The control of money has never been more important in business than right now. Many companies are still trying to recover after the global recession, and for those who weren’t badly affected, the financial crisis proved just how important it is to run an organized and efficient enterprise. There are many ways that accountancy firms can streamline their processes, not only gaining better performance as a result, but also saving money. Many companies need accountants to help ensure they remain tax compliant so there is a lot of lucrative work around for accountancy businesses.
Something that all accountancy firms should consider is an investment in Enterprise Resource Planning (ERP). This software tool is utilized to streamline administration processes making them as smooth and efficient as possible. There are a number of ways and degrees in which ERP can be used, including on-site software that is installed onto a company’s hardware, and cloud ERP where data is held on a remote server and accessed via an Internet connection. For newcomers to the world of ERP, the latter option can sometimes be better as Software-as-a-Service (SaaS) normally requires a lower initial expense.
The main advantage of ERP is that data constantly updated by staff members is immediately accessible to line managers and senior management at their own desks. This allows any potential problem to be spotted early enough to take remedial action.
How does ERP make a business more efficient?
ERP can have many roles within a business, from ensuring that the supply chain is fully stocked, to handling invoicing and overseeing the daily cash flow. The latter can be particularly useful. Whilst accountants may be busy organizing their clients’ data, they may not necessarily want to spend a lot of time ensuring that their own business information is accurate. ERP can include automatic transactions from various business cards, provide reports at the click of a button and highlight compliance issues and deadlines that executives need to be aware of. Staff management options are also available, ensuring that the right employees are on the right job and that a gap never appears – something that can stall a project halfway through.
Besides ERP, there are many other ways to make an accountancy firm more efficient. Establishing a target market of clients is important, and this should be done from the outset. Whilst obtaining clients in many fields may seem beneficial to begin with, it’s not efficient to have employee skills spread too thinly. Instead, honing an area of expertise is the best idea. Having experts with one specific skill will make marketing easier, and it will ensure that projects can be completed faster, thereby increasing a business’s efficiency. Any other skills offered can be listed on a professional website.
Another important tip is to actually turn to other advisors for help. Many accountants might believe that because they’re aiding clients with finances, they’re more than capable of handling their own business themselves. However, this isn’t always true, and many executives can be blind to the problems occurring right under their noses. Once again, it’s important to identify the area in which businesses are skilled, and then seek help from others. This might not always be in the form of other accountants, but legal professionals, IT experts or banking specialists.
Finally, it’s extremely important to hire the right members of staff in any business. Not only should employees hold the correct skills they need to have a good work ethic. In some ways, this latter requirement is more important than having all the correct knowledge, as skills can always be taught through training and experience.
Bettering efficiency should be a top priority for all accountancy firms wanting to save on expenses whilst growing their company. And by using the right tools, staff and marketing strategies, as well as asking for help when it’s needed, a stronger business can be built.