It is a constant struggle to balance global standardisation and local adaptation in collecting outstanding receivables.
While global technology companies benefit from economies of scale, they face challenges unique to multinationals. These problems are mostly inherent in processes that are often neglected, such as accounts receivable, until they negatively affect a company's cash flow. In the current economic environment, optimising balance sheet by managing accounts receivable better is back on top of the agenda of many technology multinationals. Now is the chance to overhaul accounts receivable to overcome the challenges of collecting debts worldwide.
This endeavour on a global scale is an on-going process rather than a series of one-off tasks, and it varies considerably depending on each company's unique situation. However, there are common pitfalls of collecting outstanding receivables internationally under most circumstances. By avoiding them in an effort to improve accounts receivable management, multinational technology corporations can successfully align their global and local collections and reap the true profits from trading globally.