Key information Analysis and Reporting

The analysis of key information of any business is an important prerequisite for its successful operation. With the advent of mobile networks and e-commerce, all business is flooded with a massive amount of data which has to be distinguished from information.

Most of the software solutions, particularly on ERP platforms, do provide several reports from each module of accounting, be it on accounts payable, receivables, procurement, costing and general accounting. However these reports need to be validated constantly to see if such plethora of reports provide endless amount of data without providing adequate focus on the key information. This is critical for a business for continuous evaluation of the processes and their respective outcomes. Further, it is necessary to analyze and ensure that the right information is available to the right person at the right time. If an executive has to constantly mine for the data which is critical for his operations or if the reports contain data which is not entirely relevant to his/her performance, the very purpose of such reports is defeated. Some examples of such irrelevant data which can lead to a wrong communication and inference are as follows:

  • A sales officer continues with his sales efforts even though the credit limit to the customer has been reached.
  • The Sales team misses out on collecting open invoices due to lack of proper details on outstanding invoices in the report sent to them.
  • Sales executives do not have proper information on customer product sales history thereby affecting their customer relationship.
  • Sales forecasts are not properly linked to budgeting exercises for want of interface between sales and accounting data exchange.
  • Wrong rates or usage are captured in an important input taken for component or assembly costing that result in wrong pricing and decrease in profitability.
  • Indents and purchase orders being raised for the same item even though it has reached maximum levels of inventory.
  • The operations suffer severely for want of a small item as it has not been properly classified as mission critical and monitored for receipt at the appropriate time.
  • Be it for the finished products for sale or for critical raw materials and components, excess or low inventory is maintained due to lack of periodic reconciliations with physical stocks and want of proper adjustment in accounting records at the right time.
  • A major one time expenditure has been missed out in preparation of the cash flow projections, resulting in certain decisions being taken that could impact the cash position of the company in future even affecting regular operations.

TaurusQuest provides accounting services with vast experience in handling a number of software such as Quickbooks, SAGE, Great Plains, SAP and Oracle and has a good idea on the report formats and information flow on the various ERPs. TaurusQuest has the advantage to cull out the best of systems and reports from the different software across several industries, complete the records and post them by the time the client starts his or her work next day (due to the difference in time zones) and constantly interact with the clients to provide the right report to the right person. This results in utmost client satisfaction and success in their venture, in the least turnaround time.

To find more about TaurusQuest, visit www.taurusquest.com or send an email to us at enquiry@taurusquest.com

The views expressed are that of the author’s and TaurusQuest is not responsible for the contents or the views expressed therein. If any part of this blog is incorrect, inappropriate or violates the IP rights of any person, please alert us at ceo@taurusquest.com. We would take immediate action to correct any violation.