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Assessing Trust Between Senior Management and Employees — Employee Surveys Provide Striking Results

Achieving high levels of trust between senior management and employees is essential for the sustainable success of any organization. The best leaders earn the respect and trust of the people they lead. Lack of trust between senior management and employees negatively impacts employee satisfaction, engagement and performance. It also impacts customers, competitiveness and profit. The best senior leaders also trust their employees and their employees know they are trusted. 

Employee surveys are an effective tool for assessing the level of trust between senior management and employees. Well-designed employee satisfaction surveys, employee engagement surveys and employee opinion surveys include direct and indirect questions that measure trust between senior management and employees. 

Senior managers, including CEO’s, presidents, chairpersons, etc. should want to know if they are creating a culture of trust. If the results of employee surveys indicate low levels of trust as measured by low rating scores and comments indicating a lack of trust, executive managers will have information for changing their leadership styles in order to increase trust. 

What is the level of trust between senior management and employees in your organization? If asked, how would your company’s employees describe their level of trust? 

Following are representative comments received in two recent employee satisfaction surveys / employee engagement surveys. One employee survey was conducted for a bank with several hundred employees and the other employee survey was conducted for a professional services company with almost 1,000 employees. The level of trust at each of these organizations was rated by employees at less than 3.5 on a five point scale, where 5 indicates a high level of trust. These ratings were lower than the ratings for most of the other survey questions. The comments are illustrative of comments received in similar employee opinion surveys / employee satisfaction surveys / employee engagement surveys conducted in large and small organizations across many industries: 

1 – Employees have a significant level of distrust in senior management. Some employees do not feel they can bring ideas, suggestions and problems to senior managers due to concerns about negative reactions. There is fear, concerns about favoritism, concerns regarding perceived high levels of employee turnover, and some senior managers are less trustworthy than others. 

2 – Some employees are afraid to share their concerns with senior management for fear of being tagged as a “complainer” or being told “you are just feeling sorry for yourself”. 

3 – I don’t really have much trust in the Management

 4 – Too much favoritism 

5 – This is the same person who I went to when I (and my coworkers) had problems with a certain someone. The problem got pinned on me. Don’t really trust her much. 

6 – If people feel intimidated and are afraid to speak their minds, trust isn’t there. 

7 – Right now morale is down and we are looking for senior management to help change this. I think the trust is not there since last year’s cut back, not that it’s their fault it’s just our perception of trust in the whole organization. 

8 – Our EVP uses personal information against you to get you to do what he wants and I have personal knowledge that he has shared my personal situation with others within the organization. 

9 – Unexpected turnover/employee termination rates reduce trust levels considerably. 

10 – Some of our senior managers are very good, some seem to be clueless at times 

11 – The feeling from a lot of employees is that if they complain about an ineffective or restrictive process, they are black-listed which creates a lack of trust. 

12 -I do not feel that I have anyone to turn to to discuss my concerns or frustrations. Not my supervisor, manager or upper management. I feel this is an important aspect of the workforce as we should always feel there is someone to turn to who truly cares and is concerned. 

13 – Would not go to HR if I had a problem to discuss. It is a shame that we have to feel that way 

14 – You don’t know who you can trust. They encourage you to come forward and then you get stabbed in the back. 

15 – There is a lack of trust due to lack of communication on major issues e.g. merger. 

16 – Not for me personally, but other employees seem to have a very low level of trust between themselves and upper management. 

17 – Employees do not trust Senior Management. There needs to be more transparency to create a level of trust between employees and management. 

18 – I have heard different partners that I work with complain that senior management is not focused on the necessary values in order for the firm to be effective and profitable. 

19 – Some of our senior managers need to hold themselves to the same standards that they hold employees to. Ethical behavior should apply to everyone. 

20 – Everything is kept a secret 

21 – What senior management does seems to be for their own good. I can’t tell that it is with the best interest of other members of the firm. 

22 – Lack of trust is possibly the biggest issue here. 

23 – They are sending our jobs overseas. Why should we trust them? 

24 – While I have “trust” as an individual manager, I know there are multiple managers that do not feel a sense of trust. Frankly, I think it may be more to their inability to communicate “upstream” as opposed to failure at the Management level. We all need to take responsibility for being change agents. I want the Executive Committee and Management to be aware however, that management morale appears to be quite low, and that focus internally is quite important at the moment. 

25 – I’m not saying it isn’t starting to happen, but trust is earned, and we aren’t there yet. 

26 – Executive management acts like they do not trust employees and we don’t trust executive management. There is a lot of tension and we are not focusing enough on customers. There is too much micro-management and lack of authority to make decisions.

