The Problem Of Debt Collection - 2307 Words

With the current economic crisis one of the major issues that most consumers are facing is the problem of debts that they have incurred due to many reasons. As I started to do my research on the practices that companies use to collect debts, I discovered that there are so many different types of debts and different companies handle their collections of each debt differently. This topic discusses the practices of debt collection. There are many laws that cover the process of debt collections; most major companies outsource their debt by selling it to these companies. However, there are federal regulations that must be followed when collecting debt. There are so many factors and process involved in collections of debt. There are many different types of debt however normally they first have to fall into two particular categories called â€Å"unsecured† and â€Å"secured debts†. A debt can be secured or unsecured. Unsecured debts are normally credit cards or other debts that consumers did not agree to have the creditors to sell any property of yours, if you are unable not pay it off. An example of secured debts would be mortgages. These are debts that give the creditors the right to sell property if the consumers cannot pay off the debts. The main types of debt are: car loans, student loans, credit cards, and mortgages and medical debts. Each of these types of debts comes with their own advantages and disadvantages. To most people Credit cards are a convenient method ofShow MoreRelatedEssay On Debt Collection933 Words   |  4 PagesDebt Collection Myths Taking A Look At Popular Myths Around the Credit and Collection Industry Overview: If your Delaware business offers credit on goods and services sold, you have to take care of accounts receivable. Eventually, that Delaware business will have to make a decision on how to deal with accounts that are past–due. Although third-party agencies that provide valuable debt collection services when they collect delinquent accounts and in doing so minimize the costs that are passed onRead MoreProblems with Solutions for Practice in Factoring - by Rahul Krishna1614 Words   |  7 PagesFACTORING – PROBLEMS SOLUTIONS 1. [pic] [pic] 2. A company is considering engaging a factor, the following information is available: i) The current average collection period for the Company’s debtors is 80 days and  ½% of debtors default. The factor has agreed o pay money due after 60 days and will take the responsibility of any loss on account of bad debts. ii) The annual charge for the factoring is 2% of turnover payable annually in arrears. Administration cost saving is likelyRead MoreThe Annual Party Debt Collection Industry Is Notorious For Skirting The Federal Rules Of Evidence827 Words   |  4 PagesMEMORANDUM Issue Presented The 3rd party debt collection industry is notorious for skirting the Federal Rules of Evidence and Civil Procedure from the inception of a lawsuit to the granting of a judgment. Since both of these ideas do not generally apply to small claims court, and most defendants of these lawsuits are not represented, this industry has been allowed to run roughshod over the constitutional rights of defendants and clog the small claims court system with cases that would be easily thrownRead MoreAssessing Martin Manufacturings Current Financial Position888 Words   |  4 PagesIndustry Average 2006 | Current Ratio | 1.7 | 1.8 | 2.5 | 1.5 | Quick Ratio | 1.0 | 0.9 | 1.4 | 1.2 | Inventory Turnover (times) | 5.2 | 5.0 | 5.3 | 10.2 | Average Collection Period | 50.7 days | 50.8 days | 58.0 days | 46 days | Total Asset Turnover (times) | 1.5 | 1.5 | 1.6 | 2.0 | Debt Ratio | 45.8% | 54.3% | 57% | 24.5% | Time Interest Earned Ratio | 2.2 | 1.9 | 1.6 | 2.5 | Gross Profit Margin | 27.5% | 28% | 27% | 26% | Net Profit Margin | Read MoreChem Med Case1351 Words   |  6 PagesProblem Statement: Chem-Med Company is positioned strongly in its industry to achieve high growth and earn large profits in the future, but it is in need of financing. To secure this financing, Chem-Med must address concerns of potential financers and investors regarding liquidity, efficiency, cash flow, and the need for funding despite apparent growth. In addition, Chem-Med’s primary competitor, Pharmacia, is out-competing the company and stealing valuable market share and sales volume with lowerRead MoreCase 2 Chem Med Company733 Words   |  3 PagesRation=1.98 m. The problem overlooked: Dr. Swan’s banker required a current ratio of 2.25/1 to be MAINTAINED. 4. Using the debt to total assets ratio on pg 63 of the text (Total liabilities is the same as total debts in Figure 2): 2007 Debt to total assets ratio=Total Debt/Total Assets n. 2007 Debt to total assets ratio=614/4491=.14 o. Using same formula 2008 Debt to total assets ratio=.14 p. 2009 Debt to total assets ratio =.14 q. 2010 Debt to total assets ratioRead MoreDo You Feel Like A Slave To Late Payers Case Study725 Words   |  3 Pagespaid on time, every time. Debt collection in antiquity Back in ancient Babylon, the rights of the debtor were somewhat protected, but so were the rights of the creditor. Creditors weren’t allowed to charge interest like today, but they could require work in lieu of payment, which meant working as a slave for the creditor until the debt was paid. During Colonial America, debtors were thrown in prison for failure to pay debts where many starved or froze to death. Debt collection in today’s climate TodayRead MoreA Research Report On The Economy Of A Relaxed Asset Usage Policy1451 Words   |  6 Pagesassumed from the identified ratios that RR is operating in a relaxed asset usage policy. This is due to a lower than industry average in the current, quick, turnover of cash and securities, and inventory turnover, while the DSO identifies a slower collection. b. RR is below the industry average, which can identify that they are less profitable. Due to the less profitable nature of RR, it could be assumed that they have more excessive working capital. According to Borad (2017) companies having relaxedRead MoreEssay On Tax Compliance In Zimbabwe917 Words   |  4 Pages1.1 Introduction This chapter provides background information regarding tax compliance by SMEs in Zimbabwe. The topics covered in the chapter include background of the study, statement of the problem, the objectives of the study, main research question, sub research questions and justification of the study. Other sub-topics covered include significance of the study, delimitations, and limitations of the study and definition of terms. 1.2 Background of the study A study undertaken by a researchRead MoreCase Study: Master Budgeting with Supporting Schedule1723 Words   |  7 Pagescredit, with no discount, and payable within 15 days, however, only 25% of a month’s sales are collected by month-end. An additional 50% is collected in the following month, and the remaining 25% is collected in the second month following sale. Bad debts have been negligible. The company’s monthly selling and administrative expenses are given below: Variable monthly expenses: Sales commissions (per unit) $1.00 Fixed monthly expenses: Wages and salaries $22,000.00 Utilities $14,000.00 Insurance

