Businesses that are using 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 a written systems’ manual should assist in ensuring that, when problems arise, management and staff can refer to the systems’ manual for guidance on what should be done in a particular situation.
- The business system 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;
- cashflow position;
- departmentalised financial accounts compared to budgets; and
- key performance indicator data for the month.
The 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 cashflow forecasts; and
- establishment of appropriate control of e-commerce and internet banking transactions.
We would be happy to conduct a detailed review of your systems including Systems’ Manual and business records etc.
