Every business needs sound structures in place to bring order to daily operational matters. A well-run business would typically have standard operating procedures developed for a range of situations to provide information and instructions for the staff. These procedures and the overarching policies are either in a written manual or on the company intranet for easy access at a moment’s notice.
Accounting Software Makes Financial Reporting a Breeze
Such a business would also have financial reports readily available, not necessarily for all the staff but certainly for those who are responsible for this area of operations. These days, it would only be a micro business that would still be using old-fashioned bookkeeping methods as most are now using accounting software.
Management Needs Reports to Identify Problems
Written procedures and reports are two of the most powerful tools available to managers who know how to use them. Procedures save time because clear, proven instructions are there to be followed without staff having to waste time explaining problems and seeking solutions. Reports provide quantitative data on key areas of the business and this information is used by management to check against forecasts to identify problems quickly.
Setting up these business reports can sometimes be a challenge for inexperienced managers. This is something we help our business clients with as part of our range of regular services. At Charter Partners, we know how important it is to the success of a business to have accurate, up-to-date reports, so we work with clients to get the information they need to suit their specific needs.
Financial Reports Use a Standardised Format
Financial reports are not difficult to set up with modern accounting software. The process is standardised across the business world and most businesses use the same reports. The templates generally come with the software so once the right information is entered into the system, printing out reports should only take a few minutes.
Productivity Reports – Knowing What to Measure is Difficult
Productivity reports are a little more challenging. Businesses that rely solely on financial reporting are missing improvement opportunities by not reporting on other key parts of the operations. Knowing what to measure is the first decision to be made, as setting up a reporting system for something that is not critical is a waste of resources.
Accuracy Vital for Improved Reporting
The most important issue in improving your business reports is the accuracy of the source data. Most reports are date driven, so the software will pick up all the data needed for a report within the specified date range. If the date range is right and the source data is right, you will get an accurate report from which you can make critical business decisions.