How to Get Management to Say Yes To Contributing Trade Data

When management agrees to contribute trade data, it's win win

What’s keeping you from joining CreditRiskMonitor’s Trade Contributor Program?

Credit professionals and their management can benefit from customized reports that provide powerful insight into their company’s risk exposure. You don’t even have to be a CreditRiskMonitor subscriber to participate. To receive free reports about your credit risks, you simply have to contribute your data.  

If you’re sold, but your company still hasn’t signed up, perhaps your senior management needs some convincing. Follow these steps to get the ball rolling and start benefiting from your monthly trade data.  

Making Your Case to the CFO

If you need to convince your director, or even your CFO, that the Trade Contributor Program is right for your company, try this approach:  

  • Explain how your company will benefit from customized reports that help you identify and manage credit risk more effectively. For instance, current trade providers tell us that Trade Contributor Reports save time, provide collection leverage and efficiency, help them manage and prioritize collections, and provide unique insights and customizable reporting based on individual needs.
  • Remind them that sharing trade data helps the entire credit community make better decisions and avoid risk, without compromising confidentiality.  You all benefit from the $100 Billion in monthly trade that is shared, and the more companies that contribute, the more powerful the insights. It’s the responsible thing to do.

Convincing IT the Program is Manageable

Next, convince your IT manager or CTO that you do, in fact, have the necessary IT resources to implement the program. CreditRiskMonitor makes sharing your trade receivables files as easy as possible:

  • We accept the same files that are accepted elsewhere -- i.e., in the same format used by other providers.
  • We assign a dedicated Trade Specialist to support you through the onboarding process, at no cost.
  • We know that your company may require a signed legal document outlining how we’ll handle your data. We’ve encountered this before, and we’ll work through it with you.

You may need to be patient. It can take a month or more to share the Trade Contributor Program demo with everyone involved, and then another couple months for your IT department to submit the first file to us.

Reaping the Benefits

If you encounter resistance, remind management that CreditRiskMonitor facilitates onboarding and stress the value of the reports. Trade contributors especially value our Receivables at Risk, Hidden Slow Payers, and Receivables Snapshot reports.

Glenn Lifieri, Head of Global Credit Management at Lonza, has this to say about the program:

“By sending my trade files to CreditRiskMonitor, I am able to get a much better picture of how our customers are performing. It has become an important part of our process. Their Action Reports and Receivables Snapshot Report are very easy to understand and provide great insights into our portfolio’s receivables at risk and payment performance. Excellent information that is right at our fingertips without us having to spend hours of analysis to obtain.”

While contributing trade data may be new for your company, it’s a practice that goes back over 100 years. You’re entitled to the information, it helps you proactively manage credit and risk exposure, and it’s free.

Start receiving custom reports and deeper financial insights: Contact us for more details

About CreditRiskMonitor

CreditRiskMonitor is a financial news and analysis service designed to help professionals stay ahead of public company risk quickly, accurately and cost-effectively. More than 35% of the Fortune 1000, plus thousands more worldwide, rely on our commercial credit reporting and predictive risk analytics for assessing the financial stability of more than 56,000 global public companies.

At the core of CreditRiskMonitor’s service is its 96%-accurate FRISK® score, which is formulated to predict public company bankruptcy risk. One of four key components calculated in the FRISK® score is crowdsourced subscriber activity. This unique system tracks subscribers' patterns of research activity, capturing and aggregating the real-time concerns of what are essentially the key gatekeepers of corporate credit. Other features of CreditRiskMonitor’s service include timely news alerts, the Altman Z”-Score, agency ratings, financial ratios and trends. CreditRiskMonitor’s network of trade contributors provides more than $150 billion in trade data on their counterparties every month, giving them visibility into their biggest dollar risks.