Chapter 21
Staying on top of your financial reporting

Financial statements and financial reporting practices evolve over time. It’s important that your company avoids sticking blindly with established practices and instead occasionally look outside for improvements.

Encourage your internal accountants to become more valuable to management by challenging them to see reports from the users’ perspectives and to meet the needs of each group. Give them assignments occasionally in other areas of the company so that they gain real experience in other jobs. This will make them more receptive to improving financial reporting.
Allow your accountants to network with their peers through professional associations and by attending continuing professional education courses. Encourage attendance at strategic financial reporting courses, not just technical updates.

Ask external mentors to help. Your company CPA, a CFO from another company or a fellow businessman may have experience solving any problems you may identify. Having someone with experience take your company officers under his wing could pay dividends in improved performance.

Create a culture of asking questions about financial matters. Let it be known that it’s OK to say, “I don’t understand this financial report. Can someone tell me what they’re seeing?” Nine out of 10 managers may not understand financials, but would be afraid to admit it.
Additional resources:

Commercial Carrier Journal magazine
www.ccjmagazine.com

American Trucking Associations
www.trucking.org

American Institute of Certified Public Accountants
www.aicpa.org

Strategic Finance
Leadership Strategies in Accounting, Finance
and Information Management
Official monthly magazine of the Institute of Management Accountants
www.mamag.com, IMA, (800) 638-4427

CFO magazine
Written for chief financial officers.
www.cfonet.com

Financial Decisionmaking:
A CPA / Attorney’s Perspective
by David L. Fraley, PSI Research/The Oasis Press, Central Point, Oregon
www.amazon.com