Undertaking an Accounting Process Design activity in your startup could be the greatest investment you make in running your business. The goal here is to develop a system to ensure key figures, metrics and numbers are displayed to the right people in the business, at the right time.
It involves evaluating, designing and implementing new tools for your accounting, bookkeeping and reporting functions. This could include looking at:
- A Friendly Chart of accounts tailored to your business
- Business Metrics (KPI’s) that focus the leadership team on growth of the business
- Focussed Workflows to keep responsibilities clear and the team on track
Evaluating your current system involves finding the strengths and limitations, and identifying any gaps where further tools may be needed. The current system outputs must be evaluated against the strategic plan of the business. If strategic information is not being produced by your accounting function then you’re likely to need to design some improvements.
Designing something new starts with taking a view of the final outputs, a Key Business Metrics Dashboard or a Divisional P&L for example. It then breaks down how this could be produced, looking at new technology and workflows that can achieve the speedy delivery of that information. Here responsibility is assigned to members of the team.
The outcome of an Accounting Process Design activity is that your accounting system produces the right figures and metrics to the right people, right on time. You’ll also have a comprehensive idea of how these figures are produced and what it takes to get there.
Need assistance with Accounting Process Design? Feel free to get in touch with the team if you have any questions