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Optimize Your Operational Capability with CMMS Maintenance Management Software

 

Facility Management is one of the most important aspects of any business. Managing a large facility can be a daunting task. Facility Managers need to strike a balance between cost and profit. CMMS Maintenance Management software is the ideal tool to automate your tracking system for optimizing operational capability and good maintenance.

CMMS Maintenance Management system helps to monitor and maintain the present and the budgeted cost for an organization’s machinery, human resources, stock and properties. CMMS also ensures quality control and liability reporting are in place during production to prevent unnecessary losses or customer dissatisfaction. Some of the functions performed by CMMS are scheduling tasks, reserving and distribution of materials, recording expenditures and tracking any unusual incidents in the production process. CMMS Maintenance Management is an important part of any plant or facility functionality. Some of the most important CMMS Maintenance Management software packages used are discussed below:

Inventory Control: This is a type of CMMS Maintenance Management software used to manage spare parts, tools, allocating materials and managing other materials. Inventory Control also deals with proper storage of all materials, purchase order management, tracking all shipping goods and measuring actual inventory stock.
Safety Monitoring: This particular CMMS Maintenance Management software helps to track and monitor all the important documentations along with regulations regarding safety. Safety Monitoring CMMS Maintenance Management software also helps in ensuring proper safety of the equipment and personnel
Asset Management: This particular CMMS Maintenance Management software helps to record updated data about all the actual properties including equipment. It helps to keep the warranties up to date, update the renewal dates of the service contracts, monitor the depreciation of spare parts and its purchase date. It also helps to assess the overall expected lifetime of all equipment so as to measure the real worth of business at a given point of time.
Preventative Maintenance: Periodic inspections of all equipment and facilities are necessary to reduce maintenance costs. This particular software uses checklists for monitoring the maintenance progress and updates the concerned department responsible.

CMMS Maintenance Management system is an important tool for liability protection. CMMS ensures that a plant or a facility is being audited to check the safety procedures. A CMMS package should be purchased with much care after seeing its scalability and scope for future development and expansion. www.facilligence.com is a leader in CMMS Maintenance Management solutions and Business Project Management Software which can be a reliable partner for your inventory management.

See how eMaint X3 can reduce the cost of your downtime and maintenance with its powerful work order and PM Scheduling System.

Debt Management And Why It Matters

Debt management isn’t just a fancy way of borrowing from Peter to pay Paul or taking out an even larger loan to settle money owed. Debt management and debt management programs play a vital role in helping individuals and companies get to grips with the state of their finances and cope with their financial obligations. It’s a way of cutting through the fear and concern surrounding debt and getting to the very heart of how best to organise it so that it can be repaid as cost effectively and as efficiently as possible.

It’s worth remembering too that when it comes to debt it isn’t just the creditors who suffer through not being paid what they are due. Debt management services are there as much to help alleviate the stress and the pain of a situation from the debtor’s perspective. Problems that if left unmanaged and allowed to continue to run their natural course might easily spiral out of control and make the situation worse for all parties. If you owe money that you are finding difficult to repay or have been in that situation in the past then you will know how unpleasant it can be. It’s in no-one’s interests for debt to remain unpaid and unmanaged.

One more thing to bear in mind is that if you do find yourself in the unfortunate position of having to seek debt management, UK agencies that are impartial and independent are on hand to help you avoid the less scrupulous organisations that thrive on people’s financial weakness. These less scrupulous organisations may, if you are not careful, leave you in a significantly worse state than the one you started in. In other words, if you are in the difficult position of owing money that you are struggling to repay and find yourself with limited options, then you are potentially vulnerable to exploitation. Going to debt management services that have no vested interest in partisan support for one side or the other can help you avoid that situation.

Fortunately when it comes to debt management. UK consumers are lucky enough to have a wide range of free, independent and experienced debt management programs offering experienced and helpful debt management advice and guidance to help you turn your situation around.

Most debt consolidation companies do nothing better than simply ruin your fico score in order to settle your debt. If you really want to work with an agency that will help you reduce your debt, contact a company member of “CONSUMER CREDIT COUNSELING SERVICES” (CCCS) More info at: sccrealestateuncensored.com/2008/repair-credit-legally-remove-negative-accounts/ micasamidinero.com/2008/reparo-credito-eliminando-legalmente-cuentas-negativas/
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Debt Management

f you currently work with a bank that you trust with your business concerns, ask about the possibility of applying for a credit card merchant account. Most companies are eager to welcome this type of business from customers they know and trust. As long as you have established a solid business credit history, pay your bills in a timely manner, and arent involved in questionable or unethical pursuits, your chances of being approved for a merchant account are good. Of course, your bank may not offer this type of account, or you may be able to find better terms with another lender, so dont feel as though you must apply for merchant services with your current lender. Instead, ask around at trade shows, conventions, or civic business meetings to see what type of merchant account providers your competitors are using. They can probably offer helpful tips on which lenders to court and which ones to avoid. You also can check with local business listings for references on general lenders, some of which may offer merchant accounts. Or you can browse the Internet to bring up a list of links that will let you contact those that seem most compatible with your business interests.

