Accounts receivable is one of the most challenging parts of any company. It is a sector where essential payments flow in and out on a regular basis. The needs of this department must be balanced with the needs of employees that are demanding more and more from their employers in the form of time off.
Accounts receivable is different from other parts of a company in that this department has many operations that are time-sensitive. Not filing a check or sending an invoice in the proper time window could lead to massive fines or lost payments. Therefore, companies in Calgary Alberta need to change their approach to time off when it comes to this sector in order to succeed in the future.
Some of the time off strategies that a company can take are reasonable and basic. They involve challenging assumptions that companies have about the traditional ways of doing business. Quarterly limits are helpful for controlling time off problems that even the most successful companies may have. Most companies have a system that works on an annual or start-date basis. They give an employee all of their paid time off on a particular date for the entire year.
A quarterly system may work better for a high-demand field such as the oil industry. Restarting the amount of time off at the quarterly mark can ensure that individuals only use a certain amount of time off per quarter without reducing their overall paid time off available. The quarterly time limits may also involve quarters that are weighted differently. A company may give more time off during slow months and less time off during the busiest stretches. A quarterly system makes this process much easier. It reduces the need for a company to make year-long commitments about how much they will need certain employees.
Companies have to be flexible in the ways that they draw up and design contracts. They may believe that they have to meet industry standards for paid time off and have those standards dominate their own approaches to vacations and sick leave. However, these practices are not set in stone. In order to compete, a company may choose to negotiate a contract that gives them more money in exchange for less time off. Companies may also allow employees to choose to work more or less per week to meet the needs of their employees. Such constraints could be devised so that they make both the company and the employee as happy as possible.
Alternative Approaches to Paid Time Off
Comp time and extra payments for time off reflect a flexible approach to paid time off. An individual can reduce simple days off and exchange them for payment or time off in more opportune situations. In many instances, the flexibility is what employees crave. They want the opportunity but not the obligation to work extra days or work many days in a row for more pay. In many instances, setting up alternative systems that are voluntary will bring in numerous employees while still keeping employee morale high.
Temp Agencies for Time-Sensitive Material
Many materials are time-sensitive and do not change as a result of time off. Time-sensitive duties often have to be handed off to other employees as yet another aspect of their work duties. But temp agencies allow for individuals who are only brought in to work for a company for a few days or weeks at a time. These agencies can help bridge the gap during extended time off for accounts receivable personnel.
Maximums and Minimums
Companies often have problems of extremes when dealing with time off. Some employees take off too much time and are unable to adequately complete work projects. They take time off without notifying their managers and often have little work continuity as a result. Other employees make the mistake of not taking enough time off. They work so hard and for so long that they become unproductive. A minimum amount of time off, with considerable penalties for not following rules, needs to be put into place for these employees.
Accounts Receivable Financing Systems
Accounts receivable financing systems can work in the background for employees who are taking time off. They may do a considerable amount of work that needs only to be quickly reviewed by a supervisor. This process helps to cut down on the time that other employees need to expend when an employee responsible is on leave. The accounts receivable financing system may be programmed to do the most basic account processing to keep the sector afloat.
All of these efforts can create a headache for the men and women charged with implementing them. Every employee must be catered to in a particular way and with a particular set of rules. Flexibility for employees means more and more work for the people who handle accounts receivable. Many of these employees simply may not be able to keep up. As a result, companies should look toward outsourcing these tasks to other companies such as Capital Now.
Accounts receivable can be handled by outside companies on a partial or full basis. Capital Now will process checks and keep track of all money coming into and going out of an accounts receivable department. The company can be trusted not to have to worry about employees taking time off. It may be central to ensuring that a company is able to specifically focus on their business and not worry about other potential headaches.
Accounts receivable will continue to grow more difficult as the years go by. Companies will have to deal with more pressures surrounding their books and their employees’ time off needs. They will have to remain flexible in order to retain talent in Calgary Alberta and elsewhere. Companies can certainly spend more and more of their hard-earned money adapting to these new parameters and attempting to change with the times. An alternative is to send these tasks to a company such as Capital Now and let another contractor do all of this difficult work instead.
Also published on Medium.