Management Skills, What Are They?


Management skills:

First of all, let’s review what we mean by management skills. These are skills are universal, and apply not just to physical and mental management, but also to managing yourself as an individual. Number one on this list is communication; being clear and concise with those around you and your workmates is a premier skill. Let’s make a list to show the skills them clearly.

Communication

  • Clear, concise – both written and spoken forms
  • Using the right language with customers, being encouraging, being time efficient with meetings, negotiation, and keeping the lines of communication open between employees are just some of the ways where communication is really important. Sometimes it takes practice, but being conscious and observing others can help you pick up those small tips and tricks to nail communication.

Technical skills

  • Know the company, know the job, know the product. This may also include IT skills, social media, reports and presentations, data security, etc. These really are individualised to the position at hand. Mental investment in the company pays off if you’re looking for a higher-level job.

Motivation

  • In terms of your motivation in addition to the motivation of employees. You can do this through providing appreciation, incentives for performance, supporting workmates who are under stress, and empowering employees to be proud of their work.
  • Motivation makes the environment not only more positive, but also more energetic, and productive.

Problem solving

  • Problem solving skills are useful in every situation, we all have to identify and work through issues. Working this problem back to its origins and understanding the cause helps you to see and predict future problems too.
  • This would also include planning as a form of problem prevention

Innovation

  • Innovation is shown through solutions to customer needs, creative marketing campaigns, redesigning or altering processes to create a more productive, functional, and smooth flow.

Professionalism

  • This is what makes you stand out as a leader. Diplomacy, strong moral values, initiative, as well as curating an excellent customer service attitude shows your employees the standard to strive for.

Other skills that are super important to demonstrate as a manager of anything (these are combinations of/ or subcategories that needed special mention):

  • Planning – effective, anticipatory, and course of actions plans
  • Organising – hand-in-hand with planning, organising is fairly essential in managing yourself, projects, and teams.
  • Directing – similar to communication, directing is more about being able to distribute tasks in an effective way to streamline projects.

So now you know the skills, how do you work on improving yours? Honestly, you need to be conscious and observe others. That’s the simplest way to see how it’s done; then you can start implementing version of what you see (so long as it’s appropriate). You may do this through practicing communication with friends and family, showing innovation and problem solving with your daily tasks or assignments, and, motivating yourself and those around you. This way you can see what works and what doesn’t, and when you show these skills in the workplace you will demonstrate your potential as a manager.

Check out our BSB51915 Diploma of Leadership and Management if you feel like you want to upgrade your management skills.

Starting your own accounting firm?


We’ve got some important steps for you to keep in mind, and facts that we hope can help you too!

Current state of the accounting industry

Before you begin starting an accounting firm – or rather, any type of venture – it is important to do your research and understand the industry that you’re aiming to get into and the factors that impact it.

According to Bankwest’s Industry Review report on the accounting sector, more than 133,000 Australians are employed in accounting services. Between 2014 and 2015, the accounting services sector was responsible for generating $17 billion in revenue. These numbers reflect just how significant the accounting services plays in the professional services industry.

Many accounting businesses are located in major Australian cities. Bankwest has found the majority of these businesses to be based in New South Wales. While it’s easy to imagine that the majority of the firms in the accounting industry are large, smaller firms are the dominant. The ‘Big Four’ of the accounting industry only account for roughly 30% of the available market share (AFP Business Brokers). The profession can be separated into the ‘Big Four’, 2nd tier, mid-tier, medium sized and small accounting firms. There are many different markets that these firms cater to – meaning that there is plenty space in the market for the smaller firms to enter and compete in (AFP Business Brokers).

The important questions

Before you start an accounting company, ask yourself:

  • Do I have enough experience to help the needs of other businesses and individuals?
  • Do I have one year’s worth of capital to begin and operate for one year?
  • How will I differentiate what my accounting company has to offer from others in the market?

 Entering the market

Develop your Business Plan

Like every business venture, your accounting firm will need a business plan. Your business plan should cover the following areas:

  • Your goals for the business
  • Target market research
  • What services you offer
  • Your chosen business structure
  • Breakdown of costs and capital requirements
  • Marketing your business
  • Pricing strategy
  • Office location and requirements
  • Projected costs to start up, budget and revenue model
  • Insurance

Try it out part-time

If you’re still feeling some hesitancy before taking the plunge to break out on your own, consider picking up some clients part-time and see whether you enjoy working on a full-time basis and starting out on your own.