Getting a credit card merchant account is pretty easy. After locating potential lenders to work with, you should compare services and fees to make sure they will work with the business plan that you are using or one that you plan to set up. Check your companys budget to find out how much you can afford to invest in credit card processing equipment and service options. Then compare your budget with transactional fees, maintenance expenses, and application or gateway rates to find a lender that is affordable for your needs.

When you have been approved for a credit card merchant account, you can start to accept credit card payments from your clients immediately, often with a couple of days. All you need to do is select the type of processing equipment that best fits with your customers purchasing patterns. For example, if most visit your store to shop, an onsite credit card processor that you can purchase for a few hundred dollars is the simplest and perhaps most effective way to start. But if you deliver goods and services, a wireless unit might be the better choice. Of course, if you do both, two units might be affordable, but you will need to check your budget. You can always start with one and add another later.

Start looking for a possible merchant card services provider to get approved for your credit card merchant account!

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Debt Management

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Organization with Computerized Maintenance Management Software

Are you tired of those maintenance work orders cluttering up your desk? Are you tired of those same work orders getting lost? Or, maybe you’re tired of trying to keep accurate records by hand on maintenance procedures performed to the machinery? No matter what the case may be, if you need to add some organization to your maintenance department and possibly even simplify some of the processes, all while making the department more efficient, then computerized maintenance software is your answer.

The maintenance department is typically a very busy department within any company, and organization is the key to keeping the department and technically, the rest of the business running smoothly; therefore, special attention needs to be paid to this department. But, in the past, this seems to always be the department that gets overlooked; however, nowadays, technology has caught up and computerized maintenance programs are making lives easier and maintenance departments more efficient.

Does your maintenance department need help? If so, then contact a CMMS (computerized maintenance management software) vendor to learn more about this amazing technology that can prove to be very beneficial to any company. Learn how it can keep track of upcoming maintenance procedures or how it lets you schedule maintenance procedures during low production times. With this computerized maintenance software installed in your maintenance department, there will be no more unplanned downtime from necessary broken machinery causing your business to get behind and your losses to increase.

Any CMMS vendor that is serious about their product will provide you with a representative of their company to come into your company, install, and set up this program for you. This means that getting the program to work properly is their number one concern, because if it doesn’t, it’s not any good to you and they stand behind their product and their work. This is why they typically should also offer customer support 24 hours a day, 7 days a week. They know you are not a computer wizard or a software geek, and so will provide you with a superior level of customer service in order to ensure you and your company great success with this software program.

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What everyone should know about Help Desk management?

Conventional help desks only had individuals attending to the shoppers’ requests which, although provided good customer satisfaction ranges, couldn’t be effective in dealing with large number of requests. Additionally, such methods could not be simply monitored and tracked to improve performance levels.

To beat these limitations, software program methods have been introduced in help desk systems. Owing to this improvement, the help desk systems have actually grown in magnitudes and numbers, that it has turn out to be an entire business domain in itself. This development has raised the bar of performance ranges of help desk programs and thus requires the managers of assist desk systems to deploy strategies that can observe and monitor the operations and efficiency of the help desks.

For this requirement, several techniques have been designed and several efficiency metrics have been set to assess the efficiency of the help desk systems. Such efficiency assessment methods will help the help desk managers to judge the current efficiency at varied ranges and in varied departments of the assistance desk methods and determine which elements require improvement. Apart from enhancing the help desk efficiency, such evaluation can even present useful enter to the company regarding frequent issues being faced by the shoppers, frequent concerns of the customers that can assist the company in enhancing the standard of the product or service.

Type of Assessment Metrics

Such efficiency tracking requires varied inputs to calculate the help desk metrics. A number of the common inputs that can be required embody a lot of requests received throughout a period of time – day, week, month or any given interval of time. If there are several departments in the organization, a department vast breakup of the received request may be required to compare inside the departments. A log of the significance ranges of the received requests may be required. All of this above acknowledged information is said to reception of requests.

After this info of request reception, info related to dealing with of the obtained requests will likely be required. These metrics will give an assessment of how nicely the requests had been dealt with by the help desk system. Such assist desk metrics can be related to the common time taken to deal with the requests. These numbers could also be broken down in keeping with the time of the day, for each department, for each assist desk employee or even the supply of originating of the request similar to geographical location, demographics of the requesting parties, etc. There can even be a depend of how could calls had been answered, how many of them have been profitable as in the requester might get his problem solved or acquired the required information, how many calls were deserted, etc. These numbers can even be broken down based on above-talked about sections.

