At the end of the day, finances are what make or break a company. Therefore, tracking them is extremely important.
This article looks at several best practices for successful accounting, particularly through the lens of an accounting department in a larger company.
Firm Deadlines
Coming up with deadlines is the easy part. Making sure those deadlines are adhered to can be much tougher. If people are continually late on turning in requests and invoices, take these steps:
- Frequently send out reminders of deadlines.
- Evaluate your current deadlines to see if they can be improved.
- Raise the issue with higher levels of management if repeat offenders do not improve.
Work in Batches
It is more efficient to process payments, reimbursements, and other financial elements in batches than to do them individually as each comes in. Decide on one, two, or three times per month when you will handle these duties.
Software Use
It is likely that your company has some kind of accounting software in place. Use it, and use it often. Manually doing calculations defeats the purpose of your company paying for software, and the software is there to make your job easier. If you are unsure how to use it, request training from someone who does. If the software does not perform up to par, raise the issue with management and/or the software company.
Automate
Automation can be an easy way to save time and eliminate mistakes. Visualize your ideal process as a whole, and then think about what parts of that process a computer might be able to do on its own. Next, take steps to make that a reality.
Continually Evaluate Your Processes
From time to time, it is good to step back and review your process. At least once a year, evaluate how your process is working from the points of view of both the accounting department and other parts of the company. This information can be invaluable for improvement.
For more advice on helping your company thrive, check out Elevation Financial’s other blog posts.