Internal Analysis Free Essays

06 Internal Analysis In this part, the report will briefly illustrate the result from analysing the internal environment of CEMEX by supply chain analysis and resources and competences framework and VRIO model. 6. 1 Value Chain Analysis Activities| Resources| Competencies| PrimaryActivities| Supply chain management| | * Good relationships with products suppliers and transportation companies| | Operations| – Internal design| – Import products from Vietnam| | Distribution| – Indirectly: wholesalers, retailers – Stylist packaging| * Knowledgeable salespersons| | Sales and marketing| – Advertising campaigns focus mainly on B2B websites and trade fair| – Effective marketing strategy to differentiate from competitors | | Service| Good relationships with suppliers of different products in Vietnam. We will write a custom essay sample on Internal Analysis or any similar topic only for you Order Now Support team for developing new products and help wholesalers to finding new suppliers for other products in Vietnam, India†¦| SupportActivities| Product RD, Technology and system development| – Market Research and developing new design. | – Rights to copyrights and patents of weaving and designs of carpets/rugs| | Human Resources Management| – 10 employees| * Excellent executive team * Highly skilled employees | | | | | According to threshold/distinctive resources and competencies framework, the defined resources and competencies can be categorized as following: Threshold resources – Distribution system – Opponents’ suppliers – Internal design – Research and development team Threshold resources – Distribution system – Opponents’ suppliers – Internal design – Research and development team Threshold competences * Knowledgeable and enthusiastic staff, especially salespersons – Effective and trusted wholesalers/importers Threshold competences Knowledgeable and enthusiastic staff, especially salespersons – Effective and trusted wholesalers/importers Distinctive resources – Excellent managing team – Sale and marketing team – Strong cash position Distinctive resources – Excellent managing team – Sale and marketing team – Strong cash position Distinctive competences – Strong b rand name – Customer loyalty – Good quality and competitive price products Distinctive competences – Strong brand name – Customer loyalty – Good quality and competitive price products . 2 VRIO Framework Resource/ competency| Valuable? | Rare? | Difficult to imitate? | Exploitable? | Competitive implication| Excellent managing team| Yes| Yes| Yes| Yes| Sustained competitive advantage| Distribution system to wholesalers/retailers| Yes| No| No| Yes| Competitive Parity| Brand/name| Yes| Yes| No| Yes| Temporary competitive advantage| Sales and marketing team| Yes| Yes| No | Yes| Temporary competitive advantage| Customer loyalty| Yes| Yes| Yes| Yes| Sustained competitive advantage| How to cite Internal Analysis, Papers

