They listen only for the kind of information they seek, don’t learn easily from others and dominate and indoctrinate, rather than teach.

Narcissists don’t rate well on evaluations of their inter-personal style, but they don’t want to change and often don’t believe they have to.

They over-evaluate their performance think they are doing much better than they actually are. As a result, it is very hard for narcissists to work through their issues and they generally cannot do it alone.

How narcissists end up in leadership positions How is it that narcissists end up in leadership positions? It appears we love superheroes and the more charismatic they are, the better. We promote narcissists because they know how to draw attention to themselves and it takes time for us to realise that the promise does not match the reality.

Research by Margarita Mayo3 shows that the mood we are in biases

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our perception of charismatic leaders.

The more anxious we are, the more we seek charisma as a solution. As a result, in times of stress or crisis we seek charismatic leaders. She found that the paradox was that we choose to support the very leaders who are less likely to bring us success and will possibly plunge us into greater danger in the longer-term.

When we choose leaders and managers based on charisma, we tend to pay the price. According to

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October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

35

Leadership and High Performance

Jay Conger and Rabindra Kanungo state, “Charismatic leaders can be prone to extreme narcissism that leads them to promote highly selfserving and grandiose aims.” These leaders tend to abuse their power and take advantage of their followers.

In the words of Ray Williams, “We hire and promote the psychopaths, the narcissists, the bullies and the autocrats dedicated to self-interest and whose long-term impact has and can destroy organisations (and even countries).”4

What happens when narcissists lead or manage others Research has clearly shown that humble, unassuming leaders make the world and our workplaces a better place. They improve the performance of the company because they create more collaborative environments, have a balanced view of themselves and others and are open to new ideas and feedback and improve the bottom line.5 One researcher found that companies with leaders who had integrity, compassion, forgiveness |and accountability made five times larger returns on assets than companies whose leaders were more self-centred.6 Narcissists are not humble, unassuming leaders, so what happens when they are in positions of authority? While narcissists may look like good leaders, according to researchers from the University of Amsterdam, they’re actually really bad at leading.7 The researchers found that narcissism inhibits information exchange between group members and negatively affects group performance.

Their sheer magnetism, transforms their environments into a competitive game in which their followers also become more self-centered, giving rise to organisational narcissism.8 In a work environment, they tend to encourage internal competitiveness at a time when people need to be working together.

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Charles A. O’Reilly III at Stanford’s business school found that bosses who are narcissistic tend to get paid more but don’t perform any better, company morale often declines and employees leave the company.9 Tomas Chamorrow-Premuzic argues narcissists, “Have parasitic effects on society. When in charge of companies they commit fraud, demoralize employees and devalue stock. When in charge of countries they increase poverty, violence and death rates.” Dr Ross King from Deakin University confirms this when he says, “Narcissism has been linked with CEO fraud in the US”.

Chamorrow-Premuzic’s research found that:10 zz Because of their self-obsession and self-adulation, narcissists are masterful impression makers zz Narcissists take credit for successes and blame others for failures zz Narcissists fit our stereotype of a good leader because we value overt confidence, charisma and egotism rather than humble confidence, altruism and integrity.

Business values and rewards arrogant self-important people and our media thrives on reporting about narcissists.

What is the answer?

If we want to solve the problem narcissistic leaders and the toxic workplaces they create, it seems we might need to do the following things: 1. Jeffrey Pfeffer, a Stanford University business professor11 argues it is time to change how we recruit as “the qualities we select for and reward in most workplaces are precisely the ones that are unlikely to produce leaders who are good for employees, or for that matter, long-term organizational performance.” We need to look for red flags when we hire people.

Be wary of the person who claims to have been the sole reason for change or success in a previous

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

workplace. Pay attention when you notice someone failing to acknowledge the accomplishments of others.

2. Identify narcissists earlier in their careers and be very cautious of the positions of power we put them in. One leadership consultant I have worked with believes narcissists are so toxic, that he undertakes personality testing prior to leadership workshops to weed them out.

3. Stop glorifying narcissistic people and leaders in the media as some form of superhero and start focusing on humility and quiet confidence as positive traits in our leaders and our society. *Petris Lapis B Com LLB LLM FIPA FFA, Director of Petris Lapis Pty Ltd, provider of soft skills and mindfulness training Petris Lapis Pty Ltd 0419 334 204 www.PetrisLapis.com FOOTNOTES 1

http://www.abc.net.au/news/ health/2017-07-05/how-to-spot-anddeal-with-the-office-narcissist/8677200

2

Harvard Business Review – Organisational Culture – Michael Maccoby – Narcissistic Leaders: The Incredible Pros, The Inevitable Cons – Jan 2004

3

Harvard business Review – Leadership – If Humble People Make the Best Leaders Why Do We Fall For Charismatic Narcissists? – Margarito May- April 7, 2017

4

https://www.psychologytoday.com/blog/ wired-syccess-201601-the-rise-toxicleadership-and-toxic-workplaces

5

Harvard business Review – Leadership – If Humble People Make the Best Leaders Why Do We Fall For Charismatic Narcissists? – Margarito May- April 7, 2017

6

Fred Kiel, author of the book ‘Return of Character’

7

http://www.psychologicalscience. org/index/php/publications/journals/ psychological_science

8

Harvard Business Review – Leadership – If Humble People Make The Best Leaders, Why Do We Fall For Charismatic Narcissists? – Margarita Mayo – 7 April 2017

9

https://www.gsb.standord.eduinsgiths/ charles-oreilly-narcissists-get-paid-moreyou-do

10 https://hbr.org/2014/01/why-we-lovenarcissists 11 In his book, ‘Leadership BS: Fixing Workplaces And Careers One Truth At A Time’

The competitive advantage of automated credit applications Today’s competitive market requires businesses to operate quickly and on reduced budgets, forcing them to seek out and implement new ways to do more with less. For credit departments it means adopting a more effective operating model that results in better policies, fewer human processes and errors, and ultimately lower costs.

To meet these objectives, many credit departments are moving towards process automation in many areas, with the credit application process being at the top of the list.

The Benefits

There can be significant time delays with the process of manual credit applications, which often includes sending a prospective customer a credit application, waiting for them to complete and send it back, and then assessing it. For today’s time poor credit manager, this process is simply not sustainable to remain competitive, and customers will readily go elsewhere if it takes too long.

Businesses automating the online credit application process are doing so because of the many tangible benefits it offers, beginning with reducing the time to process from several days to minutes. This streamlined process delivers greater efficiencies, allowing staff to perform more credit reviews and to focus more attention on higher value or higher risk accounts.

The benefits of an automated credit application process are numerous: zz Significantly fewer incomplete applications received means no phone calls chasing missing information, less time spent copying, printing, and emailing, saving time and hassle for everyone. zz Access to a central repository of customer data allows credit departments to easily monitor the status of applications. zz Application credit scoring based on your company’s rules means applications can be approved and rated consistently, based on the credit rules you set. zz Visibility of application status across larger businesses. Automating letters will save you time chasing down missing documents and allow your sales team to keep business moving ahead when decisions come back in hours, as opposed to days. zz Improved customer experience from the time the customer applies, right through to easy upload of supporting documents and notification of approval. zz Increased sales growth through the efficiencies provided by instant decisioning, approval and acceptance of new orders.

Online credit applications from Equifax

How it works

The shift from manual to automated

To offer customers affordable and fast access to online end-to-end credit applications, Equifax now delivers a new automated customer on-boarding workflow.

How it works is simple. Applicants provide all required information in their online credit application submission.

The applicant is then automatically credit assessed and the outcome is communicated straight back to the applicant and other stakeholders.

This integrated capability facilitates the on-boarding of new customers quickly, efficiently and seamlessly.

Speak to us today

The Equifax online credit application process is split into two components: 1. Online Application – is the “front end” web form and process flow, accessed via a URL from your corporate website, email or mobile device.

2. Automated Decisioning – is the “back end” of the solution that helps manage the automated credit assessment process and operational workflow.

This can be configured to suit your individual requirements.

Equifax can help you provide your customers with faster, more efficient access to credit services to help enable the sale of your goods and services. Contact us to find out how we can help you implement an automated credit application process to improve your customer acquisition process and support your competitive advantage.

To find out more or for a demonstration, contact: David Jovanov on (02) 9278 7847 (NSW, QLD) or Joel Pacetti on (03) 8629 1639 (VIC, WA, SA)

Credit Management

Customer Centric Collections

By Nikki Dennis*

“Strive not to be a success, but rather to be of value” – Albert Einstein What would happen if instead of concentrating on the immediate goals of reducing bad debt and increasing cash flow, you strive to help others, to help your customers first and foremost? Strive to create value for your customers? If you can have quality interactions with your customers in all areas of your business every time, then the success will follow.

Customer centricity, quite simply, is the act of placing the customer at the centre of everything you do. It is certainly not a new thing, customer

Customer centricity, quite simply, is the act of placing the customer at the centre of everything you do.

Nikki Dennis

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centricity before the onslaught of globalisation and widespread use of the internet, happened naturally, often as part of the community in which you lived. You know what we’re talking about here; the local grocers, butchers, fish and chip shop owners and bartenders that knew not just your name but your ‘usual’ order and very probably everything from the name of your first born to how many sugars you take in your tea!

This sort of customer knowledge still exists today in smaller communities but for many of us globalisation, the internet explosion

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

and digitalisation has meant that many companies never set eyes upon their customers, making any interactions they do have with them increasingly important. The effect the internet has had on business over the past 30 years is mind blowing; according to Cisco analysis (1)*, in 2012, 8.7 billion devices were connected to the Internet. In 2020, that number is expected to soar to 50 billion. More and more transactions are digital negating the need for face to face interactions and competition is rife, making it harder to build loyalty amongst customers.

And yet….with the rise of corporate social responsibility, customers are expecting and demanding much greater customer experiences than they ever have. As Sheryl Connelly, Ford’s in-house futurist notes from Ford’s 2017 Global Trends Report (2)*, the need to belong to a community is strong all around the globe, and people expect businesses to play a role in that community and give back. In fact, 88% of women and 83% of men are more likely to support companies that prioritise purpose over profit according to the report. What’s more, in the absence of a less than favourable experience, they are more than willing to take to social media to share their negative experience before taking their business elsewhere.

With this insatiable need for great customer experiences, people are willing to pay more to achieve this

Credit Management

Remember to PLEASE your customers and PLEASE your business by structuring your collections processes around the requirements of the customer……

and according to research conducted

by Deloitte and Touche in 2015 (3)*, customer centric companies were found to be 60% more profitable compared to companies that were not focused on the customer. Compelling evidence, but most companies make the mistake of applying customer centricity to their frontline activities and forget about the back office, support and head office functions. To truly have the customer at the core of your business this model has to apply to each customer touch point and as such, collections can play a pivotal role in this approach.

So exactly how can customer centricity be applied in a collections environment?

Remember first and foremost, that your frontline staff are the face of your business and invest in them. Many companies now refer to a ‘relationship hub’ rather than the traditional call centre where agents are multi-skilled

Remember first and foremost, that your frontline staff are the face of your business and invest in them. and have insight into the holistic file of a customer including any products/ services they utilise and full payment history. This creates a full customer experience where a customer may call up to discuss a new product or service and at the same time as addressing this query, the agent is then able to remind the customer that actually they currently have an amount owing on their account about to fall overdue, would they like to settle that now?

This sort of interaction makes it far easier for the customer to have one contact point to discuss all queries and portrays a real sense of customer knowledge.

So let’s look at each of these requirements in a little more detail…….

Protect Protect your customer from spiralling debt and in turn protect your brand encouraging repeat business and referrals. How do you stop debt getting out of control for your customer? zz Make sure you communicate clearly what your payment terms are. zz Set up reminders before the debt becomes overdue. zz SMS/Email/Integrated Voice Recording Campaign reminders can provide cost effective methods of recouping debt at an early stage in the collection cycle. Often at a reminder stage customers just require the ability to self-serve, so

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

39

Credit Management

Engage

Assist

Listen

87% of the world’s population use mobile devices and here within Australia there are more smartphones than people. If you don’t have digital communication options to engage your customer then you will get left behind. What are the new and emerging ways to engage your customer?

In this modern environment, it is often easy to forget the value of talking to customers and truly understanding their requirements. So what makes a good listener? zz Empathy – Employees that are in regular contact with customers should have the ability to empathise and care about the customers’ situation. Only then should they attempt to come up with a suitable solution. zz Open mind – No employee should enter a conversation with a customer with preconceived ideas about what the customer is going to say. Typically within a collections department this is easier said than done as generally seasoned accounts receivable staff would have, over their lifetime, heard every possible excuse for not paying a bill on time. However, to enter a conversation with a negative mindset will influence the outcome of the call. Each customer should be given the benefit of the doubt and listened to properly with an open mind. zz Ensure that agents handling calls are appropriately skilled and, within certain guidelines of course, are able to take ownership of the call. Strict adherence to scripting does not allow employees to actively listen and suitably respond, and will not make for a great customer experience.

Automated self-service options zz Online Portals enable customers to pay their bills, access account details, print off statements and communicate in a less intimidating and more convenient way 24/7. zz QR links on letters or in SMS/ Email communication enable your customer to easily access your online system and to communicate regarding their bill.

QR links on SMS reminders can work particularly well, within a few clicks the customer can have the bill settled or can contact their account manager. zz Integrated Voice Recording (IVR) Campaigns allow a pre-recorded message to be sent to your customers with clear options like press 1 to pay, press 2 if you are experiencing difficulties paying, press 3 to speak to an operator.

Many customers prefer not having to speak directly to anyone particularly at the reminder stage and find it more convenient to selfserve. zz Interactive SMS communication enables two-way communication via SMS where customers are routed to a live agent. zz Live web chat provides a convenient way for your customer to get the answers they need without having to pick up the phone.

