Bank
balance in all accounts must be checked & tallied daily with the cheques
issued / received and the Passbooks.
All
entries in Software package “TELLY” must be backlog at the end of the day.
“
Imprest” account book should be up-to-date. Only Person authorized by Nirmit
should be able to operate imprest a/c. In each individual’s case, upper/max
limit must be specified and a/c must not be replenished without first clearing
old earlier withdrawals by submission of Proper Vouchers/ bills.
Electricity
Bills/ Water Bills/ Phone Bills/ Society Bills etc.
These must be paid before the due
to appropriates authorities & whenever possible recipients’ signature be
obtained on the counterfoil. For each of these Payment a running- Record
(moth-wise) must be maintained on Computer so we know at a glance, when exactly
each month’s payment was made along with bill no/ Bill amt/ Cheque no. Etc.
DAILY
OUTSTANDING FOLLW – UP
One,
very important daily activity shall be the follow-up of our Clients and
collection of all outstanding payments. This has to be done/ Carried- out
Vigorously (but quite politely although persuasively)
As
soon as
An
invoice is released
A
payment cheque is received, it should get posted on computer & the software
must instantaneously “rework/ recast” the.
COUSTOMER
OUTSTANDINGS STATEMENT
In
Chronological
order and
Descending
order of Amount wise.
This
Statement (Auto generated) should have following details:
Customer
Name/ Ph/ Fax/ Email
Contact
Person Name/ Design / Ph. No.
Assignment
/ Customer order no. & Date
Position
Filled Person Appointed
Invoice
No/ Date/ Amount (Less Adv.) & Net Payable
Date
due / No. of days overdue
Details
of past promises made etc.
DAILY
OUTSTANDING FOLLOW-UP
If a
Particular Client owes us amount against several assignments (Several
Invoices), the software should be capable of outo- generating client-wise
outstanding statements (in descending order of value) which, accounts officer,
should send out attaching a STANDARD covering- letter
By
Email
Snail
mail ( Print – outs)
Depending
upon the last time / date on which such to a given Customer, the Accounts officer,
will decide when to send-out the next Statement.
Software
must Keep Track of
All
past statements sent to a client (date wise)
All
Phone- calls Made (Date wise) & “Promised” Date.
On
the “Promised” date, a screen should automatically, POP-UP as a reminder to
Accounts officer to follow-up
Clicking
on Client Name Should concept Accounts officer to Client.
OUTSOURCING
OF ACCOUNTS- FINANCE & RELATED FUNCTION
DAILY ACTIVITIES
Preparation/
entry of all expenses Vouchers
Preparation/
entry of all cheques
Cheques
should be made as per credit terms agreed- upon by suppliers.
No
post- dated cheques must be issued without prior ok from Nirmit.
All
inward (receipts) cheques must be deposited in Bank A/c on the same day.
All
cheque-looked must be kept under look & key. Same for pass-book,
Pay-in-slip and all accounts/ Finance related documents.
No
cheque payment must be made without a purchase order (PO0 (Whether typed a emailed).
There
must be a PO for goods or Services, for which separate PO numbering serial
should be developed.
No
Payment should be made (Whether by cheque or by cash) unless relevant “GOOD/
SERVICE RECEIPT NOTE” is duly signed (for receipt) by the person who has
received it.
MONTHLY
Preparation
of rolling (next 3 months) Cash Inflow/ Cash outflow statements based on
“NEXT
3 MONTHS FORECAST “STATEMENT
Each
consultant must fill-in figures relevant to his/ her activity ONLINE (on our
intranet).
By
adding –up each individual Consultant “Forecast”’ a consolidated COMPANY-WIDE Statement
could be prepared to forward out if our cash flow position would be
satisfactory
It
would permit us to deploy surplus cash (in instruments such as short-term FD
etc.) and earn interest.
These
“forecasts” must not be confused with monthly/ quarterly/annual “Budgets/Targets”
Monthly
“Performance Companions” (Budget vs. Actual & variances) shall be only with
respect to BUDGETS & TARGETS & not with respect to these “rolling”
forecast , which are made, strictly for one purpose viz. to figure out
CASH-FLOWS & MANAGE/ RQUIDITY/ Payment issues.
