Accounting

Is any type of innovation possible in accounting? Good accounting is simply good accounting – books kept properly, declarations filed properly and on time, no issues with the tax office. On the other hand, the question arises – is this everything?

Everything depends on us. In addition to tax declarations, accounting can provide a wealth of information on the functioning of the company – the structure of sales, the profitability of sales representatives and the profitability of product groups, customer rankings, ranking of sales representatives, etc. Can this be useful in any way?

One of our clients, who ran a chain of restaurants, asked just this question. We proposed to introduce one change in the accounting system starting in the beginning of the year to divide all income and expenses into individual restaurants. Despite strong scepticism, the client agreed to make this change, although it also required extra work on the client’s side – describing documents in a more detailed manner. When we presented the report for the first month the client was sure that we make some sort of a mistake – the cost structure of individual restaurants varied significantly, although they should be the same.  It was particularly true for one restaurant, which had much higher cost of consumption of raw materials. When the situation repeated itself in the coming months, our client began to take a closer look. He didn’t have to wait long for the effects – it turned out that in one of the restaurants the staff had been stealing raw materials used for the preparation of dishes. Our client could hardly believe it, because he worked only with trusted people. Seems like not everyone appreciated this trust.

Do you also think that you know everything that is important about your company?

  • bookkeeping and accounting,
  • preparation of annual financial statements,
  • calculations and tax returns related to corporate income tax and VAT,
  • management information systems,
  • management accounting,
  • monitoring of the effects of strategy implementing,
  • supervision over accounting books held by internal accounting.