Authorizations
You can set up authorizations for your credit representatives according to the following criteria:
Authorization According to Credit Limit
A representative is assigned to a credit representative group and can be authorized to process credit holds for a customer up to a certain level within the customer's credit limit.
A representative may be authorized to process credit holds for customers within a particular risk category whose total credit exposure is below 80% of the allowed credit limit. For customers whose credit exposure is approaching 100% of their credit limit - in other words, becoming potentially critical - you may want to direct credit holds to senior credit personnel.
Authorization According to Document Value
Document value classes enable you to authorize credit representatives to process documents up to a certain value. You start by defining different classes to reflect the ranges of document value that occur in your business. You can then assign particular credit representatives to particular document value classes.
A group of representatives may be authorized to process credit holds where the document value is less than 1,000 USD. However, only the group's manager may authorize credit for documents with values of over 1,000 USD. Sample document value classes are as follows:
Credit control area |
Amount up to |
Document value class |
EURO |
100.00 |
A01 |
EURO |
1,000.00 |
A02 |
EURO |
10,000.00 |
A03 |