A track of lively, pending and closed requests may even be taken. Then the sort or class of the requests will also be noted such as the request could also be for troubleshooting of the product, could also be for seeking explicit info, etc. In case some particular or new kinds of requests have been dealt with, the options to such request can be recorded for future reference on comparable requests.

Hornbill IT Service Management Software customer SEPA describes experiences of of running a service desk on Supportworks ITSM & helpdesk software. www.hornbill.com
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Impact of Enterprise Resource Planning (ERP) on Roles of Management Accountant in Organizations

1. Introduction

Enterprise Resource Planning is the latest high end solution, information technology has lent to business application. These days we are living in a globalized world, where competition is not absent. This is why it is essential for managers of the enterprise to develop different strategies to satisfy client needs, many of which have become hard to see. They are trying to anticipate what clients will want or need, and in that way they work to offer customized products. Companies are looking for software that can be capable of administrating every aspect of their business integrally. Many of them have been seeking new technological tools that can optimize their internal procedures and make them more efficient.The ERP solutions seek to streamline and integrate operation processes and information flows in the company to synergise the resources of an organization namely men, material, money and machine through information. The emergence of ERP systems offer businesses a set of integrated application modules which span most business functions (Scapens and Jazayeri, 2003).  Today many companies in India have gone in for implementation of ERP and it is expected in the near future that 60% of the companies will be implementing one or the other ERP packages since this will become a must for gaining competitive advantage. The aim of this paper is to demonstrate the impact of ERP implementation as a new system on management accounting practices. The management accounting and ERP system will be introduced and clarify how are they working together. This paper will view a definition of an ERP system implementation, defining the management accounting, the dimensions of management accounting such as the roles and attributes of management accounting, finally implications of impact ERP implementation on management accounting.

2. ERP system implementation

ERP (enterprise resource planning) is an industry term for the broad set of activities supported by multi-module application software that help a manufactures  or other business manage the important parts of its business, including  product planning, parts purchasing, maintaining inventories, interacting with suppliers, providing customer service, and tracking orders [  Olson 2004].

Implementing an ERP package has to be done on a phased manner. Step by step method of implementing will yield a better result than big-bang introduction.The normal steps involved in implementation of an ERP are as below:

Project Planning, Business & Operational analysis including Gap analysis, Business Process Reengineering, Installation and configuration, Project team training, Post implementation.

The above steps are grouped and sub-divided into four major phases namely 1) detailed discussions, 2) Design & Customization, 3) Implementation and 4) Production. The phases of implementation vis-à-vis their tasks and respective deliverables are as below:

Detailed Discussion Phase: Task: – Project initialization, Evaluation of current processes, business practices, Set-up project organization 
Deliverables:- Accepted norms and Conditions, Project Organization chart, Identity work teams.

Design and customization Phase: Task :- Map organization, Map business process, Define functions and processes, ERP software configuration and Build ERP system modifications. 
Deliverables :- Organization structure, Design specification, Process Flow Diagrams, Function Model, Configuration recording and system modification.

Implementation Phase: Task :- Create go-live plan and documentation, Integrate applications, Test the ERP customization, Train users 
Deliverables :- Testing environment report, Customization Test Report and Implementation report

Production Phase: Task:- Run Trial Production, Maintain Systems 
Deliverables:- Reconciliation reports, Conversion Plan Execution

3. The main role for management accounting in the organization

“Management accounting is a system of  measuring and providing operational and financial information that guides managerial action, motivates behaviors, and supports  and creates the cultural values necessary to achieve  an organization’s strategic objectives”[ Jan, Shahid, Homas and Arol 1999].

Management accounting is often defined as a system that provides useful information for managers in terms of decision making, planning, control and performance evaluation (Drury, 2004, p. 20). A definition by Atkinson et al.1 (2001) describes management accounting as:

“A value adding continuous improvement process of planning,  designing, measuring and operating a nonfinancial and financial information system that guides management action, motivates behavior, and supports and creates the cultural values necessary to achieve an organization’s strategic, tactical and operating objectives”. Management accounting measures and reports financial and non-financial information that helps managers make decisions to fulfill the goals of an organization.Managers use management accounting information to choose, communicate and implement strategy, coordinate product design, production and marketing decisions, Management accounting focuses on internal reporting, and Management accounting is future oriented.

4. Attributes of a good management-accounting system

The management accounting can be success if contains some attributes which enhance its process such as the following attributes: [Jan, Shahid, Homas and Arol 1999].

The management accounting can be success if contains some attributes which enhance its process such as the following attributes: [Jan, Shahid, Homas and Arol 1999].