Assistance for Vulnerable Customers zz At the time of writing and according to the Australian Debt Clock, Australia’s household debt sits at 190% of disposable income.

In other words, for every $1 saved, the average Aussie owes $3. This is the highest level of household debt in recorded history.(4)* zz In the current environment vulnerable customers should have access to third party assistance where required and companies should have detailed hardship policies and strategies in place to assist the customer in clearing their debt. zz The most effective hardship programs don’t just apply credits and write offs, as whilst appropriate in certain cases, a more sustainable solution is required to provide support to customers to pay off their debt and to educate them to ensure they don’t end up in the same position again. zz Most customers would prefer to be given the tools to help themselves as this is ultimately more satisfying and more beneficial long term.

automated options work well and can be less intimidating. zz Apply credit scoring where applicable. zz Segment your customers according to your perceived ability for them to pay and apply tailored workflows to each segment.

“...it is often easy to forget the value of talking to customers and truly understanding their requirements.”

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Support It is essential that the correct support is provided to customers when required whether that is support that can be provided internally or externally. zz Any employees directly interacting with your customers should be genuinely listening and gaining a true understanding of the customer’s situation and ability to repay the debt, ensuring any arrangements entered into are a true reflection of what they can afford. zz They should also be aware of the trigger words that could indicate a financial or emotional hardship and respond with appropriate help and support. Words such as unemployed, bereaved, pensioner and illness for example should be

Credit Management

flagged as an indicator that the customer is potentially having difficulties in meeting the payment and may require further support. zz Your team should have easy access to third party assistance if required in the form of financial counselling or emotional support.

Educate Have clear guidelines detailing what you expect from your customer and ensure that the fair and reasonable consequences of not fulfilling these requirements are communicated. To a certain extent your customers will treat you how you allow them to, consistency in your approach is the key. zz Have a clear collection strategy that is followed every month with set workflows determining the issuing of reminders and final notices and referral to external collection agencies. zz Have clear and concise invoices with a choice of different payment options. zz Encourage engagement at an early stage to identify any potential disputes and to ensure that your customers are made aware of the consequences of non-payment eg. freezing the account, disconnection, collection escalation action. If you don’t have the resources to accommodate this then outsource this early reminder work.

How do you ensure your outsourced partners can apply customer centric collections?

Not too long ago you would have been hard pushed to find the words collection agency and customer centricity in the same sentence.

Customer Centricity for us in the collections business is twofold as it applies not just to our clients but to their customers, the end users of our service. With so many major brands embracing customer centricity, it is increasingly important for collection agencies to adopt a customer

“Have clear guidelines detailing what you expect from your customer...” centric approach themselves. Often viewed as an extension of the clients’ organisation, it is important that the values and approaches of collection agencies are closely aligned to them.

Interestingly, adopting a customer centric approach has consistently been shown to increase collections, creating a win/win or rather a win/ win/win for the client, their customer and the agency. A collection call doesn’t have to be viewed as a battle where either the debtor or collector are victorious but rather a customer centric interaction where you can assist the customer to clear their debt and improve their cash flow, whilst also increasing collections for the client. It is a shift in mindset and culture and most collection agencies now will refer to the ‘customer’ as opposed to the ‘debtor’ which can have negative connotations. This all ties in with agents keeping an open mind; you are not ‘collecting from a debtor’ but ‘assisting a customer’. This approach is a lot more positive, and as such, has a higher chance of a better outcome for all parties.

So, for an outsourcing partner that can mirror your customer centric approach, how do you assess how customer centric a collection agency is?

1. Do they facilitate call calibration sessions where both parties can score calls according to predetermined requirements?

2. Instead of focussing only on dollars collected, are there also KPI’s in place for quality conversations and assistance and support for customers?

3. Do they have a dedicated and specialised hardship division that can immediately assist with vulnerable customers?

4. Can they provide a range of

digital solutions to engage your customer including customer selfserve options, smartphone friendly solutions, Interactive SMS/IVR services, QR links.

5. Are they socially responsible? Do they give back to the community?

6. Do they listen properly to your needs and tailor services specifically?

Ultimately, the modern day collections team, whether internal or external, needs to help customers better manage their money and clear their debt; better inform customers about their existing debt; assist customers to resolve outstanding account issues and strive to improve overall value for customers to ensure repeat business and long standing mutually beneficial relationships. Nail this, and it will increase cash flow for your business as well as clearing debt and freeing up cash flow for your customers, creating peace of mind and encouraging brand loyalty.

Bottom line, if you don’t look after your customers, someone else will!

*Nikki Dennis is Sales Director at Australian Receivables Limited (ARL) and can be contacted on 0437 652 562 or nikkidennis@ arlcollect.com.au. www.arlcollect.com.au ARL is a leading national collection agency, assisting many major companies across key industry sectors with their customer centric collections.

REFERENCES (1)* http://blogs.cisco.com/news/ciscoconnections-counter (2)* https://www.fastcompany. com/3066270/heres-what-consumerbehavior-is-telling-us-about-2017according-to-ford (3)* https://www2.deloitte.com/content/ dam/Deloitte/ie/Documents/ Strategy/2014_customer_centricity_ deloitte_ireland.pdf (4)* http://www.australiandebtclock.com.au/

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Credit Management

The challenges around internationally standardised company information for credit risk

By Stephen McKinney*

Stephen McKinney

42

In our last article we discussed the disparities of private company information around the globe – in particular in to what level companies are expected to log their financial information. It’s no secret that the inconsistency amongst credit scoring will vary between information providers too.

Traditionally, one of the issues the credit market has had is the ‘black box’ approach to scoring and data. The 2008 credit crunch had a definitive impact on this however, and compounded by the rise and rise of big data and proactive credit management we are seeing a shift in the transparency of scoring.

However, it’s not unusual for a credit team to be working with over five different providers across multiple countries and when that happens it is no surprise that independent and differing calculations for credit scoring are provided. Moreover, standardised decisions will then be made based on this incompatible mix. Yet, without knowing the methods used to create these scores there is

likely to be confusion not just for a business but also their customers.

How do we make an informed decision – not one based on assumptions of compatibility (where there is none)? And is it possible to build a complete picture and truly compare like for like?

In answering all these questions there are several factors that we, at Bureau van Dijk, a Moody’s Analytics company, believe makes the difference between a risky decision and one based on much more certainty. zz Applying context zz Data-gathering workarounds zz Standardisation If we apply approaches such as ‘Fuzzy’ logic and the MORE (MultiObjective Rating Evaluation) score to credit risk modelling then we can assess a company’s health (versus their riskiness) in a detailed and substantiated way. The key is to “contextualise the analysis to the specific background the company is working in” – such as the country, the sector and available financial figures.

And by harnessing these types of processes we can start to turn a very

“...it’s not unusual for a credit team to be working with over five different providers across multiple countries...”

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Credit Management

complex analysis into something a bit more manageable.

There is a need to deal with information in varying ratios – e.g. solvency, DSO (days sales outstanding) and many more, and also a large range of countries, differing accounting and standards and multiple sectors – but none of them should be removed from consideration.

Which is why ‘fuzzy’ logic and the MORE method have been created – these theories are hugely complex, and, in order to exemplify how these metrics enhance our picture of a company’s financial health, we go to certain lengths to explain them in our white paper Internationally standardised company information for credit risk. Algorithms like these certainly enrich the company information in our database by applying context in a way that would be impossible to do manually.

It also means that logic and

standardisation can be applied where once there were many varying and incomparable metrics.

To further enhance the bigger picture, we also need to consider filling the gaps in the information we have. In our last article, we talked about the mind-boggling methods that information providers employ to extract data from small, siloed governing bodies, to produce valuable insights. Small repositories of company information are key to piecing together knowledge required to form a bigger picture.

And if we then use standardised parameters against the information we hold then it becomes easier to discover, assess and analyse the data needed to make an informed decision.

For example, definitive, hierarchically organised industry classification codes, projected financials, company descriptions – all of which, once rigourously standardised, improve searchability and results.

In order to enter into business with a company, or to make a decision on whether to extend credit to it, a global view is required – not just of the parent company but its subsidiaries and group exposure. Your picture of that company must be drawn from external data of verified sources, all globally standardised and contextualised.

We have given an overview of how we believe Bureau van Dijk create a transparent, coherent and global view of companies, but it’s a vast subject matter! If it’s something of interest you can do some further reading on this topic in our white paper Internationally standardised company information for credit risk or please get in touch – we’d be happy to hear from you if you’d like to chat further. *Stephen McKinney General Manager – Oceania T: 61 2 9233 3088 E: stephen.mckinney@bvdinfo.com www.bvdinfo.com

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Credit Management

Financial Relationship Management - Are you across it yet?

R ED U CE CO LLE CT IO N E F F O RT UP TO 75%

By Symon Cook*

Customer Relationship Management

R ED U CE CO LLE CT IO N has perhaps been the most E F F O RT UP TO 75% significant area of investment for

2 0 % O F INVO ICE S A R E SENT TO T HE W R O NG PERSON 2 0 % O F INVO ICE S A R E SENT TO T HE W R O NG PERSON

3 0 % O F IN VO ICES HAV E INCO RRE CT I N FO RMAT IO N 3 0 % O F IN VO ICES HAV E INCO RRE CT I N FO RMAT IO N

businesses across the world over the past 10 years.

As the channels of communication broaden and the efects of digitisation widen, businesses are presented with more media than ever before that they must invest in, to acquire new customers and win new business.

And while companies have put a lot of focus into automating sales, marketing and fulfilment to win new business and sell more to existing clients, there has been a clear lack of investment or thought process into how we manage that customer once they begin interacting with the back office.

Who has considered the contact strategy for customers once they begin transacting and purchasing from the business?

We all know the familiar adage ‘It costs five times more to acquire a new customer than to retain an existing one’ yet the world over, companies are guilty of assuming that once the customer is secured, the communication eforts should only be reserved for marketing purposes – cross selling/upselling etc.

FRM needs to bring to the back ofice, what CRM has brought to the front ofice

Symon Cook

44

High DSOs, invoice error rates, high processing costs are all symptomatic in companies that

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

have maintained the status quo when it comes to antiquated back office processes. It is time to reinvent how we deliver perhaps the most important content, the invoice, to the customer. When we engage with clients to review transactional communications, it becomes quickly apparent that the invoice/statement communications are somewhat taken for granted. Nowadays the consumer demands much more than the simplicity of a printed invoice sent in the post.

An invoice is an invoice, right?

Time and time again we see customers blocking out the day (or days) to print, sort and post the invoice run, rendering key staff off limits. Sometimes, we manually pull out invoices that should not be sent. Occasionally, we send the wrong invoice to the wrong customer. Sometimes, we send invoices via PDF yet the customer claims to have not received, perhaps due to firewall issues.

Sound familiar?

There is no reason why the back office needs to manage AR communications in the same way as ten years ago. Systems have evolved; simple software can enhance how we deliver, and more importantly, engage with our customers when it comes to the all important time to make payment.

Businesses that continue to rely on manual processes are exhausting AR resources and are often unable to

P ER I NVOI CE eI NVOI CI NG COULD SAVE U P TO $ 21.69 P ERCI I NVOI CE eI NVOI NG COULD R EDSAVE U CE PAP E R BI LLING U P TO $ 21.69 UP TO 95 % P ER I NVOI CE

Credit Management REDUCE PAPER BILL ING UP TO 95%

eI NVOI CI NG COULD IM P R OVUEP PR IS E TO SAVE TOOM $ 21.69 PAY TO CE 80 % P ER UI P NVOI I M P R OV E PR OM IS E TO PAY CI U PNG TOCOULD 80 % eI NVOI IM P R OVUEP PR IS E TO SAVE TOOM $ 21.69 PAY TO CE 80 % P ER UI P NVOI R ED UCE PAPER BILLING R ED U C E CO LLE CT IO N UP TO 95% E F F O R T UP TO 75% IRMED P RUOV PRDOM IS E TO CEEBA D EBTS PAY P TO 80 % UP U TO 9 0%

handle multi channel delivery, offering R ED U CE BA D D EBTS U P TO 9Give 0% the customer access to self zero flexibility to respond to the I M P R OV E PR OM IS E TO customer. tools R ED U CE BA Dhelp D EBTS PAY U P TO eINVOICING 80 % U P TO 9Ensure 0% your invoiceCOULD Studies have shown that is clear, easy SAVE UP TO $2 1. 69 customers will respond quicker and to understand PER INVOICE pay on time with fewer queries,RifED U CE BA DBuild automated triggers into D EBTS 0%payment cycle, to prompt the bill is clear, easy to understand U P TO 9the and most importantly delivered in speedier payment the preferred manner which the Widen the communication 2 0 % O F I NVO ICE S 1 BI L L IO N INVOICES customer wishes to receive. Providing R ED U CE BA Dtouchpoints D EBTS – your AR staff A R E SEN T TO channels T HEA R E E XC HA9 NG ED not IN be the only point of P TO 0% the customer with online to U should I M PROVE PROMIS E TO W R O NG PERSON AU ST R A L IA EACH YEAR pay or query bills also contributes contact for customer queries 1 BItoL L IO N INVOICES PAY UP TO 80 % DUC E PAPER BILLING Ato R E E XC HA NG EDproduce IN reducing the resources required Don’t invoice/ UP TO 95 % AIO L IA YEARthat are look inferior collect cash and lower DSO. AU statements 1 ST BIR LL N EACH INVOICES ED marketing IN Consider the platforms thatA R E E XC HA NG to the and sales AU ST R A L IA EACH YEAR marketers have been using to improve content sent to the customer or engagement with prospective new that are sent via inferior channels.

