The Weak Link - Woodard

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The Weak Link

Why Bookkeepers Struggle

with Automation


The Weak Link

Agenda

• Primary Topic: Address a key, under deployed predecessor to bookkeeping automation

• Drill down on accounts payable standardization and automation

• Strategic roadmap to an automated practice


Handouts

The handout for today’s webinar is available after the live event at Woodard.com/Webinars

We will upload the handout no later than 5:00 PM Eastern today.

The handout is available through November 30, 2020.


CPE

• This event qualifies for one hour of CPE

• The field of study is Information Technology

• You will receive your CPE certificate within one-week of the live event

• Your certificate will contain the first and last name you used to register for today’s webinar

• We will deliver the certificate to the email address you used to register for today’s webinar

• You must respond to all three polling questions to qualify for CPE

Note: You Can Evaluate this Webinar Using an Online Evaluation Form. You Can Access this Form When You Leave the Webinar


About the Presenters

Joe Woodard, CEOWoodardTM

Neil RobertsonExecutive Chairman at Compleat


• Three Remote Attendee Options• $95 – Attendee• $295 – Attendee Plus• $795 – Attendee All Access

• Over 100 Unique Breakout Sessions Focusing on…• Technology Deployment• Practice Advancement• Client Transformation

• Keynote Presentations• Receive 60 Days Streaming Access to All Breakout

Sessions• All Access Remote Option• On-Premise Option

• Explore over 40 QB-Integrated Technologies• Network with hundreds of the Nation’s Leading

QuickBooks ProAdvisors

www.ScalingNewHeights.com

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The Weak Link

Poll

About the upcoming Scaling New Heights conference I am…


The Weak Link

What is the Missing Link?

Process Standardization


Benefits of Standardization

• Lower Cost of Employee Onboarding/Turnover → Increased Profit Margins

• Decreased Errors and Omissions → Increased Profit Margins

• Increases in Efficiencies → Increased Profit Margins

• Capitalization of Firm Knowledge → Increased Practice Valuation

• Competitive Advantage/Practice Distinction

• → Stronger Growth Potential

• → Pricing Leverage

• Consistency of Client Experience

• → Coherent Brand

• → Loyalty to Your Practice, Not to a Specific Professional in Your Practice

…Other than the Ability to Automate


Benefits of Automation

• Reduction in Human Workers → Increased Profit Margins

• Decreased Errors and Omissions → Increased Profit Margins

• Increases in Efficiencies → Increased Profit Margins

• Practice Modernization → Increased Practice Valuation

• Competitive Advantage/Practice Distinction

• → Stronger Growth Potential

• → Pricing Leverage

• Enhanced Client Experience

• → Streamlining (and Mobilization) of Client Interactions

• → Enhanced security and fraud prevention

• → Real Time Financial Information → Financial Insights/Advisory


The Weak Link

The Standardized Practice


Qualities of a Standardized Practice

• You Define the Product…Not the Client

• You Define the Process…Not the Client

• You Define the Software…Not the Client

• You Define the Services You Will Deliver…Not the Client

• Each Person in the Firm Adopts the Process Start to Finish

• Each Person in the Firm Can Work the Process with Minimal Help from Management/Ownership

Variation of Process is Enemy #1.


The Path to Standardization

Onboarding

Cyclical Work

Offboarding

Holistic

Stack Compatibility

Real Time FeedsPurchasing

Time

Sales/Service

Collaborative System

Incorporate Tech Workflows

Keep it Simple

Minimize Variances

Replace Team Members Who Won’t Adapt

Expand the Team (Hire and/or Shared Services)

Train Heavily

Over-Manage Adoption

Peer-to-Peer Accountability

Monitor and Measure

Incorporate Team Feedback

Curate Tech

Innovate (e.g. Zapier)

Adopt Workflow Solution

Determine Ideal Client

Begin Software Qualification

Hours ≠ Dollars

Improved Client Experience

Scaled Productions

Team Ownership

Decreased Learning Curve

Visibility

Adaptive Capacity

Scaled Model

Increased Practice Valuation

Consistent Delivery

Service/Brand Distinction

Scaled Efficiencies

Competitive Advantage

Practice Distinction

Thought Leadership

Map Processes Automate Document Recruit Democratize Improve


Elements of a Comprehensive Process

• Client Collaboration Setup and Training

• General Ledger System Setup and Training (If Applicable)• Line in the Sand

• Consultation on any Changes or Expansion in Client Use of the System

• Payroll

• Sales Tax

• Payables Automation Setup and Training → Bookkeeping Engagement Begins

• Data Fetching and Document Parsing Setup and Training*

• Time Tracking Setup and Training

Client Onboarding



• Client Vetting – Soft Vetting Based on Ideal Client Profile and Interview with the Client

