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Originally published:
Aug-21-2009
 by Tom Diana
Credit Research Foundation
When Harvey Herer first started working in the credit field, he said many employees chosen by upper management to work in the credit department had no prior training in credit. Over the years, Harvey witnessed the evolution of the credit profession into one that requires a high degree of skill and education. “In the old days they would take a bookkeeper and put them in that position. Today they are looking for a professional for the credit department.”
Harvey, who is 76, is still going strong in the credit profession. He is currently the Chairman of ABC-Amega Inc. and holds an ownership interest in the firm. ABC-Amega is a global receivable management firm providing credit-to-cash solutions for clients around the world and is a CRF Platinum Partner. Harvey started working for ABC (now ABC-Amega) part-time in 1954 and, just six years later, in 1960, he became an owner/vice president, then owner/president in 1974.
Over the span of Harvey’s involvement in credit, he has witnessed a dramatic change in the professionalism of the credit industry. “There’s much more sophistication in the credit manager today than there was in the past,” Harvey said. The profession improved in proportion to the increased educational level of credit professionals he noted. “Between the 1950s and now, the techniques are a lot different,” he said. “The tools that you’ve got today are much more interesting and professional. You’ve got access to knowledge you never had before.”
The computer was cited by Harvey as a technological tool that helped propel the credit profession to a higher level. Before computers, it was difficult to keep track of customer records in any meaningful way. “Prior to the computer, recordkeeping was almost impossible as far as cross-referencing.”
Another area of change Harvey pointed out is that credit operations have had to take on a global perspective in order to keep up with the international nature of sales for many companies. “[Credit professionals] are much more knowledgeable in foreign collections,” he said. “Back in my early days of credit, foreign collections was much more of a mystery. There was very little foreign trade.”
In Harvey’s view, the status of the credit professional has grown with the recognition of its importance in the overall operations of companies. “You’re managing the first or second largest asset of the company and you should be able to manage it properly,” he said. “Sales have always gotten the glory but a lot of companies today are recognizing the value of the credit and collections department.”
Gone are the days when a bookkeeper was pulled from their position and thrown into a credit position as Harvey recalled from his beginnings in the field of business credit. In those days, most employees didn’t have the aspiration of working in credit as their professional goal. “Today they do make a career out of it [credit and collections] and they’re very professional.”
Although the credit profession has improved drastically, there have been some losses over the years. Back in Harvey’s early days in credit it was a time when there was more trust between people; when a handshake was just as good, if not better, than a written contract is today. “I think there was a little more trust in the old days,” Harvey said. “When people told you something you could rely on it more.”
Harvey still enjoys the challenges and rewards in his work, as do many who have chosen credit as their profession. “I still call on customers, both domestic and foreign,” he said. “I enjoy the contact, I enjoy the people.” Although he has seen and experienced a great deal of change in the credit profession, Harvey’s involvement in his work still places him in a position to view what’s around the corner in credit.
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Reprinted with permission of the Credit Research Foundation (CRF)(www.crfonline.org), an independent, non-profit, member-run organization, consisting of business professionals dedicated to improving the practices of business-to-business credit through research, education, training and networking.
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