Conflicts with Customers – Michael Dennis, CBF


In a meeting last week with our VP of Sales,  this comment was made after a particularly lively discussion about whether or not a seriously delinquent customer with two broken payment commitments should be on credit hold:  “I think you enjoy situations involving conflicts with our customers.   It is almost like you made the decision to place this customer on hold because you can… and that you did not take time to look at all the facts including:

  • How devastating placing them on hold will be to them and to their production schedule
  • How much damage you caused our business relationship
  • How much business they so with us every year, or that their sales have been trending up
  • How bad it would be if we lost this customer, and how difficult it would be to find a replacement for our lost sales.
Michael Dennis, MBA, CBF, LCM
Michael Dennis, MBA, CBF, LCM

In my opinion, the decision to hold was necessary and appropriate.  I also think thisjob is not a popularity contest.  I don’t think anyone enjoys conflicts, but conflicts in credit and collection are unavoidable and inevitable.

That’s my opinion.  What are your thoughts?

Michael Dennis’ Covering Credit Commentary. Michael’s website is

The opinions presented are those of the author.  The opinions and recommendations do not necessarily reflect the views of CMA, or their Officers and Directors.  Readers are encouraged to evaluate any suggestions or recommendations made, and accept and adopt only those concepts that make sense to them.