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While accounting can be seen as a back-office function, it plays a vital role in analyzing your organization's past, current, and future health. Investment in it's operational efficiency and talent is required to ensure long-term success.
Accounting standards and technology are constantly evolving. So should your accounting practices. We'll start with the basics, and delve deeper into more analysis in a later article.
Manual data entry is not only time-consuming but also prone to errors. Every minute spent on routine tasks takes away from your accounting team's capacity for strategic planning or data analysis. In addition, better job satisfaction can be realized when employees spend more time on meaningful work. It also enables your accounting staff to have a better pulse on what matters for your organization, making them more effective accountants.
Automation tools can take over repetitive tasks such as invoicing, payroll, and data entry. Software like QuickBooks or Sage can integrate with your existing systems to automate these functions. Other solutions, such as Alteryx, can help with automation. Microsoft's Visual Basic Application and Flow come with Office 365 for no additional cost.
Starkmont Financial can also take over your Accounts Payable and optimize your Procure-to-Pay process. This frees your accounting staff.
While Quickbooks is great for small businesses, there comes a point when your organization may outgrow its functionality. When organizations outgrow Quickbooks, the accounting teams are usually the ones who have to come up with unique ways to get reporting done correctly. Unfortunately, your accounting team may not be equipped to do this, and you risk inaccurate financial reporting.
When considering other ERPs, first conduct a needs assessment by consulting your accounting and finance teams. There is a plethora of ERP software out there, and even more vendors. Consider contacting Starkmont, who can assess your business and guide you on what ERP fits you best. We partner with many vendors that specialize in ERP implementation, testing, training, and ongoing support.
ERP implementation can take several months and more to train your staff properly. However, the benefits of increased efficiency and accurate reporting make the effort worth it.
This may seem obvious, but we have seen critical financial data fragmented in local hard drives, Teams applications, and emails. Take advantage of cloud solutions, such as OneDrive, Sharepoint, or Google Drive for ease-of-use and access. Ensure you have 2FA on for these applications.
Outdated accounting policies can hinder performance and may even lead to non-compliance with current regulations. Periodic reviews of your accounting policies and procedures ensure that they are aligned with best practices and regulatory requirements. It's an opportunity to refine your operations for efficiency and compliance.
You should review what is essential for your business and update your policies around it. These include profit margin, AP and AR, inventory, cash flow, and payroll expenses. There may be other areas relevant to your business's success.
Starkmont can assist with any policy updates and reconcile your books to make sure you are up-to-date for the future. We build templates, update your books, and train your staff.
The continuing trend since 2020 is that it is ever more essential to invest in your teams' happiness. The accounting industry is shrinking, and good accountants may be in short supply. Keep your team happy by increasing their job satisfaction, learning and development, and increasing engagement. A happy employee is more productive, and effective, and cares more for the success of your business.
Starkmont can also take care or augment your accounting operations should you find yourself short-staffed.
Keeping your accounting operations efficient is a critical part of your business. It all starts with what you invest in your accounting department. It helps to have a trusted advisor, who has a proven track record of successfully transforming accounting.
Should you require a comprehensive review of your accounting practices, or simply seek assurance of your financial operations, please feel free to contact us.
