A recent survey from the American Institute of CPAs and Chartered Institute of Management Accountants suggests that more emphasis should be placed on measuring the value of non-financial assets, such as people, in accounting firms. People-orientated results have become just as important as financial assets at indicating a company’s overall performance. For example, British business is now shown to be losing £19bn a year through the bad management and micromanagement of people.
Micromanagement happens when there is a lack of insight into key business data – this can also lead to slow and inefficient decision making. To help with this, business intelligence (BI) can provide transparency into key data meaning that ‘one version of the truth’ is available company wide. With this information to hand senior managers will be able to make quick, important decisions without having to micromanage.
Every role, from those micromanaging to those being micromanaged would benefit from ‘one version of the truth’ and the tools to work and report more efficiently.