Most A/R disputes won by customers.

The customer is always right, by some corporate mantras--and that appears to extend to the disposition of disputed charges.

Aceva Technologies has released survey findings showing that 90 percent of accounts receivable (A/R) disputes are settled in the customer's favor, indicating a high degree of preventable disputes. A survey of more than 100 financial, collections and receivables executives at mid- to large-sized companies in varying industries discovered that many organizations still take a reactive approach to collections and receivables management. Specific findings include:

* Disputes take on average four weeks to resolve once they've been identified.

* 89.5 percent of companies focus on large accounts or large past-due balances.

* 85 percent of the companies spend less than 50 percent of available time contacting customers.

In addition, the survey found that 60 percent of responding companies use historical-based measurements such as past-due percentages, days sales outstanding (DSO) and aging quality as the as the primary measures of success. These measures, while important, only quantify end results and don't explain how front-line managers contribute to achieving the organization's collection and receivable goals.

Measures such as number of touch points and dispute resolution cycle times are better suited for this audience, Aceva says, and can act as early warning signs to help organizations ensure that they will reach their overall collection-management goals.