An almost definitive heaven for a large number of CFOs is a really speedy and simple month-end close; but time after time, it proves to be seriously troublesome and a somewhat long task. It doesn’t need to be so overwhelming; truth be told, there are more than a couple of ways of speeding up your processes to make the month-end that bit more straightforward. While a portion of these include full framework revamps, there are a couple of tips in regard to work processes, leadership, and personal workload prioritization. Let’s investigate the various ways of bringing your month-end close-up to hyper-speed efficiently and safely.
As with anything, keeping yourself and your group coordinated is critical; kicking back and trusting that everything will work out more often than not doesn’t tend to go well overall. Setting proper and significant KPIs for yourself as well as your group can go far. Making a log of objectives and tasks is a decent strategy for assisting with month-close; make sure to consider dependencies and work processes. Utilizing a visual progress indicator, for example, an Excel Graph or Gantt Chart gives a simple-to-view graphic that will help you to follow your objectives and progress as the cutoff point draws near; the key part, notwithstanding, is taking some time to assemble a plan in order to keep track of deadlines and timescales.
CFOs will frequently complain about month-end closes not being finished early, even though they hadn’t clearly set the objectives in the first place. Clearly, this can create a little confusion and disarray in the department.
What sort of objectives do you wish to accomplish? What sort of reports would you like to see and at what frequency? Allocating assignments and reports to people, groups, and departments can help hugely in keeping things on target. Regardless, remembering your objectives as you move nearer to the deadline is essential, as, without them, the tasks can fall behind and run into a cycle of dependencies and restrictions, which isn’t great for any business.
Keep up with good communication
What might occur in the case of a deadline coming up that you hadn’t told or clarified to the rest of your group or department? Your providers may not feel inclined to invoice you immediately, and your department may not turn in their diaries as fast as they are needed, as such things can drop out of place rapidly.
While setting your objectives, ensure that you inform your team as to exactly what is required, and above all else, why. As long as the group knows exactly what their tasks are and what their part is regarding the overall responsibility, as well as what it will mean for other departments and groups, things will run much more easily.
Excel without Excel
It’s fairly evident that Excel is an extraordinary piece of programming; its adaptability and utility across all the various parts of a business make it a significant inclusion to any organization. Be that as it may, over-dependence on spreadsheets when there are better techniques to help with a task or data set can be a tremendous disadvantage.
Review your Excel utilization – Watch what data is being put away on spreadsheets, and who has permission to access said records.
Smooth out your processes – Keeping processes like reports inside a framework is critical, and automating processes can save massive amounts of time and assets over the long haul.
Export only as necessary – Exporting information can unintentionally prompt integrated problems, like human error, and keeping in mind that while a solitary mistake doesn’t appear to be too bad if it leads to a knock-on effect, it can hugely impact the result of the task you’re dealing with. Try to plan to keep information within system frameworks where you are able.
Reporting systems are a huge boost – With regards to information control and editing, Excel stands far higher and superior to most other programs. Nonetheless, it can miss the mark with regards to information reports; search for the right reporting program for your requirements.
Utilize system features
A surprising number of organization frameworks have a lot of features and utilities that are rarely used to their maximum capacity. While certain things might have been added quite a long time ago and never truly grasped by the users at the time, there may likewise be features that have been included in ongoing updates that might have gone unnoticed. Focus on automation and see what your framework and system are able to do.
Focus on the important jobs
After taking a moment to assess the sum of all of the assignments required to finish up the months-en, it can appear to be overwhelming, even challenging to fit everything within the correct timescale. Be that as it may, it merits pausing for a minute to examine the exact process of what should be done, in addition to what can be pushed back as a lower priority.
For instance, can provider invoices be accumulated as opposed to processed immediately? Does a devaluation journal need to be posted consistently for the executive accounts? Is it worth keeping the staff expenses back from being posted until close?
It is important to keep note that for most of the year, this includes the development of the management accounts and not just an additional set of statistics; recalculation of accumulated tax assets may not be very useful, for example. Overall, if something does not add value, making an effort not to include it in your month-end close can be a big help.
Is a month-end close the best thing to do?
While it might appear to be somewhat of an odd inquiry, it merits keeping your options open. It is generally understood that the month-end close has been a foundation of monetary work for quite a while; nonetheless, with present-day frameworks and refreshed innovations, different choices are accessible.
Initiating something like a continuous close enables you to stay up to date with the latest progress markers instantly. Accessing important data on the fly permits supervisors to pursue quick and effective changes to the advantage of the teams and clients respectively. Also, after all, wouldn’t it be great to get a decent night’s rest without concerning yourself with last-minute alterations?
Why not investigate other options than a month-end close? Change over to continuous close with Sage Intacct