As a business evolves, it will encounter the need to build credibility with outside parties, such as investors and lenders, and to make well-informed strategic decisions. In short, financial...Read more »
Got Talent? Is Your Accounting Staff Delivering What They Should?
As a business owner or senior leader, have you calibrated your expectations with your accounting staff and have you stepped back and thought about the efficacy of your accounting team?
When you are evaluating your accounting team’s performance, make sure they are delivering these key results and competencies:
- Produces timely, basic financial reports on a monthly basis – balance sheet, income statement, and cash flows
- Revenues are collected; invoices are paid
- Executes on internal controls (e.g. account reconciliations, banking approvals, etc.)
- Provides timely, relevant variance reporting and observations
- Improves processes and generates ideas
- Operates independently – stuff just gets done
- Exercises good judgement – informs you when something is unusual, doesn’t withhold bad news, makes decisions when appropriate (vs. asking for approval too much)
- Is proactive – notices when something can be improved or needs doing and does it
- Is a Positive Teammate – Solution-oriented, reliable, on-time, problem solver willing to listen and help
There are many others you may want to apply within your assessment specific to your business. Regardless, the most difficult action item is creating a change when you realize an individual or team is not meeting the basic performance requirements. It’s worth the pain and premium to pay a little more for the right accounting talent.
You have a business to grow; therefore, the accounting function should be running independently, informing you and involving you when needed. It should not be requiring your attention on the basics.
Greg Owens is a versatile CFO with 25 years of finance experience in both large and small organizations. He is an expert at leading critical functions in accounting and finance and has been instrumental in partnering with owners to strengthen financial planning and accounting governance for small and start-up businesses using his analytical, common sense approach. At The Fahrenheit Group, we have several experts, including Greg, who can help you with all of your accounting and finance needs. Feel free to reach out to us anytime at (804) 955-4440.