In this blog, Leadership Convention sponsor haysmacintyre explain how better governance and higher expectations of transparency are driving the outsourcing of finance functions in sport.
As growing numbers of businesses in the commercial sectors future proof their finance functions by adopting outsourced solutions, CEOs of NGBs and CSPs could benefit their own organisations from adopting the same leading edge technologies and software.
With the advent of online (cloud) based accounting software, haysmacintyre has seen an increase in the number of membership organisations taking the opportunity to review their existing financial systems and implement changes to take advantage of the latest developments in technology and software. In some cases, organisations have also taken the decision to outsource the day-to-day record keeping and management reporting function.
Key drivers that encourage the decision to outsource and are influencing CEOs are:
• The need for robust financial systems
• The need for accurate, reliable and timely financial information, which in turn allows them to review and monitor reserve levels and policies, variances against budget and key performance indicators
• A desire for greater visibility of the accounting records and underlying transactions; made possible as records are maintained online and users can log in via a web browser
• The ability to easily distribute regular, appropriate financial information to Board members to allow them to assess the financial performance of the organisation
• Access to a wider pool of skills than perhaps a book keeper or financial controller can offer individually, for example, VAT and tax advice
• Access to a wealth of sector specific knowledge
• Continuity of service from an experienced team
• An external review function, which allows internal time to be freed up for monitoring financial performance and developing and implementing strategic decisions
• An awareness that sophisticated accounting software, once the domain of larger corporates only, is now readily accessible for small and medium sized organisations in all sectors.
Our experience is that NGBs and CSPs are under increasing scrutiny both in securing and expending funds. An efficient, effective and robust finance function that can expand and reduce its scope flexibly is a key tool to organisations in growing revenues and being able to show their appropriate application – for both executives and Board members.
One membership organisation took the decision to outsource its finance function to haysmacintyre and the CEO decided to take the opportunity to deploy a range of technologies and additional features and functionality on offer. haysmacintyre worked with the organisation to identify their needs and we implemented an online solution with the following key features:
• The majority of data input is electronic. We import bank and credit card transactions, membership income data and expenses data. Purchase invoices are scanned to us and are then linked to the underlying transactions in the accounting records and can be accessed at any time in the future for reference
• Access to accounting records is by logging in using a web browser on any device, including PCs, laptops, note books and PDAs
• Bespoke management reporting packs, linked to the underlying accounting records, which include budgets and variance reporting, departments and cost centres. We report on a monthly basis to an agreed timetable
• Management of the purchase ledger and preparation of payment files, which are uploaded directly to the online banking system for review and authorisation by our client
If you would like more information about online accounting solutions and the features on offer that you could take advantage of for in-house use or as part of an outsourcing solution, haysmacintyre would be pleased to share this information with you. Please contact Kathryn Moran on 020 7969 5645 or email@example.com.
Kathryn Moran heads haysmacintyre’s outsourced accounting services department. Her specialist skills are in outsourcing, online accounting, project management, strategic advice and financial reporting.
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