Good management accounting information has three attributes:

■Technical—it enhances the understanding of the phenomena measured and provides relevant    information for strategic decisions.

■Behavioral—it encourages actions that are consistent with an organization’s strategic objectives.

■Cultural—it supports and/or creates a set of shared cultural values, beliefs, and mindsets in an organization and society.

5. The impact of ERP implantation on management accounting system

The involvement of management accountants is seen as another important success factor for ERP implementations. Management accountants play a critical role in providing data and information to manage the business, their participation is critical to ensure that the needed data are available and so that the management accountants will know how the data are obtained and reported. Literature review has shown that involvement of the management accountants results in better outcomes in the ERP implementation. – In a number of organizations, the management accountants played a critical role in the implementation and success of the ERP system.  The more active the role played by the management accountants, the higher the level of perceived success for the ERP implementation.  This was consistent across all organizations visited.  If the management accountants were actively involved in the ERP implementation from the beginning, and acted as a change agent, the system was a success.

6. The impact of ERP systems on the role of management accountants

ERP is a broad term for any software application that integrates all business processes and data into a single system (Waxer, 2006). ERP facilitates company-wide Integrated Information System covering all functional areas.ERP provides for complete integration of Systems not only across the departments in a company but also across the companies under the same management. ERP not only addresses the current requirements of the company but also provides the opportunity of continually improving and refining business processes.

ERP provides business intelligence tools like Decision Support Systems (DSS), Executive Information System (EIS), Reporting, Data Mining and Early Warning Systems (Robots) for enabling people to make better decisions and thus improve their business processes. As these ERP systems are integrated, all data are available to all personnel throughout the organization at any time (Aidan O’ Mahony, John Doran 2008)These software packages can be customized to cater for the specific needs of an organization (Esteves and Pastor, 2001; Granlund and Malmi, 2002). ERP systems have become the system of choice for the majority of companies. These systems have changed the way accounting information is processed, evaluated and reported throughout the business. ERP systems are comprehensive systems as they operate throughout the entire company maintaining large amounts of data. They are also modular systems which are based on a client/server technology. Data are stored in a single database, whicheliminates the need to update data in several different subsystems (Davenport, 1998; Rosemann, 1999). By providing universal, real-time access to operating and financial data, the systems allow companies to streamline their management structures, creating flatter, more flexible, and more democratic organizations (Davenport, 1998; Ross, 2000; Jackling and Spraakman, 2006).

The Institute of Certified Management Accountants (ICMA, Australia) describes the management accountant as someone who applies his or her professional knowledge and skill in the preparation and presentation of financial and other decision oriented information in such a way as to assist management in the formulation of policies and in the planning and control of the operation.  The changes which are affecting the core role of the management accountant are in large part due to the popularity of ERP systems such as SAP and Baan, particularly in large companies (Foote, 2006; Jackling and Spraakman, 2006; Bae et al. 2004; Booth et al.  2000; Burns et al., 1999; Davenport 1998).

In this new environment the management accountant must acquire a broad knowledge of the business, and add value to the organization by bringing financial expertise to the management process and participating as team players. The management accountant must now move into the spotlight and become an integral part of the management team by using a broader range of skills, utilizing both financial and non-financial indicators; taking decision-making roles in cross functional teams; and integrating operational and strategic control. The management accountant must broaden the nature of their role and become a strategic manager (Collins, 2000; Murphy, 2004; Parker, 2002; Pierce, 2001).

 

7. Benefits of ERP

The main benefits of using ERP systems identified could be summarized as follows

The benefits accruing to any business enterprise on account of implementing are unlimited. According to the companies like NIKE, DHL, Tektronix, Fujitsu, Millipore, Sun Microsystems, following are some of the benefits they achieved by implementing ERP packages:

Gives Accounts Payable personnel increased control of invoicing and payment processing and thereby boosting their productivity and eliminating their reliance on computer personnel for these operations. Reduce paper documents by providing on-line formats for quickly entering and retrieving information. Improves timeliness of information by permitting, posting daily instead of monthly. Greater accuracy of information with detailed content, better presentation, fully satisfactory for the Auditors. Improved Cost Control. Faster response and follow up on customers. More efficient cash collection, say, material reduction in delay in payments by customers. Better monitoring and quicker resolution of queries. Enables quick response to change in business operations and market conditions. Helps to achieve competitive advantage by improving its business process. Improves supply-demand linkage with remote locations and branches in different countries.

Provides a unified customer database usable by all applications. Improves International operations by supporting a variety of tax structures, invoicing schemes, multiple currencies, multiple period accounting and languages. Improves information access and management throughout the enterprise.

Provides solution for problems like Y2K and Single Monitory Unit (SMU) or Euro Currency.

