Digitalisation and vulnerability are two sides of the same coin. When we lock our doors leaving the house but skip the 2FA setup to secure our digital assets, it’s time to “act the other way around” on security and start learning from the younger, said Adriaan Kom, Managing Director, Onguard, in an article posted on VCMB (Association of Credit Management Companies).
Software security: A key vulnerability in a digitalising world
While security in credit management is getting growing attention, the adoption rate of a solid cybersecurity process is still too low. This becomes evident in advice from the Cyber Security Council to the Dutch government earlier this year, which also brings the vulnerability of Dutch companies to the forefront.
Of course, the image varies depending on the industry or the company size. For example, when it comes to big corporate environments, IT and Security departments are more “involved”. However, in SME firms -including several family-owned companies-, we see a big variety, with some of them being on the low end of the security spectrum, says Adriaan.
“A common example of the vulnerable security culture is employees sharing customer files internally without any protection. Similarly, we are seeing more and more companies being enthusiastic about digitalising their credit management processes, forgetting that technology also comes with responsibilities.”
Lack of awareness? Start with questions
Where does this vulnerability originate from? The simplest answer, says Adriaan, is that the current state of the economy puts companies’ profitability under pressure. However, most vulnerabilities come from a lack of awareness. And this often originates from forgetting to ask ourselves the right questions:
Do I invest in the right software? Am I aware of my software vulnerability? Do I have two-factor authentication in place? Am I informed of the latest security standards? Am I critical of my software suppliers? Being able to answer these is a key responsibility, also of a credit manager as the asset owner.
“Start asking questions to your IT or security director. Make sure you are aware of:
- Who is responsible for your customer data in every single stage?
- Who do you expose this data to at every stage?
“Do not take ‘I don’t know’ for an answer. Involve IT departments in your work routine. And most importantly: Learn from your peers. For example, being members of VCMB allows us to meet up and learn from each other,” says Adriaan.
Resistance to change? Credit Manager, get yourself a younger “coach”
There is a road to win, as the GenZ of more digital natives enters the workforce, says Adriaan. However, we often see that the credit management sector is struggling to attract and retain young talent; the Credit Manager shortage has been high on the sector’s agenda for a few years.
45% of finance professionals in the Netherlands feel resistance from colleagues when digitising financial processes. This is according to the FinTech Barometer, the comprehensive research by Onguard to 300+ CFOs and finance professionals in the Netherlands, which took place in 2024 for the 7th consecutive time. A few more interesting findings:
- the younger generation (18-35 years) is more willing to commit to digitalisation than their older colleagues (55+ years).
- 34% of the younger generation believe that they can only work fully data-driven after their older colleagues have retired.
“This is when we have to act the other way around. Don’t coach younger people, but get yourself a young coach. It’s not only fun but it also helps you understand the future. The tech landscape is changing so fast. Never stop learning and be amazed by the younger,” advises Adriaan.
In this landscape, the role of a software supplier, like Onguard, also seems to be transitioning: From creating functional software to ensuring cloud software with security as a key asset.
“As a software provider, Onguard has security as a key item in every Sprint Review. Since we are part of Visma, we have been constantly learning from the Visma Security Program, while the VCMB membership has given us access to knowledge from like-minded businesses. Security is also personally a key subject on my agenda.”
“Involving IT in our work routine, asking the right questions, and embracing all the amazing knowledge from the younger generations is our road to success and my advice to credit management companies that wish to successfully navigate a heavily digitalising world. And a takeaway note: Never underestimate the power of learning from each other and helping each other move forward. And the VCMB membership is a good example of how the sector can enable this.”
Above is a translated version of an article posted on the VCMB website.