1 BI L L IO N INVOICES R E E XC HA NG IN clients. How could you leverageAthese TheED customer needs to see that AU ST R A L IA EACH YEAR BAD D EBTS e INVO ICING COULD R EDUCE platforms to improve back office the invoice/statement holds SAVE UPengagement TO $21.69 TOintegrity 90 % as the with customers? Self as muchUP brand P ER INVOICE service portals, e-billing, self help marketing content, the invoice is 1 BI L L IO N INVOICES A R E E XC HA NG ED IN dashboards, channel preference as important, if not more so.

AU ST R A L IA EACH YEAR 3 0 % O F IN VO ICES to deliver physical and digital IN CO RRE CTis not invoicesHAV and E statements.

This Embracing FRM I N F O R MATION R ED UCE PAPER BILLING future thinking technology. This is The accounts receivable interaction UP TO 95% technology that your business has is typically the final step in the MP R OVE PR OMISE TO been investing in from a marketing transaction lifecycle, yet ensuring a PAY U P TO 8 0% and sales perspective for a long time. positive customer experience is often limited or non-existent.

B ILLION FRM will align how your We1advise clientsINVOICES to start AeINVOICING RE EXCHA NGED IN COULD business engages with clients by reviewing all current billing AU STRALIA EACH YEAR SAVE UP TO $2 1. 69 R how BI L Lyou I NG atREDUCE the frontPAPE end to communication, statements, P ER INVOICE UP TO 95 % successfully interact and invoices, overdue notices etc. Could with customers at the they look better, clearer to read and R EDU CE transact BA D DEBTS U P TO 9 0% back end understand? Does the customer Make it easy for your customer to pay: pay on invoice or statement? Is Send the invoice/statement via there an opportunity to merge

the channel the customer wishes documents together to reduce time, eINVOICING COU L D M PROVE PROMIS E TO toSAVE receive: Physical labourIand costs? Does the AR UP TO $ Mail/Email/ 21.69 PAY UP TO 80 % PER Portal INVOI CE SMS/Web function need to embrace digital

BI LL ION INVOICES ARE E XCHA NGED IN PR OM I S E TO IMPROVE ST R AL IA EACHPAY YEAR UP TO 8 0%

R EDUCE BAD D EBTS UP TO 90 %

e INVOICING COUL D SAVE UP TO $2 1.69 PER INVOICE technology? Would the customer prefer a digital invoice? How much time is spent dealing with the same queries from several customers, TO whenIMPROVE the invoices PROMIS have beenEsent?

PAY UP TO 80 % What impact is this having on your staff resources that should be spent chasing debt?

There is a world of options available to quality control the accounts receivable process – from the method of invoice to REDUCE BADdelivery DEBTS REDUCE PAPER BILL ING giving the customer several options UP TO 90 % UP TO 95% to interact with you and ultimately pay on time. Often, the solutions are simple enough to require little or no IT involvement and the payback is almost immediate. I often ask customers to reflect on COU the activities e INVOICING LD UP teams.

TO $2Have 1. 69 of theirSAVE marketing INVOICE they stayedPER true to just physical direct mail to win customers? No. They have evolved their activity, 1 BILLION INVOIC ES embraced CRM, embraced digital, ARE EXCHA NGED IN to stay ahead of theEACH game and win AUSTRALIA YEA R new business.

IMPROVE PROMISE TO Credit managers need to realise PAY UP TO 80 % that the same ethos needs to be applied on the back end, to improve the performance of the AR function. *Symon Cook is National Sales Manager – Digital Solutions for Neopost Australia

REDUCE BAD DEBTS Neopost Australia is one of the country’s leading AR solutions providers, UP TO 90 % specialising in workflow automation, AR eiciency and document in and output management. *Data Source, Billentis

1 BILLION INVOIC E S ARE EXCHA NGED IN AUSTRALIA EACH Y E A R

October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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Credit Management

Challenges and concerns that keep credit managers awake at night

By Kirk Cheesman* At NCI, we have a broad variety of clients covering all industries across Australia and New Zealand. We believe the feedback we receive is an accurate representation of the current conditions credit managers and CFO’s are facing. Let me share with you some challenges from the past 12 months and concerns for the coming year.

What were Credit Managers’ concerns over the previous 12 months?

1. Risk monitoring – The last year has seen many large failures that impacted on business and consumer confidence, such as Arrium, Channel 10, Bloomer Construction and Dick Smith. The experts knew these companies faced challenges, but many continued to support trade based on history.

2. Late payers – There was a significant increase in the level

Kirk Cheesman

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of overdue debts and collection actions in 2016/17. The NCI Trade Credit Risk Index noted significant jumps in the credit risk score during this time, acknowledging the heavy weight on the shoulders of credit managers to collect debts efficiently.

3. The building sector – The building sector was the most difficult industry to collect monies from and recorded a high level of insolvencies. During 2016/17 the Building and Hardware industries have recorded almost 1 in 4 claims received by NCI. Not only do we look to understand past concerns, we need to understand where credit managers believe risks lie in the future. Our feedback suggests the following conclusions: 1. Insolvency levels – We typically experience a higher level of insolvencies in the months of March and April. This year, it started in February and continued at higher levels, to the end of the financial year. March 2017 saw NCI record our highest level of claim submissions since the height of the GFC (and in our 30 year history).

2. Collections – Receiving timely payments from debtors seems to be one of the biggest concerns for credit managers in 2017 and this is supported by our statistics.

This suggests there is stress within the marketplace regarding the ability for businesses to collect

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

on time and that current business conditions remain tough for many.

3. Customers – Or finding the ‘right’ customers and assessing them for their creditworthiness. There are many options for businesses to purchase information to support assessments for credit risk. But is now the time to revert to cheap ‘tick and flick’ assessment reports with untested scores, or ratings?

In the current environment, it may be more important to ramp up resources in the credit department to focus on the importance of customer assessments and the information you obtained to justify trade.

From my experience, it is always better to put the effort in at the front end, rather than spending hours of unproductive work in collection and legal action, or worse still, sitting at a creditors meeting trying to recover a few cents.

So what should I do?

In reviewing the hundreds of comments we received from clients in our survey, it is clear the above are challenges and concerns for many. It must be acknowledged that the amount of time and effort in managing credit risk, the importance of collecting payment early, and regularly monitoring risk, is as critical as it has ever been. *Kirk Cheesman is the Managing Director of National Credit Insurance (Brokers) and has been working in the credit industry for over 25 years.

Insolvency

Spring brings a proliferation of insolvency law reform

By Robyn Erskine and Adrian Hunter*

September 1st heralded the arrival of spring and with it came the long awaited changes to the Australian insolvency laws. The gestation period of these changes to the law has been tortured and lengthy and while it has resulted in many changes, in particular to the Corporations Act, the Insolvency Profession as a whole have been somewhat disappointed with the lack of substantive change and see this as a missed opportunity to really streamline, harmonise and improve both the personal and corporate insolvency regimes.

However these changes will impact on us all and we discuss below some of the more significant changes that will effect credit professionals.

Robyn Erskine

Better reporting and increased power for creditors

Adrian Hunter

One of the major thrusts of the law reform is to give greater powers to creditors and to provide them with more transparency in the insolvency process. Accordingly credit professionals can expect to see better and more frequent reporting albeit in a slightly different format than what they will have been used to seeing in the past.

Creditors will be provided with a notice shortly after the appointment of the insolvency practitioner which will include: zz a Declaration of Independence Relevant Relationships and Indemnities (DIRRI); zz an initial remuneration notice

which must provide an indication of the anticipated fees; and zz details of creditors’ rights.

The report may also include details of how the liquidator proposes to have their fees approved (either by convening a meeting of creditors or via a written and mailed resolution).

Within 3 months of their appointment the insolvency practitioner must send a further report to creditors updating creditors on: zz the estimated amounts of assets and liabilities of the company; zz inquiries relating to the winding up of the company that have been undertaken to date; zz further inquiries relating to the winding up of the company that may need to be undertaken; zz what happened to the business of the company; zz the likelihood of creditors receiving a dividend before the affairs of the company are fully wound up; and zz possible recovery actions.

At any time when remuneration is being sought, a remuneration report must be provided to creditors setting out the remuneration and costs incurred to date and details of the work undertaken or to be undertaken if prospective remuneration is being sought. All remuneration must be capped.

Creditors meetings are not mandatory As has been the case in bankruptcy matters for some years, meetings

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47

Insolvency

of creditors in liquidation matters will no longer be mandatory. What this means is that it will be up to the liquidator to determine if they feel a meeting is necessary. If they do not they will advise creditors of this in the initial notice to creditors sent shortly after their appointment. Should creditors believe a meeting should be convened they need to be aware of these rules: zz A liquidator must, unless it is unreasonable to do so, convene a meeting of creditors if within the first 20 days of the appointment they are requested to do so by a group of creditors or a single creditor who is or are owed at least 5% of the value of the debts outstanding zz If the request to convene a meeting of creditors is made outside of the first 20 business days of the appointment then the liquidator must, unless it is unreasonable to do so, convene a meeting of creditors: a) If greater than 10% but less than 25% in value of creditors request a meeting and meet the costs of the Liquidator for holding the meeting; or b) If greater than 25% of the known value of creditors request a meeting; or c) By a resolution of the creditors passed at a prior meeting held; or d) Upon request by the Committee of Inspection.

If a Liquidator forms the view that the request for a meeting is unreasonable, they must inform the creditor why. Given the requirements surrounding meetings of creditors the value of the credit professional’s

network will be a very powerful tool when they are looking to meet the criteria necessary to require a meeting of creditors to be held.

Creditors will also have the right to: zz make reasonable requests for information and have it provided to them within 5 business days, zz give directions to the insolvency practitioner. The liquidator must have regard to the directions given but does not have to comply with the directions given zz resolve to replace the insolvency practitioner zz appoint another insolvency practitioner to review the incumbent insolvency practitioner’s remuneration and costs.

Changes to Committee of Inspections (COI) COI members can now be elected by creditors by resolution, by a large creditor or group of creditors > 10% value or by an employee or employees >50% value. It is important to note that members of the committee or the creditor/s they represent cannot derive any benefit from serving on the COI nor are they allowed to purchase assets of the administration. Whilst not the apparent intention, it has yet to be seen if these prohibitions result in members of the committee being unable to trade with a liquidator should the liquidator be trading on the business.

Assignment of the right to sue Insolvency practitioners are now able to assign their rights to sue.

Therefore actions for recovery of preferences and other voidable transactions can now be sold to

If a Liquidator forms the view that the request for a meeting is unreasonable, they must inform the creditor why.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

third parties. Insolvency practitioners are already being approached by various parties expressing interest in acquiring any actions the practitioner may have to sell. This could see an increase in the number of preference actions being run which previously may not have been run by liquidators who did not have the resources to fund the action.

Now such actions will be able to be sold to a party who will then pursue the recovery from the creditor.

Something certainly credit managers need to be aware of when faced with a claim for a preference recovery.

Safe harbour and ipso facto law reforms In addition but separate to the changes that came into effect on 1 September under the Insolvency Law Reform Act (ILRA), the safe harbour bill passed through the senate on 11 September 2017 and swiftly received royal assent on 18 September 2017. The safe harbour reforms are part of the government’s National Innovation & Science Agenda and it is hoped by their adoption it will drive cultural change amongst company directors by encouraging them to identify solvency issues early and while keeping control of their company, take reasonable steps to facilitate the company’s recovery instead of what was considered at times of prematurely placing the company into voluntary administration or liquidation.

The safe harbour reforms are intended to create a “safe harbour” for company directors from personal liability for insolvent trading if the company is undertaking a restructure rather than a formal insolvency. In order to avail themselves of the safe harbour provisions however directors will need to work with a suitably qualified restructuring professional while they strive to restructure the ailing company.

Concerns that these provisions will allow for the further spread of pre insolvency advisors and phoenix

Insolvency

activity were not addressed by the government despite calls from ARITA and its members for the restructuring professional to be a qualified insolvency practitioner.

While the safe harbour laws have now commenced, the ipso facto changes to contracts that also were passed by the senate on 11 September 2017 are not expected to commence until July 2018.

Reduction of bankruptcy term still on the horizon: Further reform is still on the agenda particularly in relation to the reduction in the length of bankruptcy from 3 years down to 1 year. While this has not been popular with the credit fraternity it is still seen by government as a positive and necessary part of encouraging entrepreneurs to take the

risk of doing business in Australia and to also bring Australia’s bankruptcy laws into line with other parts of the world.

Tackling phoenix On 12 September 2017 the Government announced what it called a “comprehensive package of reforms” to tackle the burgeoning problem of phoenix activity which it estimates costs the economy $3.2 Billion per year. The package will include the introduction of a Director Identification Number (DIN) in a bid to deter phoenix activity.

The DIN will identify directors with a unique number which will interface with other government agencies and databases to allow regulators to map the relationships between individuals and entities.

In addition to the DIN, the Government will consult in the coming weeks on implementing a range of other measures to deter and disrupt the core behaviours of those parties involved in facilitating phoenix behaviour and those directors who partake in phoenix behaviour. It’s early days with this initiative but something definitely to be kept on the radar given the damage that is done on a far too frequent basis by phoenix operators. Certainly any action in this area is welcomed.

*Both Robyn Erskine and Adrian Hunter are Registered Liquidators within the practice of Brooke Bird – Restructuring, Turnaround and Insolvency Specialists.

Ph: (03) 9882 6666 E: Info@brookebird.com.au www.brookebird.com.au

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Privacy

Putting privacy in perspective

– what you need to know and mandatory data breach notification

By Terry Ledlin* Big data is here to stay Believe it or not, we live in a Data Driven World. A BIG data driven world.

Just think about it – we have our digital footprints everywhere and they are easily traced to reveal more about ourselves than we care to realise.

Some examples – when we sign up to Uber, Menu Log, Facebook, Twitter, Internet banking, LinkedIn, Opal Cards etc we are providing: zz names, zz addresses, zz gender, zz birthdates, zz occupations, zz all types of information that can identify us as individuals.