 

8. Change in the Role of the Management Accountant

The suggestions in the literature that the role of the management accountant has changed and that one of the main reasons is the implementation of ERP systems is supported by the interviewees (Aidan O’ Mahony, John Doran 2008). This is in line with similar literature where research shows that ERP systems have only a limited impact on management accounting practices (Fahy and Lynch, 1999; Granlund and Malmi, 2002; Scapens and Jazayeri, 2003). However there are conflicting views as some literature state that the adoption of an ERP system can bring around a redefinition in the tasks and responsibilities of the management accountant (Brazil and Li, 2005; Carruth, 2004;

Gabriels, 2002). It is clear that ERP is influencing the management accountant and is a valuable tool which assists the management accountant in fulfilling their core activities. However the core responsibilities remain and there is still a high priority to provide the financials on a monthly basis. The extent to which the new system has had an impact on the role of management accountants was assessed by several.

Changes in time spent on data collection – All firms agreed that the management accountants spent

significantly less time on data collection following the implementation of the ERP system irrespective of whether the implementation was a success or not. There was also an indication that the type of data collected had changed.  For example, company E indicated that the manual accruals had decreased considerably since implementation of the ERP system.

Changes in time spent on data analysis – Most companies agreed that management accountants are spending a lot more time on data analysis. This was particularly the case for the more successful implementations. Management accountants: a profession dramatically changed by ERP systems.

Changes in involvement in business decision-making – All companies agreed that management accountants were more involved in business decision-making following the implementation of the ERP system. This also varied with the relative success of the ERP implementation, with the changed involvement in business decision-making being scored highly for the most successful implementations. Case studies in literature review showed that the extent to which the new system has had an impact on the role of management accountants was assessed by several criteria:

Changes in focus on internal reporting – The focus of the management accountants on internal reporting (for example performance measures and control issues) increased most companies.

Changes in focus on external environment – The focus of the management accountants on the external environment (for example benchmarking) had increased where it was applicable to the company. This change in focus was not related to the success or otherwise of the ERP system implementation.

Changes in focus from historic to forward looking analysis – In all the organizations that had a successful implementation, the management accountants are involved in significantly more forward looking analyses.  This is most likely a result of the capability of the ERP systems to generate virtually any desired historical-based report. As such, there is limited need for the management accountants to perform this type of task. The management accountants are spending much more time and effort on business planning.

Changes in focus from domain specific to cross-functional analysis – The implementation of ERP systems is viewed as a prerequisite for cross- functional analysis for most of these organizations.  In virtually every instance, prior to the implementation of the ERP system, the data wasn’t available to undertake cross-functional analysis.  Now that the data is available, the management accountants are able to be involved in cross-functional analysis.

Changes in use of time resulting from elimination of routine report generation – Since routine report generation was previously the responsibility of the management accountants, they now have more time available to complete other tasks.  In most organizations, this time has resulted in a change in how the management accountants approach their job, and in how the management accountants are perceived by others in the organization.  In some settings, the management accountant is becoming more of a business partner to senior management.

Changes required in the management accountant’s communication skills – Management accountants need to be technically competent, and must be able to communicate those technicalities.  While communication was always important, the study found that the need for improved communication skills has expanded because of the way management accountants are now involved in discussions with the business management team.  In order to be business partners, management accountants must provide insight and present the information at the time that the manager needs that information.   Changes in the formal and informal communication structure resulting from the ERP system – No link was found between the implementation of the ERP system and the changes in the formal and informal communication structure.  The ERP system, by its very nature, results in significant centralization of data.  This is often associated with a more formal communication structure.  The existing organizational structure and culture seems to have a greater impact on the communication structure than does the ERP system.

Changes in the management accountant’s satisfaction resulting from the ERP system – The ERP systems implementation generally resulted in increased job satisfaction for the management accountants.  Job satisfaction needs to be examined over a period of time, rather than at a specific point in time.  If asked immediately after the ERP system was implemented, most management accountants would be very frustrated with the software, the hours, the task, and many other aspects.

The management accountants’ contribution to the ERP system success – In a number of organizations, the management accountants played a critical role in the implementation and success of the ERP system.  The more active the role played by the management accountants, the higher the level of perceived success for the ERP implementation.  This was consistent across all organizations visited.  If the management accountants were actively involved in the ERP implementation from the beginning, and acted as a change agent, the system was a success.

 

3. Recommendations for management accountants in an ERP environment

The participants in this research were very consistent with their perception of the skills needed by management accountants in ERP environments.  All of the interviewees started from the perspective that the management accountant has both appropriate and adequate accounting training.  Some believed that a formal accounting qualification was very desirable as a way to signal that a management accountant possesses the requisite skills.  Almost every participant identified the need for good communication and interpersonal skills.  Analytical skills and the ability to focus on objectives and prioritise work (work management) were also deemed important.

