replace company name, keywords, location

Client Tools

• Key Dates
• Tax Facts
• Portfolio Login
• Calculators
• Newsletters
• Blog
• Client Login

Collins Hume looks at how documented business systems make a difference to the success of your business

Quality control consultants have been telling us for years!  But it's not just the quality aspect of your business, though important, that needs to be fully documented - business continuity and sustainability have been hot topics for years.

At Collins Hume we deal with a range of business types across a number of sectors and can confidently state that businesses that use written systems' manuals, similar to a written franchise system, normally give themselves a far greater chance of success at being a successful business.  The time and discipline required to draft your business systems' manual should assist in ensuring that, if problems arise, management, staff, key stakeholders and even external consultants and trouble-shooters can refer to your systems' manual for guidance on what should be done in a particular situation.

Your business systems manual should be able to produce key information including:

• daily bank balances;

• sales;

• number of customers;

• weekly performance reports;

• staff productivity;

• monthly debtors' aged analysis;

• monthly creditors' aged analysis;

• cash flow position;

• departmentalised financial accounts compared to budgets; and

• key performance indicator data for the month.

And, if possible, your systems manual should also summarise business records that are to be maintained including:

• procedures relating to opening accounts with suppliers;

• use of purchase orders;

• checking suppliers’ tax invoices against delivery;

• payment of tax invoices;

• cheque preparation;

• substantiation of expenditure record;

• bank account operation;

• general ledger postings;

• checking cash register takings;

• stock purchases' systems;

• employee wage records;

• capital expenditure;

• research and development expenditure;

• insurance covers;

• business activity statement preparation;

• updating budgets and cash flow forecasts; and

• establishment of appropriate control of e-commerce and internet banking transactions.

 Many would agree that this is a daunting task.  At Collins Hume we would be happy to conduct a detailed review of your systems including business records so phone us on 02 6686 3000 to get the process underway or to review the business systems data you have already documented.