We can even be identified by our phones, our IP addresses, and our devices.

Terry Ledlin

50

Companies can and do use that information to track our movements, our tastes in fashion, culture, likes and dislikes, our preferences and buying habits. How many times have you noticed being on a website where, if you click on an ad or a sponsored story, similar products mentioned on that “click bait” mysteriously appear when you revisit the site. Companies are geared and organised to capture data for many reasons, including sales and marketing purposes.

We are all connected, even Government Customers and consumers are now all entrenched in the internet, including the “internet of things” (when your fridge re-orders more groceries because you are running low, your car books itself into a service appointment because it needs it and, very soon, the car will drive itself there and back).

On top of this we have regulatory authorities trying to exercise some control over this mass of personal data collected in everyday modern living. The regulators are responding to very real concerns about the use of this data and how it should be restricted.

The result is a struggle between business (and government), consumers and individuals and regulatory authorities all seeking to adapt to a rapidly changing data environment.

If ever there was a “perfect storm” of conflicting interests, it is here now.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

What are the implications If we quickly review where we are today, the Privacy regime is largely driven by developments in the EU, UK and the US. We have not yet reached the stage of a Global Regulator but many countries have introduced laws based on the automatic processing of personal data that have been developing in Europe since the late 1970’s – early 1980’s.

Today, in Europe, there has been developed what is known as the EU General Data Protection Regulation (“GDPR”) which contains new data protection requirements that will apply from May 2108. The GDPR will apply to businesses operating in the EU and will catch Australian business having an office in the EU, a website where EU customers can order goods and services or enables payment in euros or a business that tracks individuals in the EU on the internet to analyse and predict personal preferences, behaviours and attitudes.

The Australian Privacy Act 1998 and the GDPR already share many common requirements but there is much more to be done.

Where is all this headed It is apparent that Privacy is a major issue for business especially in the data driven world of “fake news”, “hacking”, data breaches and the question of trust as between individuals and government and individuals and business. If we look at existing privacy requirements we find a regulatory regime that requires

Privacy

transparency from a business to disclose (amongst other things): 1. Where a company holds personal information or data 2. Whether that information or data is shared with others and the circumstances in which it is shared 3. Who can access it and how access is provided 4. Whether the consent of the individual is required or not 5. How a company protects the information or data it has collected 6. How long can a company keep that information or data 7. The use it may make of that information or data including profiling To that list can now be added the mandatory requirement to notify the Regulator of any data breaches.

What about the Regulators The real message is that the Regulators, both overseas and in Australia, are now heading down the path of enforcement by fining and public shaming. No one wants to deal with organisations that cannot be trusted and it is well past the time where Privacy obligations can be treated off-handedly by any organisation.

Mandatory Data Breach Notification in brief The next major shift for Privacy will be mandatory data breach notification – in Australia, this law imposes significant penalties on those organisations that are subject to the Privacy Act that commit serious or repeated failures to comply with notification requirements.

The Privacy Amendment (Notifiable Data Breaches) Act 2016 (“the Act”) will commence on 22 February 2018. The Act deals with data breaches and there are penalties of up to $1.8m for serious or repeated failures to comply with notification requirements. The Act applies to any organisation that is subject to the Privacy Act 1998 (i.e. one example is any organisation

with a turnover of more than $3,000,000.00 per annum).

Tell Me More A new concept of “eligible data breach” is introduced in the Act. An eligible data breach happens when there is an unauthorised access to or disclosure of information or information is lost in circumstances where unauthorised access to or disclosure of that information is likely to occur or if it did occur AND a reasonable person would conclude that the access, disclosure or loss would likely result in serious harm to any of the individuals to whom the information relates.

A person can be upset or distressed but the question is whether a reasonable person would consider that the likely consequence for those persons would constitute a form of serious harm. A reasonable person introduces an objective test.

Mandatory Notifications to the Australian Information Commissioner Mandatory notification to the AIC and affected individuals is required as soon as practicable when there are reasonable grounds to believe there has been an eligible data breach. The GDPR by contrast gives organisations 72 hours to notify the Regulator of any data breach

What can we do now?

Organisations should consider a Data Breach Response Plan to: a) Inform the AIC within 30 days of the breach and

b) to provide contact details and c) provide a description of the serious data breach and d) the kinds of information concerned and provide e) recommendations about the steps that individuals affected should take in response to the serious data breach Organisations could also consider cyber insurance, a relatively new product which is available now for consideration and which can be discussed with your Insurance Broker.

The OAIC has provided information regarding responding to a data breach (see https://www.oaic. gov.au/agencies-and-organisations/ guides/data-breach-notificationa-guide-to-handling-personalinformation-security-breaches ) and a guide to developing a data breach response plan (see https://www.oaic. gov.au/agencies-and-organisations/ guides/guide-to-developing-a-databreach-response-plan ) A proper compliance programme, a culture of accountability and transparency and a self-reporting environment is only the first step. If organisations do not take Privacy seriously then they will be left behind by their competitors. Data breaches will occur, how will you react is the real question. *Terry Ledlin is Special Counsel for Ledlin Lawyers E-mail: tledlin@ledlinlawyers.com.au Ph: 02 8488 3389, www.ledlinlawyers.com.au This is the first in a series of Articles by Ledlin Lawyers designed to provide insights and advance warning of issues that will affect Credit Professionals with their day to day workplace challenges. In our next Article, Privacy Toolkit, we point out some “how-to’s” in dealing with Privacy issues and legal requirements with real case study examples.

Serious harm includes physical, psychological, emotional, economic, financial or reputational harm that a reasonable person in the entity’s position would identity as a possible outcome of the data breach.

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PPS

PPSA – possession is 9/10ths of the law – really?

By Leigh Adams*

Leigh Adams

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The Personal Property Securities Act 2009 (‘PPSA’) has been law for almost 6 years, but many businesses have still not experienced its impact in circumstances where their customer goes belly-up.

Many businesses mistakenly assume that registration on the Personal Property Securities Register (“PPSR”) is the only way to protect their interest in the goods that they have leased out or sold under retention of title arrangements to their customers. As many readers know, if registration does not take place or occurs too late, then the owner can lose all entitlements under the PPSA and end up as an unsecured creditor in the event that their customer falls into administration or liquidation.

However, registration is only one of several ways that the PPSA can protect (the PPSA calls this “perfect”) a security interest in goods.

Other ways include the concepts of “temporary perfection”, “control” and “possession.”

What can an owner do if they discover that their customer is about to go into administration or liquidation, in circumstances where they have not registered their security interest in the goods in question, or

the security interest was registered too late?

A recent case (Knauf Plasterboard Pty Ltd v Plasterboard West Pty Ltd (in Liquidation) (Receivers v Managers Appointed [2017] FCA 866) considered this question.

In that case, the security interest was registered several years after it was granted (shortly after a breach of the supply agreement had occurred).

A game of cat and mouse then ensued: the supplier (Knauf) immediately appointed receivers to seize the goods. Retroflex (the customer) prevented them gaining access to the premises where the goods were located for a day or so but the receivers in the meantime had written to the 4 major banks and got a reply from ANZ which agreed to freeze all of Retroflex’s accounts. Knauf then eventually got access to the premises and changed the locks.

Retroflex panicked and purported to have resolved to wind-up Retroflex two days later.

If Retroflex was wound up, then Knauf’s security interest (registered far too late) would vest in Retroflex and Knauf would have to apply to the Court for an extension of time to

What can an owner do if they discover that their customer is about to go into administration or liquidation

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

PPS

register the security interest- a time consuming, costly and risky exercise.

If Knauf was unsuccessful in extending time for registration of its security interest, then the assets available to unsecured creditors would be expanded by the value of Knauf’s goods, thereby reducing the chances that Retroflex’s director might be sued for breaches of director duties.

But in trying to outfox the supplier’s receivers, Retroflex forgot to give all of its members notice of the proposed meeting at which the wind-up resolution was to be passed.

The Court said that the wind-up resolution was therefore void. So the security interest did not vest in Retroflex and Knauf did not have to apply to extend time for registration after all.

The Court then considered what would have happened if the wind-up resolution was valid. As Knauf had not applied to extend time for registration, the Court said that in such circumstances the security interest would have vested in Retroflex.

But Knauf argued that even if the wind-up resolution was valid,

its security interest was “perfected by possession” prior to the wind-up resolution occurring. It argued that because “perfection by possession” was as good as “perfection by registration”, the result would have been no different.

Knauf had 3 main arguments.

The first was that the mere act of appointment of the receivers constituted “actual possession” or “apparent possession” as required by the PPSA. The Court dismissed this argument as artificial.

The second was that after appointment, the receivers had an intention to control the goods and a right to possession of the goods. But this is “constructive possession” which is specifically excluded by the PPSA. The third was that by changing the locks to the premises where the goods were located, the receivers had “actual or apparent possession” as required by the PPSA. The Court agreed with this argument but said that the possession was obtained by seizure or repossession which was an exception to the “perfection by possession” rule.

So what can lessors do? The best practical thing to do is register in time.

If you are out of time, the Court has power to extend time for registration.

But the cases show this is risky and does not always work.

The good news is that in many cases, the Court has extended time for registration, although such orders are often conditional on any subsequent administrator or liquidator having the right to challenge the order if they are appointed within the next six months.

In one case, the Court granted the extension of time even after an administrator had been appointed.

The bad news is that once you become aware of the problem of not being registered, you have to register as soon as possible. In one case, a delay of one month after becoming aware of the need to register was held to be too long.

Leigh Adams Special Counsel Owen Hodge Lawyers T: +61 2 9570 7844 F: +61 2 9570 9021 lwa@owenhodge.com.au www.owenhodge.com.au

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aicm Training News How to motivate people when times get tough Managing employees during tough economic times poses a unique set of challenges. People are stressed and distracted by news of poor company earnings reports, bankruptcies, and layoffs. Anxieties sky rocket in response to media stories that always focus on the negative, and constantly report on the continued rise in unemployment.

The key to motivating people during such times is to help them focus on something that makes them feel useful and productive. This is a process that requires constant attention and deliberate actions. The first step is to assure employees that leadership is competent to navigate in turbulent waters.

Next, turn their attention to positive, creative and meaningful activities within the workplace.

Demonstrate confidence: When you telegraph the confidence and ability to guide the company through unstable times, the workforce will trust you to do just that. You are being closely watched and employees will take their cues from your behaviour. If you convey a sense of confidence and calm, the workforce will respond in kind. Demonstrate by words and actions that

you can effectively deal with the issues and challenges that derive from these tough economic times.

Communicate: In the face of uncertainty people crave information, and in its absence they will fabricate it. It is critical to frequently and truthfully communicate with the workforce. And the communication must be both ways. People must feel their voices are heard and their concerns honoured. Further, to manage effectively you must be aware of what is really going on with your employees.

Be out there: Make sure that you are highly visible, available and approachable. Really listen and respond, even if you don’t have all the answers and can’t solve every problem.

Whenever possible, go the extra mile to show support for your people. Pitch in to help meet a critical deadline.

Provide professional development opportunities through new assignments, increased responsibilities or special training.

Recent graduates Statement of Attainments Issued: Martin Nguyen

VIC

FNSCRD502 Manage factoring and invoice discounting arrangements

James Devaney

VIC

FNSCRD502 Manage factoring and invoice discounting arrangements

Dimple Agheda

NSW

FNSCRD502 Manage factoring and invoice discounting arrangements

Yitian Bai

VIC

FNSCRD502 Manage factoring and invoice discounting arrangements

Syd Hashmi

VIC

FNSCRD502 Manage factoring and invoice discounting arrangements

Auckland, NZ

FNSCRD502 Manage factoring and invoice discounting arrangements

Ashleigh Crossen

54

Terence Costa

NSW

FNSORG502 Develop and monitor policy and procedures

Grant McCartin

NSW

FNSCRD502 Manage factoring and invoice discounting arrangements

Philip Freeman

NSW

FNSCRD502 Manage factoring and invoice discounting arrangements

Anja Bonnard

WA

FNSCRD504 Manage the credit relationship

Anja Bonnard

WA

BSBRSK501 Manage Risk

Xavier Rego

NSW

FNSCRD502 Manage factoring and invoice discounting arrangements

Christopher Hayes

NSW

BSBCNV506 Establish and manage a trust account

Talia Tukere

NSW

BSBCUS403 Implement customer service standards

Talia Tukere

NSW

BSBCMM301 & BSBCUS203

Victoria Lee

NSW

FNSMCA402 Initiate legal recovery of debts

Vatsala Mattoo

NSW

FNSCRD502 Manage factoring and invoice discounting arrangements

Kathy Purkiss

NSW

BSBRSK501 Manage Risk

Certificate IV in Credit Management:

In-House Training:

Rhiannon Kearns NSW

• BOC • Jurlique International

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

• NHP

aicm Training News Create a sense of purpose: At a time when people feel that much of their financial circumstances are out of their control, they respond well to having a sense of authority and autonomy at work.

Indeed, they welcome the distraction and the opportunity to influence a valuable and valued outcome. Allow as much latitude as possible for people to determine how to go about their jobs and make decisions in the course of doing it.

Set group as well as individual goals. When people feel connected to others around a common purpose, they are better able to focus, create and produce. Lead by example and create an atmosphere of team work and collaboration.

Anything that reminds people that they are part of a group and gives them a sense of identity with others is a powerful tool in bringing out their best efforts.

Celebrate: Establish clear priorities and focus on short range objectives that can be achieved, publicised and rewarded. There is nothing like winning to motivate, and a “win” can be anything people say it is. Set small goals on the way to

larger ones and acknowledge each step along the way.

Sometimes a simple pat-on-the-back is enough and other times something more tangible is in order. A celebration need not be costly or extravagant. The idea is to let people know they are making progress toward a goal and that their achievements are noticed and appreciated.

