We picked up the following short comment on World Credit Management, Collections and Risk Forum on Linkedin.com by Abe Walking Bear Sanchez, the President of  American company A/R Management Group, Inc., a consulting and training company specializing in credit and collections as a profit center.

“Forget the traditional organization chart with branches that in turn branch off and so on. Instead of organizational charts think of totem poles…the carved columns erected by the Native Americans of the Pacific Coast. Totem poles are representations of men and animals and of their relationship.

Now forget about corporate titles, initials after names, and the size of the paychecks earned by different business managers; instead focus on their ability to influence profitability. Where would credit managers sit on the totem pole; close to the top, in the middle, at the bottom…if at all?

Sometimes it’s more but on “average” 90% of all B2B sales involve Credit Terms and 40% or more of a business’ assets are in the form of accounts receivable…short term money due from the sale of a product or service. In direct contrast to the size of the asset that they are responsible for creating and managing, credit managers are most often lower echelon managers who are at the very least several steps removed from the corporate decision makers…and their paycheck reflect it.”