Management of Change Operational Methods

Question: Discuss about theManagement of Changefor Operational Methods. Answer: Topic 1 Organisational change can be identified as one of the most fundamental strategies to modify the existing management structure, operational methods, and current set of business strategies so that the productivity of the firm will be enhanced over the time (Hughes, 2007). In order to endure success in the contemporary business environment, modern organisations need to adapt latest information technology and strategic intervention to be competitive. Meanwhile, by identifying the drivers of change, an organisation can establish the best management as well as strategic concepts leading towards growth. According to the changing demand of the target demographics as well as the economic condition, the enterprises need to reassign the management model. Precisely, organisational change can improve the standards of business dynamics in the competitive market to stay a step ahead of the competitors. The rapidly changing market and globalisation opportunities have created significant ways to increase growth for a contemporary business organisation. Therefore, in order to develop the organisations market prospect, organisational change management can be recognised as one of the most comprehensive factors (Senior, 2002). Understandably, the management must identify the scope and nature of organisational change leading to organisational development. For instance, each of the modern organisations has valued technological development more than anything else. Meanwhile, by using e-commerce platform, a contemporary business firm such as Coles Supermarket Australia Pty Ltd has made significant changes in the human resources management by including well-trained employees supportive for e-marketing as well as sales. Also, the latest information technology and communication channels have been instrumentally introduced in the management structure leading to organisational change. Hence, exqu isite organisational development can be made by identifying the scale and scope of the organisational change management. Topic 2 According to the research of McKinsey Company, more than 70 percent large organisations fail to effective implement changes as per their desired goals. The primary reasons for the failure are the lack of skills and knowledge, the high pace of implementing change, lack of planning and research, and culture working against change. Hence, it is important for the top level executives to adequately assess the outcomes of the planned changes before implementing them in the operations of the firm (Hughes, 2007). Two examples of the failure of change management have been presented herein below: Old and Narrow Metrics: An excellent example of change program failure is the old and narrow parameters of Nokia. During the success phase of Nokia, it did not consider Samsung and Apple as its competitors. But, when it found that the change is required for the companys survival, it became too late for the organisation to implement changes in its policy (Hughes, 2007). The change process ended up with the sale of the company to Microsoft Corporation. Hence, it is important to have a tight watch on the market and maintain a higher position to implement changes in an appropriate way. Too fast change: Making changes too quickly can be a risky and bold move for an organisation. Nationals board hired a new CEO Brian Halla, who tried to shift the company from low-cost analog semiconductor chip producer to a microprocessor based chips producers for a new age of information appliances (Tobak, 2009). The changes were made too fast that was not acceptable to the employees and its customers. The changes resulted in a loss of billion dollars and made the company start its operations from the beginning. References Hughes, M. (2007). The Tools and Techniques of Change Management.Journal Of Change Management,7(1), 37-49. Hughes, M. (2007). When faculties merge: Communicating change.Journal Of Organisational Transformation Social Change,4(1), 25-38. Senior, B. (2002).Organisational change(1st ed.). Harlow: Financial Times Prentice Hall. Tobak, S. (2009). Why Change Management Fails. Cbsnews.com. Retrieved January 2017, from https://www.cbsnews.com/news/why-change-management-fails/