Create a fun environment: Do what you can to help people have fun while they are at work. Set an example by your own mood. Project a positive attitude and greet people enthusiastically. Engage in a little small talk. Touch base with your direct reports and the end of the day and thank them for their good work.

Leverage tough times: Although people certainly prefer to experience good times over bad, there is satisfaction to be derived from rising to the occasion. Leverage this to rally the troops and recognise them for their tenacity and commitment. People will respond because they really want to experience a sense of pride, contribution and satisfaction in their work lives, no matter what is going on around them.

2018 February to June Face to Face Training Calendar – Melbourne, Brisbane and Sydney Melbourne: 12th February – Assess Credit Applications (C,4) 13th February – Telephone Collection Techniques (C,4) 12th March – Manage Overdue Customer Accounts (C,4) 13th & 14th March – Manage Factoring and Invoice Discounting Arrangements (E,D) 16th April – Manage Bad and Doubtful Debts (C,4) 17th & 18th April – Legal Compliance (C,D,4) 21st & 22nd May – Manage Factoring and Invoice Discounting Arrangements (E,D) 23rd May – Resolve Disputes (C,4) 18th June – Manage Risk (C,D) 19th June – Develop and Monitor Policies and Procedures (C,4), Brisbane: 19th February – Assess Credit Applications (C,4) 20th February – Telephone Collection Techniques (C,4) 19th March – Manage Overdue Customer Accounts (C,4) 20th & 21st March – Manage Factoring and Invoice Discounting Arrangements (E,D)

23rd April – Manage and Recover Bad and Doubtful Debts (C,4) 7th & 8th May – Legal Compliance (C,D,4) 9th May – Resolve Disputes (C,4) 24th & 25th May – Manage Factoring and Invoice Discounting Arrangements (E,D) 14th June – Manage Risk (C,D) 15th June – Develop and Monitor Policies and Procedures (C,4), Sydney: 5th February – Assess Credit Applications (C,4) 6th February – Telephone Collection Techniques (C,4) 5th March – Manage Overdue Customer Accounts (C,4) 6th & 7th March – Manage Factoring and Invoice Discounting Arrangements (E,D) 9th April – Manage Bad and Doubtful Debts (C,4) 10th & 11th April – Legal Compliance (C,D,4) 14th & 15th May – Manage Factoring and Invoice Discounting Arrangements (E,D) 16th May – Resolve Disputes (C,4) 4th June – Manage Risk (C,D) 5th June – Develop and Monitor Policies and Procedures (C,4),

Table of Explanation: C= Core Unit D = Diploma

E = Elective Unit 4 = Certificate IV

Important Information: You do not have to be a current AICM student undertaking a full qualification to attend any AICM face to face training.

You may wish to undertake a program for your Professional Development, or enhance and update your current skills and knowledge.

On the completion of the face to face training, you will be required to undertake the online assessment/s for the unit/s of competency, if you wish to receive a nationally recognised Statement of Attainment.

Please register you interest early, as there is a minimum requirement of 8 students to conduct face to face training.

To speak to AICM about these or any other learning or development, call 1300 560 996 or email andrew@aicm.com.au or debby@aicm.com.au

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AROUND THE STATES

New South Wales

Michelle McRae and Louise Thomson.

Debbie Leo and Michelle Gibbings at the WINC luncheon.

Back row: Rebecca Bishop, Amanda Borland, Beth Gray, Debbie Leo, Treacy Sheehan, Balveen Saini. Front row: Sue Day, Sev Indrele, Tracy Bevan and Anna Taylor.

President’s Report I had a colleague remind me that there are 15 weeks left until Christmas. As stressful, hectic and crazy Christmas is for some, it is a friendly reminder that we are nearly at the end of yet another successful year for the AICM. Since our last publication, we have hosted, and had an overwhelming attendance, at our events; both social and professional development.

The WINC Luncheon was held at the prestigious Primus Hotel and besides the fact that there was not an empty seat in sight, the enthusiasm and excitement around the room was infections.

It would be amiss of me not to individually mention each of our female credit professionals who form our WINC Committee, they are Debbie Leo, Anna Taylor, Zara Mends, Beth Gray, Sue Day, Treacy Sheehan and Sev Indrele. Every year the WINC events keep getting better and better, and we have you to thank for your dedication and commitment to a very important initiative for the AICM. The event’s premium sponsor was Equifax and supporting sponsors were NCI and Results Legal. The sponsors are truly committed to inspire and develop female credit professionals.

The AICM is proud to partner with these sponsor organisations as their financial support elevates these events every year.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Julia Fawcett is excited by her gifts – thank you Equifax!

A Data and Technology Forum was held in July where a panel of credit professionals, David Hunt, Sue Day and Rony Halim, shared their experiences of how challenges can be overcome through the use of the right data and technology solutions.

A special thank you to our Vice President Sue Day, and NSW Councilor David Hunt who opened up a very professional, insightful and honest discussion.

Litigation and Court attendances can be a daunting experience for any credit professional. But the Practical Tips for Legal Recoveries presentation held by Results Legal and Rhett Kipps provided guidance as to how you can reducing risk, assist the lawyers and increase your chances of a successful judgment.

As we go to print, we would have had another round of candidates sit the CCE exam. Good luck to them all!

To end the year, we have scheduled in the Youth Network Night- Barefoot Bowls, and of course our Pinnacle Awards.

Please contact your respective state councilors as sponsorship opportunities are still available; and we would love to have you be a part of it all.

But the show stopper, as it is every year, is the National Conference in October. I look forward to seeing you all then.

Wishing you warmest regards from all of us here in NSW, – Balveen Saini

New South Wales AROUND THE STATES

Heather Spring, Holly Jackson and Natalie Ledlin.

Elysha Magee with Nick Pilavidis and her honorary AICM membership.

WINC: Sally Anani, Emily Pooniah and Melissa Windon.

NSW WINC The 2017 NSW WINC was a fantastic event afternoon.

Michelle Gibbings gave an inspiring presentation. I’m sure everyone took away tips on how to tackle some of the challenges women face in their career Thank you to our event sponsor’s Equifax, NCI and Results Legal. We’re proud of these partnerships and the shared value when it comes to helping female credit professionals develop themselves and their career. Thank you all again for your ongoing support.

Thanks also to the contributors for the event’s raffles – Equifax, Results Legal, Trace Personnel, Simon Johnson Fresh Catering and Austral.

We appreciated that Tracy Bevan from McGrath took time out of her busy day to speak and give her unique insight into their organisation and the importance of breast care nurses to women’s recovery On behalf of the committee I’m proud to say we raised over $1,700 for our chosen charity the McGrath Foundation.

I look forward to seeing everyone again next year at another exciting WINC. – Sue Day, NSW State Vice President

Andrew Smith and Ray Hadley at Col Magee’s benefit.

Vale Colin Magee LICM CCE On 18 July 2017 the AICM lost a friend and colleague to many and NSW Divisional President, Colin Magee.

Col led the NSW Division as President and was the inspiration behind many of its activities including golf days, trivia nights and professional development sessions as well as securing the AICM President’s Trophy in 2015.

On 13 July over 300 family, friends and colleagues attended “Colin Magee’s Benefit Bash” to pay tribute to the big man and raise over $40,000 for Col’s wife Roberta and children Elysha and Aaron. Col attended by video link and was truly humbled October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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AROUND THE STATES

New South Wales

Proud President Col with YCP winners Fiyona Kidenya and Balveen Saini.

Grant Morris, Nick Pilavidis and Jenny Waite.

by the overwhelming generosity of everyone that contributed to the benefit. Thanks go to Ray Hadley OAM who donated his time as MC and Auctioneer and all who contributed by attending, contributing items and funds through the raffle and auctions.

In true Col style the funeral service and wake held on 28 July were over capacity.

Col will be remembered for the great times we all had with him at events and the national conference. He will be missed

by AICM members across the country.

Members Grant Morris and Jenny Waite along with AICM CEO Nick Pilavidis and James O’Donnell of Hays participated in a panel discussion answering questions from the floor.

An excellent and inspiring morning with participants leaving pumped full of ideas for their day ahead.

Thank you Hays for your insights into our industry.

The Australian Institute of Credit Management welcomes our Partners for 2017.

National Partners

What it takes to be a credit manager 130 credit professionals met for breakfast at the Ivy Sunroom to hear from the experts on what it takes to be a credit professional and to understand the outcomes of the 2017 Hays survey of credit.

Hays have identified a number of themes coming from credit managers such as working with sales, being trained and having information available to ensure you can make correct decisions.

Events Calendar

Divisional Partners

Professional Partner

Friday 20 October

Toolbox Series 1 – Fundamentals of Credit

Official Division Supporting Sponsors

Tuesday 14 November

Credit Toolbox Series 2 – Collect with Confidence Thursday 16 November 2017

YCP Barefoot Bowling NEUTRAL BAY

Thursday 7 December

Toolbox Series 3 – Understanding Credit Risk Thursday 7 December 2017

Pinnacle Awards VENUE: TBC

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Our National, Divisional and Professional Partners support and work with the AICM to promote the Institute’s activities, represent the Credit Industry and develop the careers of all Credit Professionals. As these organisations support your Institute and your Industry please consider them when you require assistance.

Queensland

2017 Qld YCP winner Nathan Wilkinson with AICM CEO Nick Pilavidis, Qld President Roger Masamvu and Martin Morris (D&B).

2017 Qld YCP Finalists – Erin Stewart, Nathan Wilkinson, Nicole Yeong, Hannah Lowing, Harry Preston with Martin Morris (D&B).

2017 Qld YCP Awards – Workpac team.

President’s report What a great couple of months for Queensland. The YCP awards night was a huge success with the finalists all being very polished and making our division proud of the talent we have. Thanks to our functions team for their organisation of a fabulous night for the division.

Congratulations to all finalists and especially our winner Nathan Wilkinson. The state’s best wishes accompany you to Canberra and looking forward to you doing well.

The WINC continues to go from strength to strength based on an excellent event, the support of our local committee of Anna Taylor, Debbie Leo, Julie McNamara, Maria Schandl, Zara Mends and Lucinda Bell. The function centre looked fantastic, the day was perfect and we raised $2,790 for the McGrath Foundation.

I look forward to catching up with many members at the October national conference in Canberra and I commend this great opportunity to all.

AROUND THE STATES

2017 Qld YCP winner Nathan Wilkinson receiving his trophy from Martin Morris (D&B).

Don’t forget the Pinnacle Awards to be held on Friday 24 November which will be a great night. We need the whole credit community to consider worthy award recipients and to vote and be part of the celebration of all things credit.

– Roger Masamvu Queensland State President

Queensland YCP Awards What an evening!

This year’s Young Credit Professional Award sponsored by Dun and Bradstreet, was hosted by Ross Leggett at Victoria Park Golf Complex just outside of Brisbane.

We were lucky enough to have the AICM board visit our great state. To help celebrate the evening, we had the always charming James Neate take centre stage to remind us all that ‘Queensland is great!’ James also gave an overview on October 2017 • CREDIT MANAGEMENT IN AUSTRALIA

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AROUND THE STATES

Queensland

Maddison Graham, Maria Schandl, Erin Stewart (back), Kirsty Gray (front), Gemma Poore, Angus Rayner of Stoddart Group.

Roger Masamvu, Julie McNamara and John McNamara.

the AICM and the upcoming 50th anniversary celebrations at conference this year.

Julie McNamara was awarded with 20 years of AICM membership. Julie is currently on the Qld AICM Council and looks after all of our events. Julie, we thank you for your tremendous contribution to the credit industry, women in credit and the AICM over the past 20 years and we look forward to the next 20!

The event of the year was capped off by introducing this year’s finalists and announcing this year’s Young Credit Professional – Nathan Wilkinson. Congratulations Nathan, we know you’ll do Qld proud at the National conference this year in Canberra!

Our finalists were: Nathan Wilkinson – National Collections Services Hannah Lowing – Nexxa Portfolio Management Harry Preston – Workpac Erin Stewart – Stoddart Group Nicole Yeong – Rodgers Reidy Gurpreet Singh – Nexxa Portfolio Management

YCP Winner Upon winning this year’s Queensland YCP award Nathan Wilkinson reflected on the process and the benefits he obtained: “The YCP process is one of the most rewarding programs that I have ever been involved in. I believe the prestige of the award will undoubtedly be a huge contribution to my career moving forward.

I am forever grateful for the support and knowledge that I have gained as a direct result of this opportunity.”

Good luck at the national judging Nathan, your Queensland colleagues wish you well.

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CREDIT MANAGEMENT IN AUSTRALIA • October 2017

(LtoR) Michelle Gibbings (with gray jacket), Jayne Hay, Carla Seirlis, Debbie Leo, Clare Windle, Terry Luis, Chanel Diab, Gary Forrest, Mellisa Dzihwerna and Vanessa Andrews

Women in Credit On 25 August 2017, AICM Queensland held a fabulously successful Women In Credit Luncheon at the stylish Victoria Park Golf Complex, Herston Brisbane.

Michelle Gibbings gave an entertaining and enlightening presentation to this well attended and popular event. We had some very inspirational words from Michelle and also Debbie Leo who gave us all the confidence to strive for our goals and set new bars we did not think we could achieve. Our own Julie McNamara, AICM Queensland’s Event Portfolio Committee Chair MC’d the glittering event.

A successful silent auction and raffles were conducted with some excellent prizes were on offer. Proceeds from these went to McGrath Foundation who gave a presentation of the wonderful work that they do during the event.

Our CEO, Nick Pilavidis, and Andrew LaMerchant, from Head Office also attended the event.

Thanks to all of the supporters, especially Equifax who made such a successful event possible. This event continues to grow annually.

