Be Proactive Not Reactive: Preparing for Staffing Disruptions

Nonprofit organizations are facing high staff turnover, staffing shortages and difficulty attracting and retaining qualified employees for their finance departments. The period in which a position is vacant or a new hire is learning their position in the finance department can result in essential daily operations not being performed, delayed financial reporting and an increased risk of fraudulent activity. The finance department should proactively prepare for these operational disruptions.

Do not wait until a problem arises… it may be too late!

It’s too late if:

• Staff leave and nobody knows the operating procedures the staff person followed in performing their daily job functions.
• Internal controls are compromised. This can result in unauthorized or fraudulent activity.
• Monthly financial statements needed for critical decisions are delayed or inaccurate.
• Accounting policies and procedures have not been documented to ensure ongoing, effective management of the finance department.

5 Best Practices For Your Nonprofit

​Be Proactive!

1. Document and evaluate the operating procedures team members follow in performing their daily job functions.
2. Ensure that internal controls, such as separation of duties, are maintained when staff vacancies occur.
3. Implement automated systems that maximize productivity and eliminate time-consuming manual processes.
4. Train staff so they gain a fundamental understanding of their areas of responsibility and advance their professional skills.
5. Create, implement and enforce an Accounting Policies and Procedures Manual.

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Roberta Katz Consulting is working with many nonprofits to implement efficient and effective operating procedures and policies to ensure the ongoing operation of their finance departments. Schedule a complimentary consultation to discuss how I can provide your organization with an impartial evaluation of your finance department.