15 accounting errors that lead to losses

Do not make mistakes! 15 recommendations from Torgsoft on how to keep records correctly https://t.co/nBuFN6pJ2e pic.twitter.com/xqVUQv7feI

— Torgsoft (@torgsoft) October 20, 2021

Everyone who sells business software promises their customers solutions to their problems, profit growth, cost reduction, process optimization, and other benefits.

But can the program solve all business problems?

If you look at the definition of business automation, it is the storage and processing of a company's business processes. Humans are an integral part of automation, as they enter data into the system, manage and make changes.

Errors in accounting policies, ill-conceived business processes, incorrect distribution of responsibilities and job descriptions entered into the accounting system lead to serious financial losses for the store.

It is not uncommon for a business owner to buy an accounting program and leave all management to the system. However, Torgsoft, like any software, is a tool that helps the owner to manage the store, relieves him of some routine tasks and effectively allocates time and resources.

Torgsoft allows or prohibits actions, warns, prompts, and records them with the help of a flexible system of settings, but unfortunately, it cannot automatically correct errors and catch fraud.
Over the years, we have compiled a list of mistakes that entrepreneurs make when installing an accounting system.

Mistake #1: Employee access to all program functions

Only the owner should have full access without restrictions.
Restrictions are to protect data from unauthorized actions and control employees in the program.

The owner can save and download the database, get direct access to the database, return goods without restrictions, delete statistics, see the analysis of trading results and financial documents. These functions cannot be given to everyone, and their use must be strictly regulated.
If you still need to give broad powers to an employee or co-owner, the right solution is to create a separate account and manually open access to the necessary menu items and actions.

Where to configure: Settings → Role settings.
After creating a role, you need to assign it to an employee in the Settings → Users → Edit → select Role from the list.
Do not use the No role restrictions option for employees.

Mistake #2: default password or simple password

After installing the program, you need to change the default password. Change passwords if you suspect that someone might know them.
It is worth noting that the password for each program, service, account must be unique - do not use the same password for all resources.

Where to set up: Settings → Users → Change → Change password.

Mistake #3: one account for all employees

Each employee should have a personal account.
This is necessary so that Torgsoft, and subsequently the business owner, clearly knows who performs what actions in the program.

If everyone works under the same account, i.e. logs into the program with the same login and password, it will be impossible to figure out who made a mistake or illegal actions and when, since the same user will always be in the action log and in the documents.

Where to set up: Settings → Users → Add - this action creates a new user.
Settings → Employees → Add an employee and assign them a login name in the card - this action links the employee to the user.

Mistake #4: an employee is allowed more than necessary

Role restrictions should be consistent with job descriptions. For each employee, open only those actions that they regularly perform as part of their job responsibilities. It is dangerous to open program functions "just in case" because it gives the employee constant access to information that will be unnecessary.

Where to configure: Settings → Role settings → Resources

Mistake #5: permanent access for a one-time action

Open new functions as needed, that is, only if the employee works with the mode in Torgsoft not for the first time and in the future he or she will regularly work with this mode in the accounting program.

Where to configure: Settings → Role settings → Resources

Mistake #6: ignoring program notifications

Read the warnings of the accounting program. In the course of work, Torgsoft may report nuances or errors. If an employee sees a message from the program and does not understand the content of the message, he or she should immediately notify the business owner or, if necessary, technical support of Torgsoft.

For example, if you ignore the system's warnings about problems with data transmission to the fiscal registrar or software ECR, this may result in penalties from the fiscal service.

Mistake #7: selective accounting

The information in the program is a real documentation of what is happening in the business.

All actions should be recorded in the program. If money is transferred between several employees during collection, this should be taken into account in the program. Recording each action will allow you to restore the picture of events even after several months or years, and will help identify errors, inaccuracies, and fraud.

The other extreme is incomplete information. If you do not initially pay attention to a correctly filled out product card, this will affect the scaling of your business - it will be difficult to quickly upload goods to your online store. The correct formation of the product type tree is the basis of the commodity accounting system, on which not only the correct analysis of trade results is built, but also the correct structure of the image of goods in the online store.

Mistake #8: not understanding the real state of affairs

A business owner should know and understand all the company's business processes. In this case, he or she can assess the quality of staff work, efficiency and effectiveness of actions.

If the number of sales has decreased, is it because the new manager doesn't call customers back after they place an order? Or maybe it's because the seller doesn't follow the terms of the loyalty system and doesn't give out discount cards to customers? Or maybe the seller just closes the store early? In this case, you should control the arrival and departure of employees.

If you set up rules and a clear procedure for their implementation, you can control the results in Torgsoft.

Mistake #9: "the program is managed by my administrator"

Torgsoft is an intuitive program. The essence of working with the accounting system is that the user enters input data - sales, returns, write-offs, rejects, rejects, results of re-calculation, and the program interprets this data and provides ready-made information for management decisions.

It is important for the owner to know the principles of the program, to have an idea of why employees perform certain actions, to understand the general structure of business processes for each position, to navigate the correctness of employees' actions in the program, and to track down errors or misconduct.

An administrator or senior salesperson shouldn't be entrusted with business management.

Mistake #10: a lot of unnecessary actions

Every business process in the store should be thought out and simplified. Performing unnecessary actions leads to mistakes and irrational use of time. Common mistakes:

Mistake #11: open periods

Close access to past periods. Information about the results of trading in previous months should be protected from intentional or accidental editing. Each document of the goods movement should be closed after verification, and after the end of the calendar period, block the editing of information.

Where to set up: Analysis → Period → Status change → Close period

Mistake #12: lack of control

Mutual control and verification at all stages.

Employees should check each other. If one employee creates a transfer note, the receiving employee must check and confirm that the data entered is correct.
If several employees are involved in a business process, each is responsible for the accuracy of the information in the program.

A business owner should plan control points - analysis of trade results, promotions, settlements with suppliers - who owes what and to whom, checking the margin on goods, documents for removing goods from sale, and collection.

Mistake #13: Doing manually what is automated

Maximum automation and minimum decisions at the employee's discretion. The human factor will always be the main source of problems and errors in accounting. If it is possible to transfer decision-making to an accounting program, it is worth doing so.

For example, the system identifies a product or customer by barcode, so you shouldn't allow the salesperson to use a manual search by name if you don't have to.

Mistake #14: accounting for clutter

Chaos cannot be automated. If the business processes in the store lack logic, structure, and order, then the accounting program will not help to solve them only by its presence.

Failure to enter documents in a timely manner, changing information retroactively without necessity, and adjusting data for no reason will make the mess worse. Do the opposite: enter documents as soon as they appear, and prohibit retroactive data editing.
Conduct regular inventories and do not "adjust" its results. Otherwise, there is no point in accounting and the program will become a battery of accumulated chaos.

Mistake #15: Inventing solutions that have already been implemented

Each setting in Torgsoft is an experience, the result of solving problems and difficult situations of thousands of entrepreneurs. It is the right of the business owner to use or not to use restrictions. But you should understand that restrictions are not created to complicate the life of an entrepreneur, but to prevent problems.

Automation is a tool for increasing productivity, improving the quality of services and products, and the efficiency of business management processes.
Trade automation requires a comprehensive and systematic approach to controlling business processes in a store.