– Greg Young, Qld Director to the AICM Board

Queensland AROUND THE STATES

Attendees enjoying the WINC lunch.

Zara Mends, Anna Tayler and Maria Schandl announce prize winners at WINC.

The Australian Institute of Credit Management welcomes our Partners for 2017.

National Partners

Attendees enjoying the WINC lunch.

Events Calendar

Divisional Partners

Friday 24 November

Credit Toolbox Series 2 – Collect with Confidence Friday 24 November 2017

Pinnacle Awards

Official Division Supporting Sponsors

Celebrate Credit Professionals who have excelled in 2017 Thursday 14 December

Toolbox Series 3 – Understanding Credit Risk

Our National and Divisional Partners support and work with the AICM to promote the Institute’s activities, represent the Credit Industry and develop the careers of all Credit Professionals.

As these organisations support your Institute and your Industry please consider them when you require assistance.

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AROUND THE STATES

South Australia

James Neate receives his Life Membership from Trevor Goodwin.

Adrian Stewart receives his 30 year pin from SA President Gail Crowder.

President’s Report Having been to Canberra a few weeks ago on a beautiful spring day, I am now very keen to be going back for the exciting 50 Year National Conference celebration. However, the show goes on with the SA council being kept extremely busy during winter organizing events for their members. No time to think about the extreme rainfalls and blistering conditions of winter we have had!

I think breakfast with Cory Bernardi was a pleasant surprise to many! Fresh, open and honest he left you questioning your decision who to vote for in the next election. The Q and A session gave a few of the seniors in the audience a chance to speak of their past voting experiences and question why they should completely change their allegiance for one person. Let’s see what the future holds!

The Stamford Plaza was a beautiful venue for the Award’s Night overlooking Parliament House and the Casino. The room was buzzing with everyone socializing and enjoying the food and beverages. Well catered for and up to the standard you would expect, the Stamford was the place to be. It was only fitting to present James Neate from Lynch Meyer with his Lifetime Membership. James’s continued support and involvement in the AICM is highly commendable and there was no question he should receive this award. Well done James!

SA had 3 candidates for the YCP this year: Gina Thorp from Elders, Scott McGrice from Worrells and Alice Carter from Lynch Meyer. They were all of a very high calibre and diverse with their knowledge within their given roles. In saying this, I would like to congratulate Alice for being awarded SA’s YCP winner and wish her all the very best in Canberra as she enters into the national finals for the Young Credit Professional of the year.

Our 50 Year Anniversary event in SA brought back many memories and a good collection of memorabilia. Great to see some of the old faces bring their nostalgic keepsakes of the AICM and share their stories and memories. With our next networking event being held on 23rd November, at the Cathedral Hotel, we are encouraging our long term members to reconnect with those who did not attend and to come along when the weather is warmer.

Council continues to strive to deliver strong and relevant speakers. Senators certainly have concern for the economy of your state and have plenty to say for you to consider! Strong profiles in the credit and law professions are always being sought after to deliver educational events throughout the year.

We welcome our members thoughts and input so don’t hold back and keep in contact with the councillors.

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YCP Finalists Alice Carter, Gina Thorp and Scott McGrice.

Keep an eye on the calendar and lock in the events for the rest of the year. We look forward to seeing you, sharing your feedback and delivering the best we can at every event.

See you in Canberra!

– Gail Crowder, SA Division President

Annual Awards Night The Annual Awards dinner for the Young Credit Professional of the year sponsored by Dun & Bradstreet was held on Wednesday 24th August at The Stamford Plaza hotel in the Adelaide CBD. Around 60 people attended the event which was a most enjoyable evening, with enthusiastic networking and socialising amongst attendees. The Stamford Plaza was a first class venue being of perfect size and with excellent service and quality meals.

The guest speaker for the evening was Brian Smedley, CEO of South Australian Wine Industry which is an important organisation for the wine industry in South Australia. Brian gave an interesting overview of the wine industry and its importance to both South Australia and Australia. The industry is quite buoyant at the present and a major participant on a global scale, ranking in the top seven wine producing countries in the world.

Eddie Bastiani from Milton Graham Lawyers representing Dun & Bradsteet introduced the three finalists for the YCP State Award; Alice Cooper from Lynch Meyer Lawyers, Gina Thorp from Elders Rural Services and Scott McGrice from Worrells Insolvency and Forensics Accountants. Eddie then announced the winner as Alice Cooper. Good luck to Alice at the National Award judging!

Following the YCP announcement was the presentation of a 30 year Life Membership pin by State President Gail Crowder to AICM–stalwart, Adrian Stewart. And to complete the formalities of the evening was the announcement by SA Director, Trevor

South Australia

Former SA President Hillary Orr and former SA Councillor Mary Jeffries.

Goodwin, of Life Membership to Australian President, James Neate, in what was a richly deserved award after Jame’s wonderful and ongoing service to the Institute over many years.

To conclude what was an enjoyable evening, Emcee James Neate and State President Gail Crowder thanked everyone for attending and D&B for their sponsorship of the YCP Award.

– Trevor Goodwin

Breakfast with Cory Bernardi The South Australian division held its 2017 midyear breakfast network function on 27th July at the Next Gen Memorial Drive Function Centre which is located by the picturesque River Torrens and Adelaide Oval complex.

Our guest speaker was Senator Cory Bernardi who has been in Federal Parliament since 2006 and in April of this year launched the Australian Conservatives. He has held numerous Parliamentary Party positions including Vice President of the Liberal Party (SA) from 1997. Cory spoke of his strong conservative values and his desire to improve the quality of life-styles within Australia for future generations and his goals for all Australians. The audience came forward with many questions as Cory certainly has strong views to share. It was also interesting to hear a young Senator with ambition and the strength of many followers.

See you at our end of year networking event at the Cathedral!

Past SA Executive Officer Kerry Hammill.

It was great to see former Presidents Chris Renwood, Hillary Orr and Trevor Goodwin in attendance as well as Life Members Peter Brewer, Kevin Hollister and Lindsay Chuck.

The pop up museum was all the rage with guests bringing their own photos and AICM memorabilia pieces which were put on display. Adrian Stewart was the main exhibitor with a magnificent display of AICM paraphernalia from over the years.

The AICM cufflinks were truly outstanding and left attendees wanting to know where they could get their own set. Such a good time was held by all it was agreed to reconvene at our November Sundowner which is being held at the Cathedral Hotel on 23rd November 2017. It is impressed upon attendees to not only come along to the November event but also bring another past or long standing member on the night to continue the reminiscing. I look forward to seeing you all there!

– Neil Ricketts LICM

The Australian Institute of Credit Management welcomes our Partners for 2017.

National Partners

– Trevor Goodwin and Gail Crowder, Functions Committee Divisional Partners

50th Anniversary Function Report On 13th September 2017 a 50th Anniversary and Members Reunion Function was held at the Lynch Meyer Boardroom.

We had two notable absentees due to the winter flu being former National and Division President Brian Hoskin, and current Division President Gail Crowder. Nevertheless an enjoyable time was had by all the 25 attendees who enjoyed each other’s company and reminisced about times past.

Current National President James Neate was the guest of honour and gave a genuinely warm and friendly welcome and explanation of the significance of the occasion in the history of the AICM. Many thanks to National Office’s Andrew Le Marchant for arranging the brilliant posters of past AICM champions and memories that we were able to display at the event. Former Executive Officer Kerry Hammill was able to provide a rolling slide show of photos of members taken at the many dinners and events held over the past 20 years or so.

Official Division Supporting Sponsors

Our National and Divisional Partners support and work with the AICM to promote the Institute’s activities, represent the Credit Industry and develop the careers of all Credit Professionals.

As these organisations support your Institute and your Industry please consider them when you require assistance.

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AROUND THE STATES

SA YCP FInalist Alice Carter.

AROUND THE STATES

Victoria/Tasmania

Lou Caldararo and Jeff Hurst with their Life Member certificates.

President’s Report The Victorian/Tasmania division of the AICM continues to roll out new initiatives and updated network sessions. Our Professional Development series have been well attended with new and very topical sessions. The breakfast meetings have become more popular as we have introduced more during this year.

Also our nationally run Toolbox series are such a success we’ve scheduled these for the last quarter too. For access to the most current training schedule please check the training and events calendar on the website. You can use this link or better still contact the office and register for our regular email updates.

The Victorian/Tasmania membership has grown strongly from the previous membership year, we are finding more companies are taking up the excellent valued group membership to ensure their whole team is able to access AICM information, advance their careers and stay up to date.

Young credit professional award had 7 formal applications put forward to the judging panel. Congratulation to Suzanne Chhour as this year’s Victorian/Tasmania Young credit professional winner. Good luck I know you will do us proud representing the division at the National Conference in Canberra. Well done to Joshua Tseitlin who was the 2017 recipient of the Tony Mamone Award.

I would like to introduce you to the Vic/Tas Councillors and the portfolios they manage within our state division: zz Lou Caldararo – State President and Professional Development zz Sherif Hussein – Vice President and Certified Credit Executive, CCE Portfolio zz Robyn Erskine – Finance/accounting Legislation Portfolio zz Amaran Navaratnam – Young Credit Professional/Youth Portfolio zz Donna Smith – Editorial and Publication Portfolio zz Frank Gambera – Law and legislation Portfolio zz Rex Chang – Treasury Portfolio zz Tony Mackwell – Corporate Sponsorship Portfolio zz Catrina Galanti – Membership Portfolio zz Jeff Hurst – State Director/Events and Functions zz Mahlee Terrell – Professional Development Tasmania/Country Victoria Portfolio zz Mary Petreski – Professional Development Portfolio zz Suzanne Chhour – 2017 YCP State winner and Supernumerary zz John Ng – YCPA Committee Congratulations to all the entrants for this year’s Credit Team of the Year, getting involved in the event, I believe it brings the 64

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James Healey (D&B), Chun Ng (John), Joshua Tseitlin, Joshua Rutland, Suzanne Chhour, Daphne Zervagas, Linton Webster and Lou Caldararo (Vic/Tas Presisdent).

teams closer together. Therefore, I would encourage all of you to participate in next year’s event.

The Victorian/Tasmania AICM Women in Credit function held at the RACV club was a great success and I thank all our event supporters for donating their valuable time and kind donations to make this a must attended event. Also, a big thank you to the WINC committee for their tireless efforts as well.

2017 has been a strong year for credit professionals to sit their CCE exam. I commend to all members the benefit of holding the CCE qualification and encourage all members to consider the CCE and to accumulate points enabling you to qualify.

As I have mentioned in the past I encourage any member who would like to submit a credit related topic or paper please do so send it to national office on aicm@aicm.com.au where Nick and team will review the document.

– Lou Caldararo, Victorian/Tasmania State President

Breakfast Network Event – Unfair Preference Claims – 8 August 2017 Bryan France, Lawyer, and Allan Kawalsky, Partner of Turks Legal, delivered an excellent presentation on Unfair Preference Claims in their offices at the Rialto Towers. Both Bryan and Allan have extensive experience in the areas of insolvency, commercial litigation, recoveries and asset realisation. Topics covered whether secured creditors can avoid liability for preference claims, assessing the value of a security interest when defending a claim, the running account, the good faith defence, recent insolvency law reforms and set off.

The event was incredibly well attended with approximately 40 people in attendance, and the feedback from members and guests was that it was an informative and enjoyable presentation. Many thanks to Bryan and Allan for donating their time and expertise and their venue for the event.

A word from the YCP Vic/Tas Chairman On 7 July, we interviewed 6 exceptional finalists with the Judges being James Healy (D&B), Johnny Koutrigaros (Sharp & Carter) and Rex Cheng (IAG). As I know two of the candidates I excused myself from judging to avoid conflict of interest. Since being appointed the YCPA Chairman for Vic/Tas, this is my second year being involved with the selection and interviews

Victoria/Tasmania

Suzanne Chhour (Recoveriescorp) winner Vic/Tas YCP Award 2017.

with each year the numbers of applicants increasing along with the calibre of the applicants making it hard to select six finalists.

The finalists for the YCPA 2017 were; zz Chun Ng (John), Analyst – Vendor Managed Care, NAB Assist zz Suzanne Chhour, Assistant Operations Manager, Utilities, Recoveriescorp zz Joshua Tseitlin Business Engagement Officer, Bendigo Adelaide Bank zz Linton Webster, Assistant Operations Manager, Government, Recoveriescorp zz Daphne Zervagas, Credit Team Leader, Reece Pty Ltd zz Joshua Rutland, Collections Manager and Reporting, Bendigo Adelaide Bank Each finalist came in prepared, anxious, nervous and excited but they all showed their drive, experience and most of all their accelerating passion for the credit risk industry of Australia.

The panel judges felt part of the success of the finalists are contributed by the YCPA candidates managers within their organisations, this year we would like to recognise two NAB leaders; Ross Charles and Sophie Bouhalis to which we felt are continuously supporting their staff by not only handing down extensive banking and finance acumen, experienced learning but by simply ‘trusting’ their staff members, their skills and attributes and progressing their staff members careers with limitations.

After all the interviews were completed on the day, it came down to reviewing and tallying the interview results to which Suzanne Chhour a 2013 YCPA runner up was a clear winner for 2017-YCPA State award. Suzanne is a credit professional who gives back to the credit industry, through the management of tier 1 utility client debt portfolios.

On behalf of the Vic/Tas Credit industry, Councillors we wish Suzanne all the best for the national finals in October.

– Amaran Navaratnam, MICM, CCE Young Credit Professional, Chairman (Vic/Tas)

YCP Awards Dinner – 13 July 2017 Another group of quality entrants in this years’ Young Credit Professional (YCP) of the Year Awards. There were six finalists who stepped up and entered in the prestigious Young Credit Professional Awards for 2017. The entrants were Chun Ng (John) (Analyst – Vendor Managed Care, NAB Assist),

Joshua Tseitlin recipient of the 2017 Tony Mammone award.

