Having expertise gaps in your accounting department results in lost profits. Period. Accounting involves fundamental tasks that must be done no matter the company’s size. Don’t do those tasks? Then profits will fall through the cracks and you’ll work harder than you need to and make less than you should.
How do you know if your accounting and finance department is missing key functions and thus, leaving critical value-adding tasks undone? This post will help you answer this question correctly.
Below is a highly detailed accounting and finance organization chart that you might see at a large company. Read the related job descriptions and focus on the tasks performed. You’ll quickly see that you need these tasks done. But you don’t need the whole org chart FULL-time. That’s where filling in the gaps with part-time experts delivers the value you seek.
|CFO||Quarterbacks the myriad of accounting and finance activities and makes sure all the moving parts are functioning well. Also acts as a strategic advisor to CEO and to do so must understand all aspects of the business, industry, competition, opportunities for expansion.|
|Controller||Establishes financial policies, procedures, controls, and reporting systems to ensure that assets are safeguarded and financial reports and analysis are timely and reliable. Understands the technical accounting rules required to produce GAAP financial statements. Takes ownership of the work flow (how transactions move through the system), data flow (how data is entered and moves through the software(s) used by the business) and internal controls that exist or must be implemented throughout the business.|
|Treasurer||Oversees capital structure strategy (debt versus equity), secures capital, maintains bank and investor relationships, invests excess cash|
|Tax Manager||Oversees tax planning to minimize taxes and ensures compliance with tax laws and timely filing of tax returns.|
|Accounting Manager||Technical accountant who defines accounting policies and procedures to comply with generally accepted accounting principles (GAAP) and takes ownership of producing accurate financial statements and efficiently closing the books.|
|FP&A Manager||Supports management planning and decision making by analyzing financial information, producing budgets and projections with what-if scenarios, and analyzing cost reduction opportunities. Also, is a master of using data from all corners of the business to produce dashboards and insightful reports that lead to positive changes and informed decisions.|
|AR Manager||Establishes proper credit limits for customers, ensures proper billing, timely processing of chargebacks and credit memos and timely collection of receivables.|
|AP Manager||Ensures proper coding of payable invoices to GL accounts, timely entry and payment of accounts payable bills, and maximization of credit limits and payment terms with vendors|
|Bookkeeper||Enters source transactions (cash receipts, cash disbursements, sales, purchases/expenses, payroll) in the books, reconciles bank statements with the books, and makes adjusting journal entries to correct mis-postings or adjust account balances.|
|Financial Analyst||Analysis of finance reports obtained from various departments such as sales, marketing, purchase, production, etc. Supports FP&A Manager, focusing much effort on budgets and projections.|
|AR Clerk||Resolves short-payment discrepancies or client charge-backs to maximize collections. Makes collection calls and ensures timely collection of receivables.|
|AP Clerk||Records payable invoices to proper GL accounts, verifies that payable invoices are for the quantity of goods and services that were received and that prices billed were as agreed-upon when the order was placed. Processes timely payments to vendors.|
|Payroll Clerk||Maintains payroll records and pays employees and payroll taxes.|
If, as Stephen Covey put it, you begin with the end in mind (for most of us, it’s making more and working less), let us help you assess how to get all these tasks done by consolidating them amongst your internal staff and outside part-time consultants.