Audimation Services has been acquired by Caseware International Learn More.

X
Icon


Blog Image

Identifying Churn in AR

IDEA Tech Tip


Customer churn (also known as customer attrition, turnover, or defection) is when a customer decides to stop engagement with your company.

IDEA can help easily identify “churn” in accounts receivable by following these steps:

Perform a File Compare between the current and prior year databases. A File Compare will take the detail AR from both years, summarize, and join the databases. A difference column calculating the current and prior year balances will be created automatically. To determine potential AR churn, index the field containing the number of records (NRECS_2017) for the current year in ascending order. If that customer has a balance from the previous year, then it tells us that although they have a balance in both years, the decrease in activity (NRECS_2017 vs. NRECS_2016)) suggests that customer engagement has dropped off.

AR Churn Analysis


Tech Tip



Posted By

By IDEA Help Desk Team
The IDEA Help Desk is staffed by CIDA-certified data analytics experts. Our team has one goal - to help you get the most from IDEA. In addition to providing one-on-one support for using any IDEA feature or function, they also provide Tech Tips to keep your skills sharp.


Related Posts
Tech Tip: Transforming Your Data
May 15 We are inundated with data on a daily basis. Here are a few time-saving tips for transforming your raw or jumbled data into useful information.   Adding...
Tech Tip: Comparing Databases
Jun 24 One of CaseWare IDEA®’s most valuable features is its ability to connect, compare and match information from different databases to get a complete view of wh...
A Simple Approach to Fighting Fraud
Feb 19 Applying Data Analysis to Uncover an Ongoing Fraud Scheme   Truth can often be found in simplicity. The Association of Certified Fraud Examiners (ACFE)...
BROWSER NOT SUPPORTED

This website has been designed for modern browsers. Please update. Update my browser now

×