Suzanne Chhour (Assistant Operations Manager, Utilities, Recoveriescorp), Joshua Tseitlin (Business Engagement Officer, Bendigo Adelaide Bank), Linton Webster (Assistant Operations Manager, Government, Recoveriescorp), Daphne Zervagas (Credit Team Leader, Reece Pty Ltd), and Joshua Rutland (Collections Manager and reporting, Bendigo Adelaide Bank), with Joshua Testlin taking out second place (the Tony Mammone Award for runner up) and Suzanne Chhour taking out the top prize and is Vic/Tas Division winner for 2017!

A huge congratulations to Suzanne our winner, Joshua our runner up and to all the participants for getting involved and taking part. Suzanne will now represent Vic/Tas Division in this year’s National YCP Award Finals to be held at the National Conference in Canberra. The winner to be announced at the President’s Dinner on Thursday 12 October 2017.

Being part of the YCP Awards is an excellent way to strengthen your relationship with your employers, gain valuable self-esteem, confidence and recognition in your workplace, and become more involved in the AICM, where you can network and meet other likeminded credit professionals. Again our congratulations and thanks go out to all the participants for making the commitment to themselves, their employers and the AICM in participating this year and a big thank you to the panel of judges, without their valuable input we would not be able to hold this event.

Joe Seychelle (General Manager) and Ross Charles (Manager) from the National Australia Bank delivered an excellent presentation on NAB’s collections policies and procedures and how customer service is changing the face of collections.

They reported on how the combination of improved collections strategies, innovation in work flow management and their focus on improved customer service has resulted in a significant improvement in collections outcomes across the board at NAB. Approximately 80 members and guests attended the event.

It is with great appreciation that we extend our thanks to our National Sponsor Dun & Bradstreet for their continued support of the AICM and for again sponsoring this annual event.

A huge thank you goes to Amaran Navaratnam and the YCP sub-committee for their tireless work in receiving applications, interviewing candidates and getting the word out there to young people in credit. We would also like to thank the members on the committee who organized the event and the RACV Club, Bourke Street, Melbourne for their wonderful hospitality.

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James Healy (D&B) presenting the YCP Candidates and Winner.

AROUND THE STATES

Victoria/Tasmania

YCP Dinner: Chris Belegrinos (Sharp & Carter), Samantha Spiteri (ARL) and Nikki Dennis (ARL) enjoying the festivities.

Mahlee Terrell and Tim Holden (Foremans Business Services) at the YCP Dinner 2017.

For any young person in credit, you are the future of credit so get involved! Please know that participating in the YCP Awards is not only a great way to actively involve yourself in your career development, but by participating in the program you can also highlight your attributes to your employers, peers and seniors in the industry and contribute to showcasing your employer to the industry. For further enquiries regarding entry to the 2018 YCP Awards please contact YCPA committee chair Amaran Navaratnam amaran.navaratnam@rea-group.com he will gladly assist you with information on how to apply.

coming up to me the whole way through to wish me luck.

The AICM is a big supporter of young talent and since winning I’ve been on Council and networking with lots of you knowledgeable Credit Professionals. Having this supportive network of like minded people has helped me with my own professional confidence and ensured that I keep going for things that I believe may have been out of my reach. For those of you that don’t make it through, give it a try again next year.

I didn’t win the National title. This went to Fiyona from NSW, an inspiring young woman who I still speak to. So whoever takes it out tonight, it’s STILL been 20 years since a Victorian got the top spot…..so, no pressure….you can do it! To the winner tonight, best of luck with the nationals and please come see me so we can grab a coffee.

2016 YCP Catriona Galanti reflects on her Journey – speech given at our 2017 Dinner Getting nominated for the YCP was a fantastic experience for me. I got involved with the AICM when I joined Austral Mercantile as the Victorian Sales Manager. As someone coming from a Finance Manager role, I saw the AICM as an avenue to further expand my knowledge and make connections within the Industry. After about a year of making friends within the Institute, my colleague at Austral nominated me for the YCP. As a sales manager, I really went for it as I thought it would enhance my credibility within the Industry and would be a great way to test my knowledge. Throughout the process, I had a lot of support from previous YCP finalists and felt, somewhat prepared going in to the interview. I read through all of the back issues of the AICM magazine and tried to bring myself up on the current legislation.

Securing the state win was a huge validation for me. As a relative newcomer to the Industry (meaning less than 10 years) it really cemented my role and made me more dedicated to the AICM. It also gained me a lot of recognition internally and I moved from a role at Austral to one within QBE Trade Credit.

Something I don’t think I would have been considered for without my YCPA. Then came the scary part, prepping for a presentation to 4 senior Credit professionals for the National Conference.

Getting flown up to the Gold Coast to compete was rough, but I had to do what was right and represent the Vic/Tas division to the best of my ability. Meeting the other finalists was a wonderful bonding experience and it was great to share our knowledge (once the interviews were done of course).

There was a lot of healthy competition and ribbing throughout the event. I was also quite touched by all the support from strangers at the National Conference, I had random people 66

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Congratulations to AICM member

Robyn Erskine AWARDED LIFE MEMBERSHIP OF ARITA In addition to being a regular contributor to AICM events, conferences and the Victorian/Tasmanian Council, Robyn was recently awarded Life Membership of the Australian Restructuring Insolvency and Turnaround Association.

This summary of her involvement with ARITA as given at her Life Membership award ceremony: “Robyn joined ARITA in 1992. She is a current member of ARITA National Board which she has served on for over a dozen years. Robyn was President of ARITA from June 2011 to May 2013. She only recently stepped down from an even longer serving role on ARITA’s Vic/Tas ARITA committee, she is a past Chairman of ARITA’s Vic/Tas division, and current member of ARITA’s ASIC/AFSA liaison committees.

Robyn is also active with CPA Australia and represents accountants in small practice globally on a major IFAC committee. She also holds membership with the Institute of Chartered Accountants of Australia and Australian Institute of Credit Management. The ARITA Head Office team will tell you that there is no one more engaged in providing advice, background and support to the ARITA staff than Robyn. She does all of this while still managing to maintain a successful insolvency practice at Brooke Bird.

ARITA owes a great debt to Robyn for her commitment and leadership and so, it is with great pleasure that, on behalf of the Board, I present Life Membership to Robyn Erksine.”

Victoria/Tasmania

Members and Guests at August Network Night.

Networking Event – 17 August

will be consequences if they do not engage. Members and guests showed great interest in the interactive presentation as questions were asked, points discussed amongst the attendees and ideas shared.

Thank you to Donna for donating her time, it was greatly appreciated.

– TELEPHONE COLLECTION TECHNIQUES A quality group of members and guests attended our August Network Night at the Parkview Hotel on St Kilda Road. Donna Smith, Managing Director of Reliance Recoveries, CCE and AICM committee member for Vic/Tas delivered an excellent and interactive presentation on Telephone Techniques with a focus on the messages that our words and actions during the collections process send to our customers. Donna spoke of the unintended consequences of not phrasing your communication well and how a few tweaks here and there can make a huge difference to your collection results. Donna advised that collection departments should be aiming for a practice of every action and word expressed delivering the key messages being 1) that the debt will be pursued 2) that you are there to help if the customer needs an arrangement and 3) there

Events Calendar

Tuesday 24 October

Inspirational Quote of the Week “Learn from yesterday, live for today, hope for tomorrow.

The important thing is not to stop questioning.”

– Albert Einstein

The Australian Institute of Credit Management welcomes our Partners for 2017.

National Partners

Divisional Partners

Toolbox Series 1 – Fundamentals of Credit Friday 27 October 2017

Trivia Night – A bit of light hearted fun and frivolity for all.

Friday 10 November 2017

CCE Breakfast

Professional Partners

Friday 10 November

Credit Toolbox Series 2 – Collect with Confidence Friday 17 November 2017

Official Division Supporting Sponsors

Network Event – Working with difficult customers VENUE: Parkview Hotel Friday 1 December 2017

Our National, Divisional and Professional Partners support and work with the AICM to promote the Institute’s activities, represent the Credit Industry and develop the careers of all Credit Professionals. As these organisations support your Institute and your Industry please consider them when you require assistance.

Pinnacle Awards Monday 11 December

Toolbox Series 3 – Understanding Credit Risk

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AROUND THE STATES

Donna Smith (Reliance Recoveries) present on Telephone Techniques.

AROUND THE STATES

Western Australia/Northern Territory WA Credit Community – 2017 – The West at its best!

WA YCP 2017 Peter Hamers.

Perth maybe the most isolated capital city but it has not stopped us from putting on great events this year. Since our last printed edition, we have looked to set the bar a little higher for our Members. We have been assisted in achieving this goal by our choice of venue and guest speakers. We also value being able to deliver the AICM educational platforms in locations that best fit our attendees.

I wish to thank, Crown Perth, Matilda Bay Restaurant, South Perth Yacht Club, Bunnings and the West Leederville Sportmen’s Club for supporting the AICM this year in providing venues. A special thank you to Alan Langford, Hon. Mia Davies MLA, Troy Mulder and Cynthia Thomas for their valuable contribution to the success of the WA Credit Community Calendar.

With winter in the background and spring in the air, the Council too has seen some changes. Balancing work and Council is not easy. The Council wishes to thank Ben McCallum, Natalie Gibbons, Sarah Reed, and Damian Barr for their contribution to growing the WA Brand this past 18 months.

We welcome Martin Bigg and Peter Hamers to the table and congratulate Rowan McClarty who will be representing us at Board level.

As this edition coincides with the National Conference, I encourage all of you attending Canberra to introduce yourselves to our YCP State Winner, Peter Hamers. Again, Western Australia has been blessed with another exceptional candidate, we hope will return home with the goods.

Our final Breakfast Club for 2017 will deliver details about the Insolvency law Reform Act. Our partners, FTI Consulting will be presenting “Hot Topics in Restructuring” on the 18th October.

To celebrate the year that was, we will be hosting our first Pinnacle Awards evening at a venue still to be determined.

I look forward to seeing as many of you as possible over the next few months. Thanks again for making the West one of the best places to be in 2017.

– Lisa Marr, WA State President

Young Credit Professional Dinner

2017 YCP – Lisa Marr (WA State President), Vivienne Terpkos, Peter Hamers (winner), Angela Porter and Ricky Black (D&B).

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On 14 July the WA Credit Community held the annual YCP Gala Dinner event at the Crown complex, Burswood. This year’s candidates were all worthy of the title of Young Credit Professional of The Year, but there can only be one winner.

Our WA candidates for 2017 were Peter Hamers from Kleenheat Gas, Angela Porter from Water Corporation and Vivienne Terpkos from Capricorn Society Limited.

Peter won the title and will represent WA at the national event in Canberra in October.

Good luck Peter!

Western Australia/NT AROUND THE STATES

New Councillor and 2017 YCP

Peter Hamers BBA MICM Credit Operations Team Leader – Wesfarmers Kleenheat My Australian credit career began in 2016, when I moved from my birth country The Netherlands to Perth, Australia. I moved here to be with my then girlfriend, now fiance (also Dutch), who convinced me that Australia was amazing, and right she was!

In The Netherlands I studied a four year Bachelor degree in Business Management (BBA) and carried out Full house at multiple business development and our September credit related projects in existing breakfast on organisations, ranging from small restructuring. businesses to large corporations, as part of my degree. Before and during my studies I worked in various roles, ranging from Senior Administrator to Process Improvement Specialist and more.

In July 2016 I started off my Australian career as Credit Operations Officer at Wesfarmers Kleenheat and in August 2017 I was promoted to Credit Operations Team Leader.

I was first introduced to the AICM when I started at Kleenheat and quickly became a proud member. Being part of the WA YCP of the Year Awards 2017 has been such an honour!

I was invited to join the council after my win earlier this year and gladly accepted this offer. It is a thrilling thought that I can assist in further developing the Australian Credit Industry by being part of the council.

Besides work I enjoy hikes through one of Perth’s many National Parks and I regularly go to the cinema. One of my favourite movie quotes is “I’m going to make him an offer he can’t refuse” from the movie The Godfather. I also enjoy time at home with my fiance and our two cats. I am not a huge sports fan although I did watch a lot of Formula One when Michael Schumacher was still in the game.

Peter can be contacted on: phamers@kleenheat.com.au, or phone 08 9312 9633

August Breakfast WA Credit Community held a breakfast presentation on 9 August at Matilda Bay Restaurant. Presented by Cynthia Thomas, National Sales Manager at Austral Mercantile Collections. The topic was Effective Credit Management in a Changing Society.

Cynthia has vast experience in Credit Management and Change Management and delivered a very interesting and topical presentation that was well received by the attendees.

The Australian Institute of Credit Management welcomes our Partners for 2017.

National Partners

Divisional Partners

Official Division Supporting Sponsors

Our National and Divisional Partners support and work with the AICM to promote the Institute’s activities, represent the Credit Industry and develop the careers of all Credit Professionals.

As these organisations support your Institute and your Industry please consider them when you require assistance.

Events Calendar

December

Goodbye to 2017 Sundowner

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New Members NEW MEMBERS The Institute welcomes the following credit professionals who were recently admitted to membership in July and August.

