Administrative and Financial Processes
Office work is generally regulated by law, such as the Employment Act, Payroll and Financial Record keeping regulations and the like. However, quite often some shortcuts get introduced, whether its for pure personal convenience, lack of professional knowledge or deliberate concealment. These actions of non-compliance are putting the business at risk, though. False information would be distributed to those who rely on this information when making high level decisions. Incorrect handling of interim funds such as GST, FBT and PAY are deemed offences against the law.
Through professional configuration of your systems, these risks can be greatly reduced and give your staff more confidence in doing their jobs.
Procedures and Information Flow
Everyone who is working in your business should be informed of the current state and a plan for the future. It will enable the entire team to row the boat in the same direction – towards your goal. That doesn’t mean that your administrator needs to know how many branches you plan to open within the next five years. But this person needs to know how to correctly capture information for you to identify it; they need to know what you need to learn from their input.
Streamlining internal communication flow enables every link in the chain to contribute their specific knowledge. They create an up-to-date live picture of every process for the next person in the queue. In many cases, streamlining also means cutting out the multi-entry of the same information and eliminates human error through that.
We can help you do that with our expertise as Business/System Analysts.
Depending on the type of business, certain identified parts of the business should be monitored regularly and closely as they indicate the overall health of the business. These can be measured by costs or capacity performance for machines or other operational assets. Looking at your staff, on-chargeable time or not, it’s always good to know how their time and pay balances against expected delivery of work. It would also help identify any training and development requirements.
Specifically implemented measurements can help you keep on top of any variations that may indicate a required change at an early stage.
Most business owners keep an eye on the gross profit margin and are happy as long as the bottom line shows a profit. Only on occasions when a loss is reported would they ask the question “why”.
In our opinion, all costs should frequently be interrogated, because they tend to hide unhealthy and in some cases even false expenditure. For example, spending on luxury rather than practicality should raise some eyebrows in an average business environment. By adhering to lean spending, the increased financial performance will enable a much safer journey through quieter times.