High accounting costs may signal poor organisation

An analysis of general accounting costs for 915 companies by the American Productivity & Quality Center revealed a stark contrast. The quartile of organisations with the lowest costs were spending just 25% of those with the highest costs per $1,000 of revenue, APQC researcher Mary Driscoll writes for CFO.com. One key difference: Those with relatively high costs relied on manual processing far more often than the most cost-efficient operations. Driscoll suggests that the manual approach is a “self-perpetuating cycle of paper-based processes and poorly designed workflows,” and that the CFO may be the only one who can break it.

Read more on CFO.com >