Terry from Terry's Flooring has contacted Jack to discuss his invoicing system. Following a year end review, it has come to light that Terry's has an increasing balance of receivables which has been traced as the result of: 

•Invoicing clients for the wrong amounts (resulting in a high level of disputed, unpaid accounts) 

•Invoicing the wrong clients (due to service providers completing manual job records incorrectly) 

•Recording incorrect client details including email addresses (due to each service provider setting up or editing client records before commencing a job) 

After speaking with Jack, Terry has determined that he will managed these problems through continuous improvement. Terry believes that an example of continuous improvement would involve by purchasing expensive receivables modular software and hiring a devoted employee to manage receivables. 

REQUIRED: 

Advise Terry whether his understanding of 'continuous improvement' is correct. Suggest some measures that he could take and apply the PDCA model.