The increased importance in understanding the business was also emphasized, as was the need to have ‘entrepreneurial salesman skills.’  That is, the management accountants need to be able to communicate with the management team and synthesize and explain the results (the impact of the financial data) in a way that can be easily understood.  Management accountants need to take on a partnership role with the managers.  This will sometimes result in the management accountants supporting major decisions by influencing managers onto the right area through a thoughtful and reasoned explanation of what the information means.  Along with these skills, other non-traditional skills were identified.  These included being an educator as the management accountants must be able to explain how the numbers were obtained and what they mean, and they might also be asked to explain how the system generates those numbers.  Patience was also identified as needed since the ERP packages are very difficult to use when they are first implemented.

 

10. Findings

. The findings of this study indicate that when management accountants are involved in the implementation of an ERP system there is an increased likelihood of success. The task is not easy and there was much frustration in the implementation process. However, in the successful implementations, data quality increases, there is more timely access to information, and decision-making is improved. Furthermore, a successful ERP implementation results in significant changes in the tasks of the management accountants. The management accountants become more closely involved in business decision-making and perform other value adding tasks rather than the mundane reporting tasks that are now performed automatically using the ERP.

 

11. Conclusion

In conclusion the findings suggest that the ERP system has had a positive effect on the role of the management accountant, however the rise of these ERP systems has not changed the ultimate responsibility of accountants which is the end of month figures. The ERP integrates operation processes and information flows in the company to synergize the resources of an organization namely men, material, money and machine through information.  ERP effortlessly communicates information across various departments and improves efficiency, performance and productivity levels.

12. Limitations

There were also a number of limitations of the ERP systems currently used. These include not getting the full capability of the ERP system and the manipulation of information that is needed to generate a final set of accounts. One of the most interesting findings highlighted in the study relates to the problems that can arise where an ERP system becomes too customized towards a company’s needs. This is partly due to the fact that an ERP vendor may not support an over-customized system. It is well documented that there has been a shift in the role of the management accountant. ERP is one of the major contributors to the change in the role of the management accountant. Accounting personnel feel that ERP allows them to expand their roles and instead of producing figures allows time for further analysis and value adding activities in areas such as cost control. An interesting finding in this study is in relation to the idea of non-management accountants becoming accountants. Prior to the introduction of ERP systems accounting was exclusively completed by personnel in the finance area. The introduction of ERP systems has allowed tasks such as reporting and journal bookings to be completed by non management accountants. But despite this, core accounting activities related to finalizing accountants are still completed by the finance personnel. From these findings the authors would argue that ERP is having a positive effect on management accountants. Although there are negatives the overall view is that the positives of ERP far outweigh the negatives.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Why Companies Are Adopting Enterprise Asset Management System

As the global economy keeps throwing new challenges at companies that are dependent on the proper performance of their assets, some companies are opting for new and improved Enterprise Asset Management Systems to ensure lower cost of operations. Enterprise asset management (EAM) refers to the optimal use of the physical assets owned by an organization. It includes the designing, construction, operation, maintenance, and replacement of equipment and facilities. The word ‘enterprise’ is used to signify that the system embraces the management of assets that used by various departments in various locations. In some cases, the system embraces numerous business units.

 

Companies that are in industries like healthcare, in which the uninterrupted use of infrastructure, equipment, and buildings is of prime importance and disruptions are very expensive, are opting for newer models of utilizing these. They need to find out things like whether it would be more profitable to replace, overhaul, or maintain a utility that is not performing as required.

 

The primary aim of an Enterprise Asset Management System is to enhance the return on assets (ROA) by reducing capital costs and enhancing the performance of equipment. Organization are switching from the historical reactive model and adopting practices like life cycle costing, whole life planning, and proactive and planned maintenance to reduce costs of operations.

 

An Enterprise Asset Management System provides the framework for decision making with regard to labor and capital allocation so that organizations can prepare for expenditure in the short and long-term. The main advantage of such a model of management of utilities is that it provides a holistic view the asset base of a company. This makes it easier for the managers to optimize operations.

 

These days, more and more companies are opting for Enterprise Asset Management System software because these are far more efficient compared to the traditional methods.

 

Typically a system includes components like work order management and inventory control systems. If the software is fed the relevant details, it provides assistance with reserving material, assigning material, and scheduling jobs. The inventory control function of some systems provides alerts when new materials have to be purchased. It also facilitates the proper use and storage of tools, spare parts, and other materials.

 

This type of software has become very popular because they enable managers to take important decisions on the basis of updated and processed data that they make available on a regular basis.

