Knowledge 3 | Business Fundamentals Flashcards
Financial Processes relevant to Administrators
Purpose of Payroll
o creating pay statements
o making salary payments/deductions
o processing employee business expenses
o calculating national insurance contributions
o calculating pension contributions
Purpose of Accounting
o Recording transactions (sales, costs)
o Monitoring activity (spending, cash flow)
o Auditing (checking financial statements are accurate)
Purpose of Managing budgets
o Identifying priorities
o Negotiating/agreeing financial resources
o Recording of income/expenditure
o Monitoring income/expenditure against planned activity
o Taking corrective actions
Documentation required for financial processes
o income statement (profit and loss)
o balance sheet
o purchase orders
o delivery notes
o invoices
o receipts
o statements of accounts
Impact of following financial processes effectively on administrator role
Gives confidence in procedures (payroll, pension, security of personal information)
Impact of following Financial Processes effectively on the Organisation
o Ability to forecast finances/take appropriate action
o Allows for accurate planning resources (finances, time, employees)
o Ensures compliance with relevant regulations (retention, security, confidentiality)
Types of change
o step change (Big change)
o incremental change (Smaller changes)
o planned change
o unplanned change
Effective Leadership for Managing Change includes …
Provides a positive/professional environment to ensure success
Establishes direction
Drives processes forward
Engages/empowers employees to reduce absenteeism
Ensures timely completion of tasks to budget
Enables quality requirements to be met
Justifications for Change
It could be …
Organisational Restructure
Process change
Policy change
Technology change
Assessing the business risks associated with change/ Resistance to change from employees reasons are…
Reluctance to accept new procedures
Lack of faith in process
Personal preference
Lack of knowledge
Fear of losing job
Disruption to the operation of the business
To Implement Change you should …
Involve/engage people in the change
Process frequent and open communication about the change
Provide support and training to prepare people for change
Principles of Managing Change
o contingency planning: identify where risks/problems could occur then plan for predictable events (lack of time, finances, employees) bringing plans forward.
o regularly evaluate/assess effectiveness (comparing plans with outcomes, formal/informal feedback)
o adapt implementation of the change based on continuous review
Impact of effective change management
on administrator role
Identifies need for training (practices, processes, procedures, equipment/technology)
Provides opportunities for promotion.
Impact of effective change management on the organisation
o increases competitiveness
o more effective/efficient performance
o ensures compliance with legislation/regulations
o more likely to retain employees.
Stages in Project Life Cycle
Initiation, Planning, Execution, Closure/evaluation
Initiation includes …
o defines (aims, objectives, scope, resources, roles, timescales, communication lines)
o establishing timelines/deadlines
o undertaking feasibility study
o propose project/business case
