You know the old saying, “the left hand should not know what the right hand is doing?” That’s absolutely true when it comes to your accounting and finance teams. If your employees are not organized about which department does what, you could end up with some serious problems that can harm your company in more ways than you might think.
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Here are four examples of how widespread confusion in these areas can derail your organization’s success: Aron Govil
- No one knows who has access to what data. For example, if an accounts payable clerk needs information from the accounts receivable ledger, but there is no record of what account number to use or where it can be found in QuickBooks or other database software, he or she will need to contact customer service. If you’re lucky, one of your employees will know the right person to ask about this issue. And if you’re really lucky, that employee will be available to help immediately. Plus, that’s just one example of how disorganized data entry can cause problems for your entire department. It doesn’t have to come down to a guess – with Zoho Books, every user has an easy way to find what they need, when they need it – and never waste time searching or waiting around for information again!
- Or worse: Data manipulation. Have you ever had a customer call up and start ranting because he or she thinks you made a mistake on his or her invoice? I’ve been there – it’s no fun being put in the awkward position of trying to explain the difference between what the customer heard and what happened. The best way to prevent this is by making sure your team knows how to handle data entry and accounting so that all invoices and other transactions represent your company in an honest and professional manner, every time – no exceptions!
- It’s not easy managing multiple people at once – but it’s much harder when you don’t know anything about their responsibilities. Can you imagine having a general manager who knew nothing about how marketing or sales worked? Or a sales representative with zero knowledge of logistics? It just doesn’t make sense, right? Well the same concept applies to accounting and finance – if there’s no interaction between departments, everyone loses out on valuable insights, perspectives, and ideas. In addition, if your team doesn’t communicate with each other about what they need from the accounting department, you’ll have a lot of trouble keeping track of everything going on in your company.
For example: If you’re a one-person operation but have just hired an employee to serve as finance manager , it might seem like a great idea to let that person handle all financial duties – even though they don’t know the first thing about QuickBooks or any other accounting system. Mind you, this new hire probably has some experience working on spreadsheets and has succeeded in their current job holding down the fort by themselves for so long. But if they don’t know how you’re particular accounting software works or where things are located within it, it will be next to impossible for them to provide the products and services you need.
For example: An accountant making $100,000 a year with absolutely no marketing background is not going to know how marketing works and what marketing channels are most effective. Nor does he or she really understand who his or her customers are, why they’re buying from him or her, and more importantly – what they can do to ensure that those customers keep coming back for more! If your employees don’t work together toward common goals like building strong customer relationships, you’ll end up with low employee retention rates, high turnover rates, and an unhappy customer base.
- The more organized your accounting staff is regarding their data entry responsibilities, the less likely it is that they’ll miss potential business opportunities, funnel money into the wrong sales channels, or perform other activities that could affect your company’s bottom line. When everyone on the team has access to exactly what they need at all times – it just makes sense that they should use every opportunity to improve the business, right?
- The good news is: Streamlining your accounting department IS possible when you have a powerful system like Zoho Books backing you up! And with so many features designed specifically for small businesses, there are plenty of advantages to getting started today! For example: You can start taking advantage of Best Practice features like The Dashboard and Pipeline Builder. Plus, by integrating email marketing software with your accounting software, your whole team will benefit from automated lead generation, lead scoring, and the ability to build long term relationships with your customers.
Conclusion by Aron Govil:
These are just a few of the many advantages you’ll reap by using Zoho Books for your accounting needs – but if you’re interested in learning more about how it can help simplify your company’s workflow, be sure to watch this short 8-minute video to see how it works.