19 May Managing an effective accounting team
Effectively managed accounting teams invariably make a significant difference to the general performance of a business. With integrity of the accounting function comes reliable and timely financial and management information.
The difference can be staggering. Businesses with a poor accounting function tend to lurch from one disaster to another. General Management is distracted and often the business burns cash in its efforts to respond and fix the latest problem.
I believe that the solution lies both at a high level (strategy) and in the detail.
The FC should be very clear on priorities and deadlines. These can be communicated in a collaborative manner but all accounting staff must be very clear on what they need to do and when.
Within these parameters, I believe flexibility will pay dividends in terms of employee engagement and staff retention. An overly controlling and rigid management style will only be successful in the short term.
Underperforming accounting teams tend to have poor and inaccurate data processing and systems. As a result, a disproportionate amount of effort is required to correct transactions or replicate data input.
A competent book keeper or accountant can add tremendous value. The simple procedure of reconciling the bank account each day will ensure that transactions are processed on a timely basis and problems or issues highlighted promptly.
Engagement of staff remains critical. Managers must appreciate that staff have different personalities and respond differently to challenges. A balance is required to encourage skill / personal development but to also to ensure that staff are not pushed too far from their level of experience or competence.
If you want any more tips on how to run an effective accounting team, get in touch!