Such
detailed, individual Consultant wise BUDGET/ TARGETS must be “published” on our
Intranet in a transparent manner (for everybody to see at any time). This must
be done at the beginning of the year as also when each new consultant joins.
Ideally,
the appointment letter issued to each Consultant should contain his/ her
“Performance Targets” and the “Incentive scheme” applicable to him/ her.
In
case, the incentives- payment is jointly applicable to a “group”/ “team’ of
consultant, such group budget/ target must be specified in the appointment
letter.
Monthly
“Variance” statements (for the whole company as well as for each individual
consultant) must be posted on corporate intranet for everybody to see. Such
transparency boosts employee morale since everyone knows that there is no
“adhoc-ism / favoritism”, and that same “rules” apply uniformly to everyone.
With
second quarter coming to an end, we must hurry-up with formulation / framing of
all “budgets/ targets” for 3rd & 4th Qtr and publish
the same by 20/9/2000
MONTHLY ACTIVITIES
Incentive
Payment
We
have just introduced an incentive – Scheme for our Program – Manager, chetan
Shah. This will call for monthly payment of incentives- amount; this should be
studied carefully & implemented. All record (of Performance &
Incentives earned) must be maintained on computer.
Budget
vs. Actual
At
the end of each month “Budget vs. Actual” statements must be prepared (on computer)
for the following:
Expenses Must
be “ Budgeted”
Invoicing/
Billing & Compiled for
each
Outstanding Consultant individually
Order
Booking & for the entire
Order
Backlog Company Totally.
Obviously
this (Comparison / Variance Statement) would require ANNUAL / QUARTERLY /
MONTHLY BUDGETS to be prepared at the beginning of each year, in minute
details. (With all “assumptions” explicitly stated). These will need to be
prepared for each consultant individually.
Salary
Payment / Retainer ship Payments
From
appointment letters/ retainer-ship letters, all salary + perks details must be
entered into relevant software.
Details
of authorized leave (with pay/ without pay) must be entered from the leave-
card on daily basis, so automatically by the software. For this purpose salary/
retainer-ship payments must be linked with “ATTENDANCE” system. Monthly
“Salary- slips” must get automatically printed- out.
I
Suppose “TELLY” has built-in “PAYROLL ACCOUNTING” feature.
Timely
payment of salary/ retainer-ship is an important monthly routine.
All salary payments must be made by cheques
only.
If all employees agree to open personal
accounts in saraswat Bank, it should be possible to effect a CONSLLDATED
payment to the bank rather than issuing individual cheque to employees. This
should be seriously exploved & implemented. It will save a lot of time/
effort & ensure timely crediting of each employee’s accounts.
PERIODIC
ACTIVITIES
These
will comprise:
Timely
renewal of all Insurance Policies
Office
(bldg + equt.) Insurance (fire/ that/ burglary etc.)
Car
Insurance
Mediclaim
(for staff)
Timely
noticed of renewal of all “Contracts”
HW
maintenance
Telephone
maintenance
Pesticide
maintenance
Photocopying
maintenance
Electrician
maintenance
Stationary
Supplies (rate contracts)
Website
Maintenance (?)
Outsourcing
of “ Accounts”
ATS
(Annual Technical Support) for Software’s (e.g. oracle & Database)
Postmasters.
Attendance
Recording System
Fire
Protection Equt. Maintenance
Z-
cop Security
Web-
Server ( digital Nation)
Websites
domain- name renewals
Virtual
Private Networks ( VPN )
ANNUAL ACTIVITIES
P
& L statement / Balance sheet, preparation
Income
tax returns filing
Preparation
of next year’s Annual Budgets/ Targets & release to all
(For
whole company & each individual covered by any incentive- scheme)
STATUTORY
ACTIVITES
Payment
of TDS
Payment
of Professional Tax
Payment
of Income tax ( corporate)
Payment
of Service Tax
Payment
of PF
