Systems HOW TO CREATE SYSTEMS IN YOUR ACCOUNTING FIRM Systemization Systemization within an accounting firm is the cornerstone of operational excellence. It's about creating a structured approach to every aspect of your business (from client onboarding to service delivery), ensuring consistency, reducing errors, and enhancing productivity. This guide delves into why systemization is crucial, highlighting its role in enhancing productivity, ensuring quality control, and facilitating scalability. This structured approach allows for scalable growth, as tasks become predictable and manageable. Systemization also empowers teams, providing clear guidelines and expectations, which in turn improves job satisfaction and client service quality. By embedding systemization into the firm's culture, accountants can focus more on strategic advisory roles, adding greater value to client relationships and driving firm success. How to create systems Here are six simple steps to create systems for your firm. TL;DR, then go to the next section, where I’ve copied a LinkedIn post I recently wrote, and we talk about a tip from Dan Martell. Step 1 - Identify areas that need a system The first step puts a lot of firm (and business) owners off creating systems as it requires time, focus, and thought. However, once this first step has been taken, you will begin to see how you are able to streamline your firm whilst empowering your team to step up and start to take on more responsibility. Go through every aspect of your firm (from operational areas to sales, marketing, admin, onboarding, and client relations) and map out whether there are appropriate systems in place. When listing out your systems for the various areas of your business, give each a score based on how complete the system is at this time. Step 2 - Prioritize Now that you have your list, you may find it overwhelming to know which aspect of your firm to systemize first. Start by thinking about the work you have already done. What is your top goal? What is the biggest challenge in your firm right now? Is revenue per employee too low? Is there massive scope creep, or are you over- engineering the compliance function? It’s likely that your operational systems are the areas that need your attention first and foremost. Prioritize your systems in order of impact on the firm. Systems audit Area of firm In place Score Priority eg Meet & Greet, Accounts production, Onboarding, Letters, Meetings etc eg yes / no 1-10 1-5 Systems audit Area of firm In place Score Priority eg Meet & Greet, Accounts production, Onboarding, Letters, Meetings etc eg yes / no 1-10 1-5 Systems audit Area of firm In place Score Priority eg Meet & Greet, Accounts production, Onboarding, Letters, Meetings etc eg yes / no 1-10 1-5 Step 3 - Break it down and document it In simple terms, document the current process: record how these tasks are currently completed. Analyze for inefficiencies: look for bottlenecks or areas that can be improved. And finally, design the system: create a standardized procedure for these tasks. It’s important to start with the end in mind. Think about the output. What are you looking to achieve? What impact will it make? Consider what you already have in place and the tools that you currently use to establish then any gaps in the process, skills, or knowledge. Each of your systems may have many steps and various types. These may be made up of: Step-by-step processes Instructions Standard letters Scripts Checklists Forms Templates Agendas Workflows Software Videos Consider what can be automated Many tasks can now be automated with the assistance of some fantastic apps and software. Consider your steps, which could be automated and which still need that critical human intervention or delivery. Step 3 - Break it down and document it Ask a member of the team to write the system notes and related processes Asking someone else to create the system is, of course, great for your own time management! However, it can also help with your team's training. For example, you show them how it is done, including all the elements you would put into a system. Then, ask them to write up their notes in a structured manner to suit your other standard operating procedures/operations manual. You then, of course, have the system written up for you, but you also check that person’s understanding and the quality of your training! Step 4 - Do a trial run ut the new procedure into practice. Have a team member follow your system exactly as it is documented, and in doing so, they may identify a few gaps that you hadn’t thought of before. Alter your first draft where necessary and take your second test drive. Repeat this process until you are completely satisfied that all gaps are filled and smoothed over. Step 5 - Train your team Ensure everyone understands and can follow the new system You may feel that the hard graft has been completed, and the system is now finally ready to roll out. However, a poor implementation plan or bad training can waste all that hard work. With training, everyone, from your most experienced to your newest people, should be able to carry out the tasks and deliver the system without you or your intervention at any point. Step 6 - Revisit Monitor and Adjust. Like most aspects of your business planning, don’t simply allocate your system to a dusty shelf after three months. Sure, it is probably a well-engrained habit by then; you or anyone else could follow it blindfolded. But things change, and your system will need to change, too. A final word Systemization of your firm gives empowerment to your team, encouraging them to take responsibility and authority for delivery. It is said that you can then manage your team to their ability to follow a system and use their personality and innovation to improve it.Ask a member of the team to write the system notes and related processes Asking someone else to create the system is, of course, great for your own time management! However, it can also help with your team's training. For example, you show them how it is done, including all the elements you would put into a system. Then, ask them to write up their notes in a structured manner to suit your other standard operating procedures/operations manual. You then, of course, have the system written up for you, but you also check that person’s understanding and the quality of your training! TL;DR Here’s a recent post from LinkedIn, including a great tip from Dan Martell. Compliance is not dead. However, studies show that firms who introduce a repeatable business advisory service triple their profits. Traditional business advisory In the past, traditional business advisory hasn't properly leveraged the right combination of people, processes and technology. It has been heavily reliant on partners or managers to deliver, there isn’t enough time, it's difficult to scale, and only the top 10/20% of clients can typically afford it. Repeatable business advisory Clarity® is the complete business advisory platform that can help you introduce and create a profitable, repeatable and scalable business advisory service for your firm. We help progressive accountants market, sell, price and deliver re-imagined business advisory services at scale. From 90 minutes per week Starting from just 90 mins a week for the first three months, our simple step-by-step implementation plan, coupled with our education systems and member success team, will ensure you generate $37k/£30k/AU$60 GRF, or your money back. Thereafter, we help you build a well-respected and successful transformational accounting firm that earns three times your existing profit with a happier team and clients. Clients love it and ‘get’ it Our multi-award winning solution creates significant value for your small business clients, at a price they’d love to pay. Contact us Why not book a discovery call with one of the team to see what a difference Clarity could make to your firm? www.clarity-hq.com