Introduction: After a commerce degree as a fresh graduate, we are getting several career opportunities in commerce field. Accounting and Book keeping is a very important and major area which we are selecting our career in commerce field. While selecting Accounting field, mostly all persons starting their career as Basic Accountant/Accounts Executive positions only in most of the places. But in this entry level everyone struggling to come out from doubts which arising from the difference between theoretical knowledge to practical accounts handling knowledge. In this Article myself try to discuss how to come out from those struggles and which are the factors need to concentrate and develop to shine in this field as a good Accounts Person. Here I am discussing the factors in three broad categories as follows:
I. General factors
II. Specific job factors
III. Development factors
I. General Factors
1. Understanding the business Structure:
In every business concern Accounts team is a service team to all other departments, whatever process in other departments like Sales, Production, HR, final accounting and finance effect will be in Accounts department. Accounts team is final responsibility for accounts & finance effects in all departments; So Accounts team is a heart of the Business unit. So an accounts person need to understand the business structure/ Organisation structure of working organization. It will help to work us in comfortable position.
2. Understanding the work flow:
Once understood the business/Organisation structure, we required understanding the work or processing flow of the organization, if it is manufacturing company then we need to understand from the production to sale of finished goods, from the input to output where the process flows. In case service sector, we need to understood the service nature and the work flow. It will help us to work in correct direction.
3. Understanding the goals of the organisation:
As an accounts person, very essentially we need to understand the objectives and goals of the organisation. This will help us to work in proper accounting according to the accepted accounting standards with co ordination with the company goals.
4. Understanding the Business transactions:
Basic objective of book keeping is account the financial effect of each and every business transactions in proper way with applicable accounting rules and regulations. So we need to understand the business transactions happening in the organizations.
5. Applicability of statutory Laws, Acts & Rules:
Accounts person need to have knowledge about the applicability of statutory law, acts & rules for the company. It is not only about accounts laws also applicability of all other laws like general law, Labour law, safety law. It is very essential to comply with all acts; otherwise non compliance will lead the penalty and other actions against the company and affect the revenue and profitability of the company.
6. Understanding the own role and responsibilities:
While joining we should understand our role and responsibilities, this is very important to do our work and correlate to the objects and goals of the company and account the transactions and comply with the rules and regulations.
In this first part just I enlisted the general factors further parts we start discussing the specific factors to be considered for becoming good Accounts person.
Thanks & Good Luck
CMA. Ramesh Krishnan