What should be the immediate action after a dispute is identified?

When a dispute is identified in accounts receivable processes, the immediate action should be to route it to the appropriate resolver. This is critical because disputes can impact cash flow and customer relationships if not addressed promptly and efficiently. By routing the dispute to someone equipped to handle it—such as a manager or a specific department—you ensure that there is a systematic approach to resolving the issue. This action initiates the process of gathering relevant information, assessing the nature of the dispute, and determining the best course of action to resolve it, ultimately facilitating a quicker resolution.

The correct and timely routing of disputes also helps maintain accurate records and adherence to protocols, which are essential for effective accounts receivable management. Additionally, it could prevent further escalation of the issue and foster trust with the customer, as they see that the matter is being taken seriously and handled by the right individual or team. In contrast, neglecting the issue or filing it away can lead to unresolved disputes, which can result in financial losses and eroded customer confidence.