New South Wales

Victoria/Tasmania

Tarun Sharma Mohammed Zawed Terry Kemp Sandeep Sharma Debra Lee Alexander Dereck Mashayamombe Jessica Mannion Renee Andrews Holly Jackson Joseph Assadourian Neel Gounder Kavita Prasad Corey Hanlon Linda Powell George Tokitsis Tara Horgan Anthony Ryan Anna Ngoc Kien Truong KC Lim Damon Fletcher Dianne Curtis-Oates Stephen Ke Adam Cutri Mark Glynn

Dana Choy Sam Watson Jason Dowling Ozkan Dilek Kim Tu Verity Ranieri Stephen Stafford Oliver Hayward Gloria Johnstone

Renuka Joshz Raymond Wilson Chris Smith Ricky Kasper Louise Kadlecik Andrew Worrell Stergoula Klementou Peter (Tuck) Chong Clifford Heri Michelle d’Offay Nana Kawase Nitin Malik Brian Siew Justin Coates Michael Later Jason Lim Janet Shahine Patrick Viguet Jennifer Wallace

Vodafone Hutchinson Australia Pty Ltd Mitsubishi Electric Australia Pty Ltd Kemps Petersons Pty Ltd Kemps Petersons Pty Ltd Valmont Australia Pty Ltd Valmont Australia Pty Ltd Kennards Hire Pty Ltd Kennards Hire Pty Ltd Ledlin Lawyers Pty Ltd Open Colleges Kincare Kemps Petersons Legal Pty Ltd BMW Financial Services Jaybro Civil & Safety Toll Holdings Equifax Zodiac Group Australia Pty Ltd Omnicom Media Group Australia Credit Industriel et Commercial (CIC) Credit Industriel et Commercial (CIC) Sanofi-Aventis Australia Pty Ltd Bartier Perry Lawyers Bartier Perry Bartier Perry

Queensland Aleisha Weber Ana Manu Kym Graham Heather McFarland Bart Van Gemert Alexandra Croce Amy Houston Janeen Harris Mark Smith

The Stoddart Group Kemps Petersens Pty Ltd Valmont Australia Pty Ltd Industrial Galvanizers Kemps Petersens Receivables National Collection Services Wyndham Vacation Resorts Asia Pacific National Collection Services SLF Lawyers

Vodafone Hutchinson Australia Pty Ltd Vodafone Hutchinson Australia Pty Ltd Collection House Limited Porta Mouldings Pty Ltd Adidas Australia Pty Ltd Adidas Australia Pty Ltd Kemps Petersons Kemps Petersons Pty Ltd Valmont Australia Pty Ltd (Webfolge Locker) Kemps Petersens Receivables National Credit Management Limited Home Timber & Hardware Group National Credit Management Limited Metroll Victoria BMW Financial Services Dynamic Supplies Pty Ltd BMW Financial Services BMW Financial Services BMW Financial Services BMW Financial Services BMW Financial Services BMW Financial Services BMW Financial Services BMW Financial Services Viva Energy Australia Pty Ltd Cummins South Pacific Pty Ltd Stramit Building Products Stramit Building Products

Western Australia Prinolla Moodley Edwina Reed Candice Sharp Nicole Rogers

Bunnings Group Ltd Brickworks Building Products Lumen Christi College Kleenheat Gas

South Australia

New Zealand

Alecia Leav Daniel Harris Amanda Schulz Paul Stredwick Ross Treglown Leah Henson Dianne Hondow Michele Molnar Feryal Daou Kelly Maree Memmler

Jason Fleming Emily Henry

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NCI (Brokers) Pty Ltd National Credit Management Limited National Credit Management Limited Detmold Group Detmold Group Detmold Group Paper- Pak MC Chartered Accountants Elders Rural Services Australia Limited

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

Account Collections Fletcher Building

AICM Marketplace Directory of services For information, options and pricing please contact Andrew Le Marchant on +61 2 8317 5052 or E: andrew@aicm.com.au COLLECTIONS AICM Divisional Partner

AMPAC Debt Recovery Level 5, 35 Clarence Street Sydney NSW 2000 Tel: 1300 426 722 Email: info@4ampac.com.au Web: www.4ampac.com.au Trust AMPAC, we guarantee to give you the right advice……

AMPAC provides a complete range of debt recovery and receivables management services to big business, government and thousands of SME’s nationally, so next time you are deciding how to deal with that difficult customer, pick up the phone and call us. We are ready to help you too.

DEBT COLLECTION

INFORMATION

AICM National Partner

Austral Payment Management Services Tel: 1300 422 665 Email: info@australmercantile.com.au Web: www.australmercantile.com.au Austral provides complete credit management services and works closely with our clients to understand their business and provide the solutions they require. Our experienced team works hard to deliver a consistently good experience and are always looking for ways to improve processes to help ensure your business has a continuous cash flow. So while we work on helping your debtors stay in the black, you can focus on what you do best and grow your business with confidence.

AICM National Partner

Dun & Bradstreet Tel: 13 23 33 Web: www.dnb.com.au Established in 1841, Dun & Bradstreet is the world’s leading source of commercial information and insight. Backed by our extensive credit and commercial databases, we help Australian businesses to make informed sales, risk and debt management decisions, and consumers to access personal credit information. Dun & Bradstreet transforms data into complete and actionable business information. Quality data is the foundation for all of critical decisions, whether in sales & marketing, risk management, business growth, debt collection or consumer credit.

COLLECTION SYSTEMS AICM Divisional Partner

Equifax

Kemps Credit Solutions OnGuard Tel: 1800 123 613 Web: www.onguard.com OnGuard’s Credit management solution will help you hit your collection targets – each and every month.

By working smarter and providing better visibility, OnGuard will help you reduce your DSOs. Why not give your staff a friendly solution that will make their life so much easier.

Contact us to show you how OnGuard has made life a whole lot easier for our customers.

CONSULTANCY

50 Grenfell Street Adelaide 5000 Tel: 08 8418 1450 Email: gcrowder@kemps.com.au Web: www.creditsolutions.net.au/kemps Kemps Credit Solutions. A debt collection partner you can trust. Working with some of the country’s leading providers of information management and data intelligence solutions.

Since 1965 Kemps Credit Solutions has set the benchmark for providing quality collection and recovery services to South Australian businesses and government.

DEBT PURCHASING

EDX Tel: 03 9028 8278 Email: enquiries@edxppsr.com.au Web: www.edxppsr.com.au EDX is the market leader in PPSA consultancy and registration, with over 15 years’ experience in Australia and New Zealand. We have helped hundreds of Australian businesses adjust to the PPSA by providing no-nonsense practical advice, coupled with first class PPSR registration capability and registry management. Whether you have high volumes and need a software solution or simply wish to outsource, EDX has a solution to meet your needs.

AICM National Partner

AICM Divisional Partner

Debt Sale Brokers Australia Tel: 1300 896 122 Email: adam@dsba.com.au Web: www.dsba.com.au Debt Sale Brokers Australia represents credit issuers across banking/finance, utilities, telecommunications, trade credit and mercantile agents with services to maximise returns on non performing debt ledgers.

Contact Adam Dayien to find out more on how you can turn your non performing debts into cash.

AICM MARKETPLACE

Tel: 13 83 32 Web: www.equifax.com.au Equifax powers the financial future of individuals and organisations around the world. Using the combined strength of unique trusted data, technology and innovative analytics, Equifax helps its customers make informed decisions.

Headquartered in Atlanta, Ga., Equifax operates or has investments in 24 countries in North, Central and South America, Europe and more recently in the Asia Pacific region, with the acquisition of Veda, a data analytics company and the leading provider of credit information and analysis in Australia and New Zealand.

AICM Marketplace – our new initiative Welcome to our new marketplace.

We’re proud of the AICM and we want to let all credit professionals know those businesses that support the AICM. Thank you to these companies for their continued support and please consider them first when you’re looking for assistance in your business. We’ll also include these sponsors on our website so you can be sure to find them easily.

For more information contact:

Andrew Le Marchant Direct: +61 2 8317 5052 Email: andrew@aicm.com.au Tel: 1300 560 996

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AICM Marketplace Directory of services For information, options and pricing please contact Andrew Le Marchant on +61 2 8317 5052 or E: andrew@aicm.com.au INFORMATION

INSOLVENCY

INSOLVENCY

AICM Divisional Partner

Trade Bureaux Australia

AICM Divisional Partner

Worrells

PO Box 473, South Morang VIC 3355 Tel: 03 9303 8900 Email: tba@bigpond.net.au Web: www.tba.net.au

FTI Consulting

Trade Bureaux Australia P/L provides secretarial and chairperson facilities for Industry Credit groups within Australia. Operating since March 1998 we are independent and cater for over 25% of the Australian Credit Bureaux market.

Our members work together to strengthen their credit knowledge and reduce their company’s investment in working capital and bad debts.

Contact Jeff Hurst to find out about forming or joining one of our industry groups.

FTI Consulting is an independent global business advisory firm dedicated to helping organisations manage change, mitigate risk and resolve disputes: financial, legal, operational, political & regulatory, reputational and transactional. Collectively, FTI Consulting offers a comprehensive suite of services designed to assist clients across the business cycle – from proactive risk management to the ability to respond rapidly to unexpected events and dynamic environments.

Tel: 08 9321 8533 Web: www.fticonsulting.com

INSOLVENCY

Suite 1103, Level 11, 147 Pirie Street Adelaide SA 5000 Tel: 08 8214 0500 Email: adelaide@worrells.net.au Web: www.worrells.com.au Worrells is dedicated to solvency management, insolvency administration and forensic investigation. Worrells have been providing high quality corporate and personal insolvency services for over 40 years. We pride ourselves on offering reliable and practical solutions to those burdened with debt. With 24 partners and over 100 staff in 26 locations across Australia we are resourced nationally but focussed locally.

LEGAL

AICM Divisional Partner

AICM Divisional Partner

Insolvency Intel BRI Ferrier Adelaide Level 4, 12 Pirie Street Adelaide SA 5000 GPO Box 952, Adelaide SA 5001 Tel: 08 8233 9900 Fax: 08 8211 6644 Web: www.briferrier.com.au BRI Ferrier Adelaide provides recovery, insolvency, advisory and forensic accounting services to businesses throughout South Australia and beyond. We have a wealth of in-house technical expertise as well as the support of our specialist professionals from BRI Ferrier’s unrivalled national and international network.

Tel: 1300 265 753 Web: www.insolvencyintel.com.au Email: answers@insolvencyintel.com.au Insolvency Intel: a subscription-only provider of insolvency and turnaround services for credit managers. Backed by national firm Jirsch Sutherland, our friendly team is just a phone call or email away, providing members with practical, strategic advice about corporate and personal insolvency. Free initial consultation; networking opportunities; training and presentations; knowledge database access; regular newsletters.

Register now for a free subscription.

AICM Divisional Partner

Results Legal Level 4, 183 North Quay Brisbane QLD 4000 Tel: 1300 757 534 Web: www.resultslegal.com.au Results Legal is a national firm with a focus on promoting and protecting the rights of trade creditors.

Our clients are some of Australia’s largest trade credit companies who rely on our assistance for legal recovery, dispute resolution, preference claim defence and PPSA rights. Results Legal are the obvious first choice for companies seeking a national solution to resolve commercial disputes and pursue swift, successful and cost effective legal recovery action.

AICM Divisional Partner

Ferrier Hodgson Level 28, 108 St George’s Terrace Perth WA 6000 Tel: 08 9214 1444 Email: perth@fh.com.au Web: www.fh.com.au As a leading independent financial advisory and restructuring provider, Ferrier Hodgson solves complex problems with commercial solutions.

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Vincents

TurksLegal

Level 34 Santos Place, 32 Turbot Street Brisbane QLD 4000 Tel: 1300 VINCENTS

(07) 3228 4000 Web: www.vincents.com.au

Tel: 02 8257 5700 Web: www.turkslegal.com.au Contact: Daniel Turk

We live in a world of increasing complexities; the need for true expert advice is now more evident than ever. Established for more than 25 years Vincents is an Australian firm of accounting experts and business advisers specialising in assurance & risk advisory, business advisory, corporate advisory, financial advisory, forensic services, and insolvency & reconstruction.

Gain insight and take control with Vincents.

CREDIT MANAGEMENT IN AUSTRALIA • October 2017

TurksLegal is a specialist commercial law firm with 33 Partners and over 160 staff across our Sydney, Melbourne and Brisbane offices. We are proud to look after the interests of trade creditor suppliers and financial institutions in: l Portfolio debt recovery using our market-leading, real-time client interface, ‘TurksFocus’ l Resolution of complex debt disputes l PPSA recovery l Defence of unfair preference claims l Supply documentation and guarantees.

AICM MARKETPLACE

AICM Marketplace Directory of services For information, options and pricing please contact Andrew Le Marchant on +61 2 8317 5052 or E: andrew@aicm.com.au RECRUITMENT

TECHNOLOGY

TRADE CREDIT INSURANCE

AICM Divisional Partner

National Supporting Sponsor

Sharp & Carter

CreditSoft Solutions

Web: www.sharpandcarter.com.au For any assistance with Credit recruitment, please call Melbourne – Chris Belegrinos on 03 9616 2622 Email: cbelegrinos@sharpandcarter.com.au Sydney – Janine Coppeller on 02 8315 8804 Email: jcoppeller@sharpandcarter.com.au Sharp & Carter will tailor candidate sourcing strategies to suit your company’s needs, taking into account factors such as time frame, budget, level of role and availability of candidates in the market.

We are committed to achieving a successful outcome for every assignment on which we work.

Tel: 1300 720 164 Email: info@creditsoft.com.au Web: www.creditsoft.com.au

National Credit Insurance Brokers

CreditSoft specialises in providing credit managers with innovative products that will save your business significant operating costs and allow you to manage your time and resources more efficiently. We offer contact, tracing, payment, reporting and analytic solutions that redefine the way credit departments operate. Our goal is to ensure you achieve the best possible return on your investment.

National Credit Insurance Brokers (NCI) has established itself as the premier trade credit insurance broker in Australia, New Zealand and Singapore. Trade credit insurance is a highly specialised area of insurance and, with its 30 years of experience, National Credit Insurance Brokers has developed an unmatched depth of expertise in arranging the right protection at the best price for your particular trading needs.

Tel: 1800 882 820 (freecall) Email: info@nci.com.au Web: www.nci.com.au

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