We all believe in numbers. But it’s a completely another matter to tame and marshal them to the advantage of entire organization. The finance department has the second responsibility in most organizations.
Finance remains one of those under–employed but critically important segments for most enterprises. They are critical to multiple organizational functionalities – sales, subscription handling, office management, employee payroll etc… Rarely, do any of these processes wait for their normal turn of events. At most times, these processes require immediate attention and direct resolutions.
Also, as per a study by the British business bank, monetary transaction across the globe is expected to grow by 56% in the coming years.
In other words, the finance department is expected to handle increasing monetary volume at a faster pace with zero leeway for error. The financial handling capability of an individual executive is expected to grow many folds.
Here, finance and accounting automation systems could be a difference-maker for an industry that doesn’t have enough attention to spare. A financial management system essentially automates and streamlines all the repeatable processes. This encourages employees to direct their attention on matters that actually need resolution and critical judgment.
A finance automation system can influence and optimize various facets of your business. In this article, we will be discussing the multiple processes that could be optimized through automated finance operations.
In a normal team, having to manage individual employee incentives and attendance is a great time killer. An excel-based payroll management requires employees to perform day-to-day data entry and updates. At the same time, incorporating multiple performance-related variables make it harder to update and manage employee salaries. This also means that your processes could be vulnerable to errors.
An automated system transforms your payroll system to be centered on work rather than employee attendance. This involves creating and connecting actual employee accounts to individual payrolls. This system allows managers to directly recognize and reward employee performances without involving a finance team at every turn.
By the same principle, employees can also view their total work output and leaves taken through a single dashboard. This practically allows each team to manage their own internal payroll management system, relieving finance departments of this separated duty.
All this enables you to have a smarter and versatile payment management system.
Today, customers are expecting businesses to cater to their exact requirements. The old John Cleese’s Donald Sinclair joke says it perfectly – ‘we would have done a wonderful job, if it wasn’t for the guests.‘ Well, it’s possible to have these lines passed-on as a fact within the accounting department.
In a competitive market, customers expect businesses to take account of custom varying at creating invoices. For this, the finance team has to carefully calculate and incorporate multiple variables into their account calculation. With multiple customer quotes serving your business, this can instantly become hard and difficult.
An automated system lets you create automated contracts that could be tailor made for different companies. By applying the most suited package, you can also increase customer acquisition without creating additional employee stress.
Even a moderately successful business is required to handle around 100 transactions in a day. This includes both monetary inflow and outflow.
By means of automation you can manage all financial requirements within a single dashboard. This involves unifying and managing multiple payments strings through a single dashboard.
If you are trying to manage finances through independent mails, keeping track of individual threads can get confusing. With an integrated system, you can maintain all correspondence within those individual accounts.
At its basic nature, accounting professionals easily get hung-up on details. But these could easily turn into a major source of unproductive time expenditure.
Most of the requests regarding client finances are addressed to the finance team. An accounting executive is expected to come-up with intricate details about customer details on request. In a traditional system, this involves taking multiple excel cells and trying to join the dots. Sometimes, finance team may also be required to collect data from multiple departments to present a more concrete image. Without automation, all of these take manual effort and sometimes external exchanges with customer or employees.
An automated feature takes care of all your collected data through a single platform. It allows your customer data to be streamlined from a unified source, possibly a central cloud storage server. This system of management lets you store, retrieve and edit intricate customer details.
This also helps to serve the concerned clients in an easier and more straightforward manner. You can quickly retrieve a service statement for a given time period, provide customer data and analyze payment patterns.
Most organizations would like to provide direct payments and monthly transactions without involving a 3rd party bank to provide this particular service.
Without automation, the responsibility of retrieving essential information and reaching onto concerned employee fell flat on finance department. Often, finance had the additional responsibility to reach out to individual customers regarding pending payments.
In an automated system, customers receive periodic invoices and reminders sent directly to the concerned departments. This also allows you to maintain and keep an updated bookkeeping account to your relevant personal system.
This enables you to practically automate bookkeeping for the long-term. By automating and integrating customer bookkeeping, you could have a more agile system for managing payments.
By the principle of automation, you could be sure no customer financial updates go amiss nor any customers are left without updates. This system allows you to manage a more flexible and integrated bookkeeping services.
Often, sales people complain about financial team stubbornness for failing to land a deal. When your client comes-up with an impossibly complex block payment system, one may need to have a realistic assessment of the situation. It’s virtually impossible to handle multiple blocks at the same time.
In an automated system, you won’t keep a manual check on multiple customer packages. You can have an automated system to initiate an alarm for an upcoming payment. Afterwards, you can communicate with a prospective customer about upcoming payment or variable packages.
An automated system ensures that your sales people cannot be prissy about availing special concessions for individual prospects. This system also eases the workload of your sales employees.
According to research, an ability to send custom invoices within ten minutes increases your chances of acquiring positive response by almost 21%. This means that a sales team must have the ability to ask finance team for instant invoices. In some circumstances, sales people actually take a finance team as a soft target for the encumbrance in creating and sending invoices.
To manage that you can use for example Kapture CRM, which automates complete invoice generation for each individual team. It allows you to create custom invoices in accordance with a number of parameters involved in the calculation.
An automated system lets your sales team generate custom invoices based on a given set of parameters or rules. This enables your invoices to be generated in an easy and straightforward way.
This allows you to manage custom invoices without directly involving your sales team. Further, you can also personalize and include specific customer information in each of the invoice. This can include name, special services or provisioned time… All these could be done within a specific time schedule.
Without an integrated invoicing process, you will have to manually consider multiple factors to create a comprehensive invoice.
For example, consider the scenario of providing a final invoice involving multiple departments. An accounting executive is required to stream information from multiple departments and consolidate data about each particular service solicited. This process is often vulnerable to errors and glitches.
If you have the option of creating an integrated invoice, you can instantly retrieve particular services to be charged through an individual customer account. You also send test invoices to concerned people, which could be checked and rectified before sending to prospective clients.
Most finance teams remain under-employed and overworked. On a busy day, you could be having multiple duties and changing priorities. This often leads to loss of priority and prospect among employees. Within organizations, finance teams are expected to handle this through expertise and hard work.
By automation, you can combine and transcribe all pending work through a unified dashboard. This allows you to divide priorities between teams and employees. Further, the availability of cloud and documentation technology enables you to effectively share and collaborate on pending work.
A common business could be handling multiple streams of revenue and payment modes. Today, an accounting employee can expect many multiple sources: Bank, DD, online transfer, bitcoin etc.
Only some of these involve reception and transfer of actual cash. All the rest are online transfers that would require individual verification by relevant accounting staff. In some circumstances, this could mean that your customers are denied services even after completing payments.
By integrating multiple payment sources, you can have different payment streams instantly getting reflected on your account. This also acts as a consistent strategy to increase your customer satisfaction.
Today, an accounting employee needs to don multiple hats many times during the day. Without clear directives, this can get confusing and conflicting. An automated system creates a structured payment system that manages recurring responsibilities and streamlines the task of any team.
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