CRM & AR Automation Flashcards
7 cards from real CCP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 CRM & AR Automation flashcards as text
What is 'electronic invoice presentment and payment' (EIPP)?
Answer: A platform allowing suppliers to deliver invoices and receive payments electronically
EIPP platforms digitize the entire invoice-to-payment cycle, enabling faster delivery, automated matching, and electronic remittance.
A company's AR team notices that automated cash application has an 85% match rate. What should they focus on to improve this?
Answer: Enriching remittance data quality and expanding matching rules
Match rates improve when remittance data is richer and matching algorithms have more rules to handle exceptions like partial payments and deductions.
In CRM-driven collections, what is a 'promise-to-pay' (PTP) record?
Answer: A logged commitment from a customer specifying when they will pay an overdue invoice
A PTP record captures a customer's verbal or written commitment to pay by a specific date, allowing collectors to monitor follow-through and escalate if broken.
Which KPI measures the effectiveness of a collections team in reducing the AR backlog?
Answer: Accounts Receivable Turnover Ratio
The AR Turnover Ratio (Net Credit Sales ÷ Average AR) measures how efficiently a company collects its receivables, with a higher ratio indicating faster collection.
What is the function of a 'credit hold' automation rule in an ERP/CRM system?
Answer: Blocking new orders from customers who exceed their credit limit or are significantly past due
Credit hold automation prevents fulfillment of new orders when a customer's outstanding balance or past-due amount breaches defined thresholds, protecting the company from further exposure.
How does robotic process automation (RPA) differ from traditional AR automation?
Answer: RPA uses software robots to mimic human actions in existing systems without requiring system integration
RPA bots interact with existing interfaces like a human would, making them ideal for AR tasks in legacy systems that lack APIs for traditional integration.
Which document in the AR process formally acknowledges that a dispute has been raised and is under investigation?
Answer: Dispute acknowledgment or case record in CRM
A dispute case or acknowledgment record in the CRM logs the customer's claim, assigns it to a resolver, and tracks resolution status to ensure timely closure.