This New Financial Year – Stay Nimble, Stay Agile.
The start of a new financial year is a good time to implement new processes and tighten the existing ones.
A new year financial year is here. The pressures of year end activities, the race against time for achieving targets, and the rush for meeting compliance deadlines is gone. While the hits and misses of the last year are still fresh in one’s mind, it is the best time for some serious annual forecasting and planning. Learning from past mistakes and improving upon the positives is a continuous process.
FY 2018-19 is an important period for business due to various macro-economic factors like the impact of GST implementation in India, introduction of the E-way bill, changes in taxation rules and so on. Hence a lot of volatility and changes in tax rules can be expected.
However, there is one ground rule that has stood the test of time that – there is no replacement for being well-planned and organized. Be it your accounting, HR or sales and marketing activities, you are always ahead – if your company has its processes in order.
The key to achieving this is having the right DATA at the right time. Yes. In today’s business scenario, financial data, figures and their analysis is everything. Based on current compliance and reporting requirements it is hard to imagine anything less than a monthly MIS prepared in time.
The Importance of Being Updated
- The first thing that comes to mind when we think of routine accounting and compliance for any business is that a lot of compliance related filing is to be done monthly. Hence it is out of compulsion that correct summary of monthly performance is obtained. Up to date data, relating to sales, purchases, salaries, and expenses is required – for GST, TDS, Profession Tax, Excise related filings.
- Apart from compliance needs, updated data is required for MIS and reporting and management decision making processes.
- Companies that are dedicated to achieving continuous growth use all situations to their advantage. Hence even in cases where a company is not able to achieve its reporting standards or timelines, a lot can be judged.
- Analysing a pattern or trend can help identify bottlenecks and weed them out in the long run
- Problems inherent in the system or processes itself can also identified and resolved
- It can also help identify people related problems and eventually help recruit the right kind of resources for a job
Hence it can be seen that being updated is actually a habit to be inculcated through continuous top-management effort. The benefits are, being proactive, disciplined and ultimately creating a healthy company.