Financial report or accounting requires a lot of discipline on the part of the staff. All financial dealings should be entered as they occur. Any receipts and slips should be filed as they are received; this will make it easier for the accounts department to have an easy time in creating a report at the end of each quarter or at the end of each year as is normally required. Accounting is one of the professions where a lot of discipline is required in regard to organization and use of funds. Misuse of funds and wrong entries have been the number one cause of job loss to most accountants.
Some of the entries might have been irregularly entered not because of misuse of funds but because the accountant misplaced the receipts and is therefore not able to account for the lost receipts. It becomes very embarrassing when an organization that has trusted you with their funds is the same organization that sends you home due to inefficiency. Companies should also invest in proper accounting software to be able to help the accounting staff do their duties effective and within the required period. This is the only way that the account or financial department will be able to compile their financial records in accordance with the required laws and rules.
Any payment or transaction made must clearly show the details of the person paid, their identification, reasons for payment and most importantly must have their signature appended on the document. It is only through such transparent dealing that an organization is able to be in the clear to all their financial dealings. All purchases and services provided should have an LPO, and a receipt for the services offered. By providing such clear details and information there should not be any doubt even when auditors take over to check the books of accounts. End year accounting should not wait until the end of the year to issue the same. This should be a continuous process. It is only when the books are managed effectively that the account department can be in the clear-blue in regard to their finances.
