pro tip

Pro Tip

Very often, staffing decisions are made in a reactionary way that ultimately does not benefit the organization. Alternatively, staffing decisions can be made proactively and with a goal of increasing accountability amongst team members. Anytime organizational growth or change creates a need for additional members of the team, the overall team workflow should be considered to ensure that the job description of the new team member supports the organizational goals and accountability overall. Without this approach, an addition to the team is more likely to create confusion and conflict.

Pro Tip

glevi Blog Business Tips, Cash Flow, pro tip

Pro Tip: Strong cash management does not happen by accident. If you want to build resiliency in your cash flow then it needs to be a primary area of focus, day in and day out. This is why I always recommend implementing a 13-week cash flow forecast. This model is customized to your business operations and is developed to provide the ability to predict the cash position of your company 3 months in advance. Developing and implementing this model and the process to maintain it will not only shed light on your future cash position, it will improve it!

Pro Tip

glevi Blog Budgets, Business Tips, pro tip

Pro Tip: Budgeting is not only about putting numbers on a spreadsheet to plan for the next quarter or year or longer. The process of planning a truly useful budget requires a deep dive into your strategy over the budgeted period and a real look at your current resources and how they are being deployed. The budgeting process itself usually results in improved performance! When should you start developing your 2025 budget? As soon as possible, but certainly by early Q4.

Pro Tip

glevi Blog Business Tips, pro tip, Reporting

Pro Tip: Financial reporting is only as valuable as the data that is being recorded in your financial software. Common roadblocks to effective financial reporting that can create difficulties with using financials to drive strategy are:

Inconsistent or irrelevant accounting principles. Some common examples of this are revenue recognition that is haphazard or that does not make sense with the way you do business and cash basis accounting for companies purchasing goods in large bulk quantities.
Commingling of personal expenses in business financials.
Operational practices that undermine accountability for accuracy in record keeping.

In general, these result in financials that are not as useful for strategic decision making because they are disconnected from the reality of business operations. Indicators that could demonstrate this in financial statements include things like inconsistent gross margins, variabilities in operating expenses that are not traceable to specific business decisions and periods where large adjustments have been required to restore accuracy in financial reporting.

In some instances these roadblocks can also create significant audit risk.

The takeaway: Prioritizing relevant and consistent accounting principles is the foundation of effective financial reporting to drive strategic enterprise value growth.