CRIF Philippines hosted a live webinar titled “Managing Customer Risks through Scoring Models and Credit Limit Estimation” last February 24, 2022. Attended by over 100+ finance and credit professionals, the webinar explored the how-tos of mitigating risks in onboarding customers and business partners by leveraging data and analytics in customer evaluation.
The esteemed speakers include Reynaldo Lugtu, Founder and CEO of Hungry Workhorse; Sab Hocson, CRIF Asia’s Regional Operations Director, and Joey Donasco, CRIF Philippines Head of Sales.
Kicking off the webinar is CRIF Philippines’ EVP – General Manager, Cris Matunan. Mr. Matunan highlighted CRIF’s capabilities in credit bureau services, business information, solutions, and analytics in his welcome message. He accentuated CRIF’s core competencies in the Philippines which included: extensive database of commercial information, breadth and depth of data coverage, and scoring and analytics technologies. These core competencies have led to the development of the new CRIF business intelligence report and a new delivery channel to better support local customers.
Ms. Hocson provided more insights to the attendees by sharing how finance and credit professionals can prepare for their ever-changing roles in an organization. She talked about the challenges faced by business leaders in client onboarding, such as data capture, multiple data sources, and due diligence. She further discussed how CRIF could support business leaders in expediting the client onboarding process through CRIF Report. CRIF Report offers an assessment and in-depth intelligence on any Philippine company with need-to-know information and a powerful CRIF Score that helps predict the probability of financial stress outlook of a company in the future.
Mr. Donasco presented how Philippine-based credit and finance professional can start ordering report through CRIF’s Business Information (BI) platform. CRIF BI is a one-stop-shop online platform that delivers CRIF Report. Mr. Donasco showed the platform's functionalities from account registration, log-in, report requisition, payment, and order delivery. These functionalities are centered in empowering customers to achieve operational efficiency and excellence within their department and organization.
In the second part of the webinar, Mr. Lugtu shared about evolving risk management and credit evaluation. He emphasized that due to the continued existence of COVID-19, the damage to businesses and economies is becoming more visible every day. He also introduced five significant changes to the credit risk environment and potential new approaches to handle these challenges.
- Changes in creditworthiness at sector and subsector level. Business leaders should analyze demand shocks and recovery trajectories and translate them to probability-of default multipliers to mitigate this.
- Hard to differentiate between borrowers in the same sector. If this happens, dive deeper into the borrower’s financials and business model to estimate resilience to COVID-19 crisis effects.
- Pertinent data on crisis conditions are scarce, lagging, and not fed automatically into decision making. Business leaders should mine transaction data to derive cash flow affordability, unearth alternative high-frequency data to derive revenue trends, and auto-feed results into the decision engine.
- Socially responsible collections are needed to meet changing customer preferences. To address this, shift to a customer assistance interaction model and prioritize a digital transformation.
- A large wave of non-performing exposures is beginning and must be addressed in new ways. Develop sector-specific solutions, augment capacity, and evaluate the cost-benefit of organic versus inorganic options.
A panel discussion followed to provide individual insights into credit scoring models, client onboarding considerations, and risk management.
“CRIF understands that our Philippine counterparts (customers) are thinking about mitigating risks for the organization. CFOs and business leaders also have additional pressures coming from providing operational excellence, as well as driving growth. At the end of the day, your business needs to be sustainable, to be able to grow, and to expand your reach within your market. Through this webinar, it is our hope that by providing you CRIF services, particularly the CRIF BI platform, you will capable of being more responsive in the needs of your market”, Mr. Matunan emphasized during this webinar.
Protecting the business is challenging for finance professionals, especially in an uncertain world where the risk landscape is constantly changing. Business leaders should stay on top of risk mitigation strategies and solutions to drive organizational efficiency and manage potential risks that tarnish the business.
To help you mitigate those risks, visit the CRIF BI platform and order a CRIF Report today: https://bit.ly/3oOwfVe