Accounting Department Efficiency

Accounting Department Efficiency Tips

The accounting department can easily become bogged down with managing cash-flow and financial statements, especially during the busy season. As a manager, it’s important for you to create strategies that will increase workflow and accounting department efficiency.

Process Training

Conduct a process walk through to evaluate the need for training.  There are many professional development classes available  that will provide systems  training. Additionally, cross-training is an important time-saving part of accounting department efficiency training.  This will keep you from losing time when one of your staff members is out of the office

Establish Accounting Department Efficiency Policies

A lackadaisical approach to financial management is a huge money waster. Therefore, it is imperative to create strict policies and deadlines.  Establishing policies will enable to manage cash flow more efficiently.

Expedite Departmental Communication

A Cloud-based ERP software can improve efficiency by integrating all departments, allowing the finance department to get data from each department instantly.

Batch Payment Processing

Processing invoices and receipts individually can be painfully  inefficient.  Rather, consolidate them and process simultaneously.

Automate Processes

In this ever-advancing technological era, it is important to stay on-top of the latest technology to keep competitive.  Provide an accounting system that automates both complex and mundane tasks. This software should generate reports, calculate profits and losses, create invoices, record and save transaction details, manage taxes seamlessly. This automation will allow the accounting department to focus on other aspects of the job.

Communicate

Communicating your expectations of your accounting department from the outset will give your finance team clarity on what they should do. Explain the policies and procedures your company has established up front so that they will always comply with them. Be open to their helpful advice and opinions, especially if they are truly experts in finance.

Acknowledge Success

Managers can motivate employees by showing appreciation towards  accomplishments. Employees who feel appreciated, generally try harder and contribute more. Mutual respect forges stronger relationships and encourages employee engagement. Therefore, increasing accounting department efficiency from within.  While monetary rewards are appreciated, often people are happy to simply be recognized.

 

For more management tips, check out Good Managers Act Like This – Do You?