Find More Enterprise Asset Management Articles

Ease The Confusion With Computer Maintenance Management Software

Does your maintenance department have a hard time trying to keep track of all of the necessary repairs and preventative maintenance procedures that must be performed in order to keep your business running as smoothly as possible?  If so, then you need to check out incorporating computer maintenance management software into their daily routine.

This software is designed to help the maintenance department keep track of all the vital information that they need in order to decrease the down time of machines that break down and the possibility of having to wait on parts.  This software will let them know that scheduled maintenance for a particular machine is just around the corner, it will let them know what parts they will need for the maintenance procedure, when it should be performed in order to be the most beneficial for the company as a whole.

Scheduled downtime versus unplanned downtime means that the required maintenance can be performed quickly, efficiently, and without decreasing production or your bottom line.  Computer maintenance management software has the ability to help make this a reality in your business.  Schedule downtime around the least busy shift to where it doesn’t affect the company negatively.  Doesn’t that sound great?

There are many more benefits to incorporating computer maintenance management software into your maintenance department.  To learn more about this software, make sure that you contact a customer service representative of a company that specializes in this type of software to answer any of the questions that you may have and to learn just how this amazing software can affect your business and help you to increase your profits.  Plus, do not forget about the fact that it will help to make the daily routine of your maintenance workers easier while helping them to stay more organized in every aspect.

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Relgolook – Productivity Enhancement Solution For Effective Email Management

  

Instant and effective communication has become the order of the day for any individual or a business entity.  In the present scenario, the complexity of communication at all levels of hierarchy need not be overlooked, with emphasis being more on prioritizing, archiving and retrieving mails in a jiff, rather than spending hours together in cumbersome email tasks.  While MS-Outlook serves as excellent email management software for your busy needs, it may however pose certain limitations in effective email management. Some of the problems you might end up could be cluttered Inbox, losing track of your contacts, junk mails in your Inbox and so on. In order to enhance the efficiency of Outlook to make your communication hassle free, overcoming the above problems, Relgolook is the right solution, specially designed to enhance your productivity manifold. It is a Microsoft Outlook Add on, which works easily with Outlook 2003 and Outlook 2007 and is quite flexible and user friendly in addressing all your communication needs.

 

  

 

A product designed by Relgo Networks; it is an efficient personal information organization and archival tool integrated into Microsoft Outlook, aimed to enrich and enhance your email experience to a new plane. With a host of user friendly features, it enhances your productivity by smartly grouping and organizing email relationships & information, while being equally effective in integrated archiving and restoring of groups, emails and documents. All this translates into a highly productive, efficient and an organized work environment, saving lot of time and resources.

 

 

  

Relgo products and services cater to individuals, service providers, businesses and corporations. Our products are commercial off-the-shelf web based software solutions and custom connected solutions. The concept “Next Generation Connected Solutions” (NGCS), comes from utilizing the connected infrastructure of people and entities to derive optimum efficiency. The solutions we offer are intuitive, cost effective and enhance quality of corporate governance and operations.

 

Relgolook helps in setting up relationship to email contact once, so that emails and information gets organized. Synchronize hierarchy from GAL and view email, so that information gets organized automatically for your team members, direct reports, peers and managers. Mails are automatically synchronized and organized for you. Extract unique contacts from Inbox, Archives, Contacts and GAL Sort the extracted contacts in alphabetical order or on collaboration strength Archive contact & relationship information, documents and history Export/Import contacts for exchanging with your peers Import archives View your project team’s email history View your mails from direct reports, managers, peers and so on in a group. Combine with rules wizard and segregate elegantly. Extract and set relationships to unique email contacts from Inbox, Archives, Address books and Global Address List (GAL). Extract reporting hierarchy from GAL and organize emails. Create groups based on relationship types Tag Recipients based on email groups and projects Organize Group, relation and individual emails and documents View E-mail and Document history of Groups, Relation types and Relation Search people and relationships from Relgolook or Web using check names and Relgolook search Upload relationships to Web based Relgo network Import relationship hierarchy for Peer to Peer exchange Export relationship hierarchy for Peer to Peer exchange Archive email and related documents for group, relation type and relations Incrementally archive emails and documents to existing archive.

  

We hope you got a brief overview of our product, its vital features and the value addition it brings to your business proposition. In the present scenario, one needs to be highly proactive in addressing vital communication issues which cannot be undermined. Thus, issues governing email organization & relationships, archival history and other factors become pertinent for any organization to introspect and review, without deviating from other crucial management tasks. Thus, it is expected that Relgolook would strike the right chord in the business circles and would become an indispensable product in the coming days.

A GMail-specific, simple, efficient way to manage email using action labels and archive labels. From the folks at www.funwithbutter.com.
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