Factors Affecting Efficient and Effective Debtor Management of Hire-Purchase Business in Thailand Upper Northern Region

Abstract

  The objective of this research was to investigate factors affecting efficient and effective debtor management of hire-purchase business. There are many factors influencing debtor management. This research studied only factors that influenced debtor management which were divided into five main factors included Policy and Security, Analysis of the Debtor, Debtor Categorization, Debt Restructuring, and Budget on Debt Collection. The samples were 200 participants recruited from the population which involved executives or chief of credit department, credit officers, and accounting staff in hire-purchase business in Thailand upper northern region covering 8 provinces that included Chiang Mai, Chiang Rai, Lamphun, Phayao, Phrae, Nan, Lampang, and Mae Hong Son. The research instrument was questionnaire that required real working performance and opinion. The statistics use was mean, standard deviation, correlation analysis, and multiple regression analysis.
   The correlation analysis results revealed that policy and security factor held the relationship with efficiency and effectiveness in debtor management at the significant level of .01 with r = .793. Debtor analysis factor showed the relationship with efficiency and effectiveness in debtor management at the significant level of .01 with r = .721. Debtor categorization factor held the relationship with efficiency and effectiveness in debtor management at the significant level of .01 with r = .846. Debt restructuring factor showed the relationship with efficiency and effectiveness in debtor management at the significant level of .01 with r = .833. Budget on debt collection factor held the relationship with efficiency and effectiveness in debtor management at the significant level of .01 with r = .731.
   The correlation analysis results revealed that factors of policy and security, debtor analysis, debtor categorization, debt restructuring and budget on debt collection show no statistical correlation.
   The research findings were positive relationships between factors affecting efficient and effective debtor management of hire-purchase business in debtor analysis and debtor categorization and efficient and effective debtor management with the significant level at .01. And the relationship between factors affecting efficient and effective debtor management of hire-purchase business in budget on debt collection and efficient and effective debtor management was positively correlated with the significant level at .10.