10 Issues That CFO Should Pay Attention To

< p > < strong > 1. when we prepare the financial statements, what are the management decisions our company is making? < /strong > /p >

Those figures reflected in the financial statements are facts in < p >.

But there are other financial opinions besides figures.

We need to make sure everything is clear.

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< p > strong > 2.. How long do we need to check out? < /strong > /p >

< p > why has it taken so long? What kind of manual process is included? Is the time to update our system data included? How do we improve these processes? < /p >

< p > < strong > 3. do we have a complete system with both a href= "http://www.91se91.com/news/index_c.asp" > financial information < /a > and operational indicators? < /strong > /p >

< p > one of my favorite executives used to say that in addition to facts, there are "real facts".

If your company has two or more than two reporting systems, you must spend non productive time to reconcile differences and clarify the definition of conflict.

I have seen a company have four different definitions of earnings: the GAAP income before paying the loan, the GAAP income after the loan, the sales commission income, and the GAAP income.

So you have to have an independent and correct source of information.

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< p > < strong > 4. why do we have so many reports? < /strong > /p >

< p > for example, the financial department of a company once issued more than 100 periodic reports, but many of the people who originally asked for the reports had left several years ago, and the accounting team did not know who is reading these financial reports or whether they are still valuable.

The solution is that when the accounting team puts these financial reports in the intranet, it will be obvious that the staff will be able to visit through self-help, which reports are being used and which reports are no longer valuable.

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< p > < strong > 5. tells me what we are doing with Excel and why we should use < a href= "http://www.91se91.com/news/index_c.asp" > Excel < /a > /strong > /p >

< p > Excel is a versatile and easy to use great invention.

However, it is difficult for multiple groups to use Excel forms at the same time, so it is easy to make mistakes, and it is difficult to detect errors and not be safe.

The best way to use Excel is to enable new practices to quickly form templates in application systems.

Once a financial process has been stable for three months, it should be developed into a cooperative, automated, secure enterprise system and "super Excel".

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< p > < strong > 6.. Who has the right to use the various functions of the accounting system? How is the function recorded? Who has the right to approve the change? < /strong > < /p >

< p > an independent administrator should be able to control the system and make changes according to the documented approval process.

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< p > < strong > 7. what is the volume of pactions in our department? < /strong > /p >

< p > how much is the invoice? How much should we pay to the supplier? How much procurement is there for each supplier? How do we measure the quality? < /p >

< p > use this information to plan staffing.

It should be shown that efficiency and quality have improved over time.

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< p > > strong > 8., how many sales orders or invoices have been cancelled and re issued? What is the main reason for such events? How much is the total value? < /strong > /p >

< p > if this is a large number or a large sum of money, this indicates that it is a poorly designed system.

We need to solve this problem.

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< p > > strong > 9. how many manual journal entries have been made in the process of closing accounts? What are the audit anomalies found by our auditors? < /strong > < /p >

< p > determine the underlying root cause.

Take corrective action.

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< p > < strong > 10. in < a href= "http://www.91se91.com/news/index_c.asp > > Finance Department < /a >, where should we budget our next dollar budget? < /strong > /p >

< p > priority should be given to the problems that need to be considered and resources should be concentrated where needed most, that is, whether to rearrange fixed staff, temporary staff, training, automation, integration and business processes.

Use the latest cloud technology tools to simplify, standardize, centralization and automate the whole process.

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< p > I believe many of the CFO who read this article have their favorite questions to ask their CFO.

Many of the financial directors who read this article also have better ideas about what questions CFO should ask.

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< p > let us know what those problems are.

We are happy to listen to you.

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