**Essential read for all businessmen and business owners**
How do you increase profitability? This is a very common question and the most popular answer would be “That’s easy… cut the cost.” But just how can one cut cost without disrupting the organisation’s ongoing operations and work efficiency? Here’s one smart way of doing it.
Many businesses would jump at the chance to lower their operational costs but when it comes to carrying out the mammoth task of identifying expenses, everything suddenly seemed vital and important. Hence, an alternative strategy would be to come up with numerous creative ways to save on minuscule expenses such as switching off the lights and ensuring that the faucet doesn’t run in a forlorn bid to save on the utility bill.
But did you know that there is a better way of controlling costs and in return, reap huge savings and improve efficiency? In fact, this ingenious solution has been around for some time but many organisations are unwilling to explore the concept as it is termed “risky” and can put the organisation in a vulnerable position.
So, how can one control cost and improve efficiency at the same time? The answer is simple……via Outsourcing. Outsourcing has become increasingly attractive due to the trend of achieving a streamlined organisation structure. What’s becoming more common is the outsourcing of the Accounting / Administrative functions.
Vast majority presume that to outsource Accounting is merely hiring a professional accountancy firm to perform conventional book-keeping and they couldn’t be more wrong. In actual fact, outsourcing of the Accounting function has come a long way and had developed into a dynamic service industry where the outsourcer has the ability to undertake the tasks of the entire Accounts Department while seated off-site and able to contribute significantly in increasing the profitability of an organisation. Furthermore, some outsourcers offer value added services such as:
- Review & Recommendation for improvements in Internal Control
- Setting up of Standard Operating Procedures
- WorkFlow System Management
That being said, isn’t it time for you to consider outsourcing your Accounting functionality?