Equifinality in collection rates

Business, Finance

We all know that having a credit system within our organization helps us to increase our sales since often most people do not have enough money to purchase a product or service.

Having a credit system within organizations also involves designing a collection system to recover the cost of the product or service offered and the usefulness that we desire.

The collection process within an organization is a very important process as the embodiment of the core of any business, through the collection also demonstrate the efficiency of our organization.

That’s why as an organization we care in designing a proper collection strategy to customers, and be aware that we must adapt to the specific needs of the same, to avoid delays that are causing all increase our receivables to generate losses time and staff wear collection.

Due to the great importance of the collection process within organizations The essay the issue of equifinality within collection types that companies use to charge customers the debts that they have for them.

To better understand the term equifinality mention the definition of this term in the author’s Buckley says that “similar initial conditions can lead to different final states.”

Relate the term of equifinality with the collection process within organizations as easy as it is my understanding equifinality reach the same result based on different methods, and that’s what companies are able to have different types of collections, since the only purpose is to obtain payment of what customers owe the organization owed to it.

Now it is important to mention the various payment methods that exist and that companies should look for that best suit their client types for best results.

The collection types most commonly used are:

Statements. – This type of charge is the most used by most establishment have a credit system, as it is more convenient for the parties involved in a claim.
Letters. – These have different content according to the purpose to be achieved are reminders of payment cards, letters insistence payment.

Many companies can handle two or more types of collections, it helps companies to be more likely to collect the receivables as there is greater variety of methods to reach customers according to their needs.

Here’s an example of equifinality as no matter how important the method is to achieve the objective, which in this case would be to recover the receivables that have, regardless of the method you use to do business.

There are companies that use more drastic methods to recover your receivables such as passing their client to law firms that are responsible for charging up forcefully and with threats to customers, this is another example of equifinality as it do not matter the way, what matters is the goal.

You must use the term equifinality well as it should reach the goal set but as human beings we need to know and act ethically measure ourselves to always act in the interests of the people involved in any situation.

Companies with a credit system should be aware that the best way to make a collection is best suited to the needs of its customers for best results.

As human beings we reach different targets in the most reasonable and which have minor consequences for those involved, we can follow different paths but always we will get the same resulting long as we turn our attention to the same purpose.

Leave a Reply