Because they support the client-facing side of your business, your back office functions are key. Accounting processes and systems make up a sizeable portion of every back office environment, so finding ways to streamline your bookkeeping, employee record management, and other financial duties will greatly improve your back office efficiency.
Why Your Back Office is Vital
You should never underestimate the importance of your company’s back office. Despite the fact that most back office operations take place behind-the-scenes, they’re essential for ensuring the more visible aspects of your business continue to run smoothly.
Addressing efficiency issues can play an enormous role in:
- Preventing workflow bottlenecks
- Warding off resource waste
- Putting a stop to work duplication
When you improve your back office efficiency, you not only set your company up for success in terms of greater productivity and cost-effectiveness, you make it possible for management teams to focus on delivering results - rather than on any internal disorder.
Back Office Efficiency Tips
Simplifying your accounting procedures with the help of cloud-based accounting software and specialized apps is a great way to reduce business costs while advancing your company’s back office abilities. In fact, by moving payroll, invoicing, and other bookkeeping processes online, you’ll be able to spend less time managing your back office, and more time increasing your revenue.
Here are 5 simple tips to help you improve your business’s back office efficiency:
1. Get Online with Cloud Accounting Software
- Sync your bookkeeping data in real time
- Access your accounts remotely from any internet-enabled device
- Integrate with expense management tools (like Receipt Bank) to automate data entry and encourage a more efficient, paperless bookkeeping system
Not only does reducing paper documents prevent financial records from being damaged or misplaced, a cloud-based accounting system keeps important business information accessible whenever you need it.
2. Invoice Directly from Your Cloud Accounting Software
If your business relies on invoicing as part of its sales process, using a cloud-based accounting software lets you take advantage of automated invoice generation. Creating invoices directly from your accounting system allows for better brand consistency (think: document logos, fonts, and colours), and it’s a great way to centralize your customer database while establishing a visible audit trail.
3. Upgrade to a Modern Payroll System
Let’s face it – managing employee payroll is a chore. Thankfully, advanced payroll systems like Payworks and Rise have streamlined the process of bringing on new employees and submitting and filing tax documents. Advantages of working with these systems include:
- Real-time employee record visibility
- A clear audit trail
- Ease of access to previous pay stubs
- Convenient generation of T4s & ROEs
- A unified location for all personnel data - as well as improved data security
Remember, any time you perform payroll manually, there’s a greater chance of sabotaging your back office efficiency with mistakes and omissions. Upgrading to a modern payroll system guarantees fewer errors.
4. Automate Employee Expense Reimbursements
Using a tool like Expensify to manage expense reimbursements lets employees keep track of their expenses more conveniently. They simply take photos of their expense receipts, upload them to Expensify, and are free to do away with any paper slips or vouchers. Not only is Expensify intuitive and easy to use, it means expense data can be imported directly into your accounting software.
5. Streamline Your Document Storage System
Drowning in physical documents? Going paperless is easy when you use an app like Receipt Bank or Hubdoc. Take photos of your receipts, invoices, and other source documents - then have them stored in the cloud for easy retrieval. Creating a more efficient document storage system will keep your financial data better organized and easier to audit at year-end. Not to mention the money you’ll save on paper, toner, and office equipment maintenance.
Rather than taking a back seat, back office efficiency should evolve as your company grows. By exploring the many automated options available to you, you’ll be better positioned to manage your time and resources more effectively and make an informed decision as to whether an outsourced solution might be right for your business.
At Enkel, we can help you streamline your back office through cloud-based technology and our professional team of accountants and bookkeepers. Whether your company is located in Vancouver, Edmonton, Calgary, or Toronto, we've got your bookkeeping needs covered! Contact us today to learn more.