Credit Status at a Customer Level is Auto Identified based on rules which can be configured on Following Parameters:
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- Credit Limit Utilisation
- Overdue Limit Utilisation
- Overdue Amount
- Outstanding Amount
- Credit Limit
- OverDue Limit
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How is Credit Limit Utilisation Calculated : (Credit Limit - Net OS)
= Credit Balance / Credit Limit * 100
= Un utilised Credit % - 100
= Utilised Credit Limit
Let us understand the above calculation with an example.
For Example - Customer - Vipra International
Credit Limit Set - 2,00,000/-
Net Outstanding - 1,50,000
Hence Credit Limit Utilised Against Vipra International = (2,00,000 - 1,50,000)
Credit Balance = 50,000
Un Utilised Credit % = 50,000/2,00,000 * 100 = 25%
Utilised Credit % = 25 - 100 = 75%
Therefore 75% of the credit is utilized by Vipra International.
How is Overdue limit utilization calculated: Overdue Limit - Net OS
= Overdue Balance / Overdue Limit * 100
= Un Utilised Over due Limit % -100
= Utilised Over Due Limit
Let us understand the above calculation with an example.
For Example - Customer - Vipra International
Over Due Limit Set - 10,00,000/-
Net Outstanding - 9,00,000
Hence Over Due Limit Utilised Against Vipra International = (10,00,000 - 9,00,000)
Over Due Limit Balance = 1,00,000
Un Utilised Overdue Limit % = 1,00,000 /10,00,000 * 100 = 10%
Utilsed Overdue Limit % = 10 - 100 = 90%
Therefore 90% of the Overdue limit has been Utilised against the Vipra International Customer.
Below Rules Can be Configured against the Customer for Credit Control Activation.
This rule can be customized from Company to Company
- High Risk - Credit Limit Utilisation % >= 99 or Overdue Outstanding Amount > 0
- Moderate Risk - Credit Limit Utilisation % >= 75 and Credit Limit Utilisation % < 99
- Approved (Low Risk) - Credit Limit Utilisation % < 75
By Setting the above rules following actions will be triggered.
Triggers
Shipment Creation and Order Creation -
Action: Create Shipment and the order is blocked
After creating the Shipment and Order
Action: Shipment will go on Hold and further actions will be blocked
Document release trigger
Action: Release of Document is Blocked
At the time of handover set printing - MAWB and HAWB
Action: Final Printing of MAWB and HAWB will be Blocked
At the time of the HBL Release
Action: Release of HBL to the customer is blocked.
At the time of MBL given to the customer
Action: Release of MBL to the customer will be blocked
At the time of DO Printing in import shipment
Action: Final printing of DO and sharing on email is blocked