• Client Discovery (Hard Vetting. Billable Engagement)

• Pricing: Provide 3 Pricing Levels. For example,

• Comprehensive Bookkeeping with Monthly Financial Statement Delivery

• Comprehensive Bookkeeping with Real Time Financial Information, Cash Flow Monitoring/Projections and Account Receivable Monitoring/Management

• Everything in Level 2 plus financial advisory

• Periodic Meetings

• Real Time Financial Monitoring with Up to 20 Key Metrics

• 5 Key Performance Indicators – Discovery, Monitoring and Interpretation

• Engagement and Orientation

Pre-Bookkeeping



• Setup tasks based on the frequency you perform them.

• Allow for Limited Client-Level Variations of Process and Incorporate into

Your Checklists

• Setup administrative reviews as part of your cyclical work. It is best to

conduct administrative reviews quarterly in year one, semi-annually in

year two and annually for each subsequent year.

• Frequencies include: Daily, Weekly, Bi-Weekly, Semi-Monthly, Monthly,

Bi-Monthly, Quarterly, Semi-Annually, Annually

• Setup Due Dates In Addition to Frequencies. For example, 1099

processing has a frequency of Annual but (for most situations) a Due

Date of January 31.

Cyclical Work



• Select a Specific Date for the Termination that Coincides with a Month End

• If Appropriate, Offer a Billable Transition Service to Another Bookkeeper or to their In-House Team

• Termination Letter*

Client Offboarding

*Note: Include an initialed statement in the termination letter where the client states that all work performed as of the date of termination is complete and accurate. Also, include statements of the client’s intentions around software products you implemented while performing bookkeeping solutions. Warn the client about discontinuing operational solutions where transactions are in process (e.g. payables). Include specifics in the letter about the client’s responsibilities to manage and pay for any solutions they decide to retain.


The Weak Link Process Drill Down

Standardizing AP Workflows


Drill Down: Standardizing AP Workflows

Joe Woodard, CEOWoodardTM

This segment begins with a conversation between Joe Woodard and Neil Robertson.You will see only this slide during this conversational segment.

Neil RobertsonExecutive Chairman at Compleat


The New Normal• Automation drives between 65% - 90% efficiency gains

• Differentiate your offerings

• Deliver more valuable services

• Better serve your client base

• Covid-19 catalysts for change

• Mass adoption of emailed PDF invoices

• Increased buying online

• Disruption of Work From Home

• Client increased focus on

• Cash retention

• Reducing costs / paying less

• Increasing productivity

• Expectation of real time information from any device


InvoiceHeader & LineData Captured

Invoice Register

Invoice Auto Coded

Invoice PO Auto Matched

Invoice Auto submitted with dynamic approvals

Invoice auto-posted to accounting / ERP software

Payment to Vendor

Cost Savings CompleatProcure

Scanned paper supplierinvoice

Emailed PDF supplier invoices Invoice Register

Invoice GL manually coded

Manual workflow selection

Invoice manually Checked for authenticity (Duplicates)

Auto - Nudge Approvers

Simple AP steps

Internal purchase request

Goods received

Purchasing and online buying stepsSophisticated AP automation

Online Buying

Order placed

Workflow approval

Procurement as a Service

Digital invoice capture service

Print Invoice

ManualApproval chasing

ManualPosting

Filing

All Rights Reserved. Compleat Software Ltd. 2019


The Weak Link

Roadmap to Automation


Roadmap to Automation

Light Client Buy-In

• Bank Feeds

• E-Filing of 1099’s

• Mapped Imports

• Integrating Existing Operational Solutions

Light Client Learning Curve

• Sales Tax Outsourcing

• Payroll Outsourcing, etc.

Administrative Client Learning Curve

• AP/AR Automation

• Document Fetching/Parsing, etc.

Org-Wide Client Learning Curve

• Expense Management

• Time Tracking

• Changing Operational Solutions, etc.


Want More?

The IdealBookkeeping Practice

An Intensive, 10-Week Standardization and Automation Workshop

Numerous Sessions at Scaling New Heights Next

Week!

WoodardInstitute.com ScalingNewHeights.com


The Weak Link

Thank You for Attending!

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The Weak Link - Woodard