How about it, partner?

Two heads can be better than one. By finding the right partner or joining the right franchise, you can potentially have more service offerings, share costs and may appeal to a larger customer base.

Old issues, fresh start

One of the perks about starting out is that you aren’t beholden to any business legacy issues that may push down profits such as an old fee structure, old equipment and software or client service issues from the past. Make sure that you can market your services and price yourself accordingly. Brush up on the management of your marketing, pricing, selling and practice!

Know your software

Familiarise yourself with online accounting and bookkeeping software that is often used for small businesses, such as MYOB, Xero or QuickBooks. Cloud computing now offers accounting firms Software-as-a-Service (SaaS) solutions, allowing firms to be able to use flexible and extensive software applications that operate with strong data security at fixed rates.

Join industry and professional groups

If you are a member of any industry or professional groups, utilise them for information and support! If you aren’t a member of any of these groups, then sign up. Chartered Accountants in Australia and New Zealand (CAANZ) and CPA Australia are two of the world’s largest accounting bodies with a global membership and offers many core services to its members including education, training, technical support and advocacy.

Know the guidelines and legalities

Starting your business can be stressful but it can be even more stressful when you don’t know the guidelines and legalities around your business operations. There are many resources out there for new businesses to understand the requirements of practicing in Australia. CPA Australia has compiled a list of resources and information for public practices, including links to resources and support that the Australian Government offers as well.

Check out our Certificate IV of Accounting.

Cyber-security Webinar Starts Today!


We’re attending the Department of Industry, Innovation and Science cyber-security training webinar today. This is webinar 1 of a 5 part series.

All businesses are vulnerable to cyber-attacks. Being responsive and active cyber security plan is essential for business success.

Linden College recommends that all staff and students take part in these free webinars. We have signed up to watch the first one today!

Webinar 1: Cyber security for small to medium enterprises

Key objectives for this webinar:

  • to introduce cyber security as a must have for businesses
  • outline what a good approach might involve and how SMEs can be prepared
  • introduce key resources.

 

Small Business Beginnings to Growth


Start and Grow Your Business; big or small business

Get the structure right: Business Structures

The beginning steps to launching your own business includes understanding business structures and knowing which type of structure will best suited to your future business. There are four main types of business structures;

  • Sole Trader – A sole trader is one of the simplest forms of business. As a sole trader you have complete control over your business, however, you also have unlimited liability, meaning if something goes wrong your personal assets are at risk.
  • Partnership – A partnership structure can be implemented when there are between 2-20 owners of a business. Partnerships are similar to sole trader structures, where the owners of the business are held liable for the debts.
  • Company – Company structures are very popular, in this structure your business is recognised as a separate legal entity. Company structures are more complex however they allow you to have limited liability.
  • Trust – A trust is a different style of organisation where a trustee holds the property and assets for the benefit of others, known a beneficiaries. Although slightly more complicated than a company, a trust can be the most suitable business structure for tax planning and asset protection purposes.

Sole trader and company business structures are most common for small business.

Build the Framework: Compliance and Risk Plan

Once you’ve decided on your business structure, it’s time to create a framework. Implementing a compliance and risk framework allows you to create a structure as well as an understanding of how your business will work.

Implementing a compliance framework will allow you to create guidelines that all business processes must comply by. The risk plan will manage your compliance plan to ensure all aspects of your business are running effectively.

Make it Happen: Financial Planning

It’s imperative that you look at your finances and build a financial plan. Financial plans show a comprehensive evaluation of your current and future financial state. Once you have a financial plan you will know exactly how much money you have to spend on your business and allocate it accordingly.

Get Known: Marketing Plan

This is an exciting phase of the journey, this is where your idea becomes a reality. Developing a marketing plan creates a blueprint for all of your business’s marketing and advertising plans throughout the year. Your marketing plan should include your goals, detailed plans on achieving them, the budget that you are putting towards it and the time frame that you want to reach your goals by.

Putting it all together

The Final Step, a business plan!

A business plan steps through all of the different aspects of your business. Your plan will look at competition, marketing & sales, operations, goals & milestones, your financial plan and projected financial statements. Your plan will be a step by step guide on how your business will work and outline the steps that must be taken to achieve your business goals.

Once you have your business plan ready, it’s time to start your business!

 

Check out our Small Business training course!