For over a year, MDDP Outsourcing has been cooperating with a large international production company with a turnover of almost EUR 100 million – the largest international beverage producer.
Every company may eventually face a situation where they lose a key employee, a person in charge of a strategic operation. The reasons for it may vary. The recruitment process for such a position might be time-consuming and the costs and involvement in the process may be overwhelming for many Presidents or CEOs. In such cases, MDDP Outsourcing comes with a solution.
And we encountered such a situation at the company in question. Our Customer was aware of the fact that they would not be able to quickly find a qualified Chief Accountant. They gave themselves time for the search and, at that time, they asked MDDP Outsourcing for help. The goal was to assume the duties of the chief accountant for the recruitment period of the new employee – the project was intended for a period of about 3-4 months but for the time being – the project has been already lasting for over a year. We began working on it just before Christmas, which was a difficult time for that company since everybody’s mind had already been “sitting at the Christmas table”. However, there are no difficult periods at MDDP Outsourcing. We are always ready to assume the duties of chief accountant. In the course of the two-week implementation period, we received the instructions of the CFO and the Controlling Department of our Customer – the details described how the process was supposed to take place and what the chief accountant’s duties were. Moreover, the Customer requested a review of the processes along with propositions of improvements.
The first “revolution” we proposes just at the beginning of January involved digitization – namely shifting from printed versions of invoices, shifting from printing of documentation. Not all companies know that you no longer need to print your invoices. There is no denying that the accounting team breathed a sigh of relief when they learned that they would no longer need to print and archive the documentation. It really increased their workflow.
The tax review was also successful; the company eliminated task risks through corrections of their statements. In this case, we had to take into consideration the fact that payments to foreign entities, the so-called non-residents, are subject to withholding tax provisions and should be deducted from the payment of receivables and the WHT should be paid to the Polish Tax Office in Lublin.
The primary objective of our actions is to handle the month-end closing process. We usually start with a meeting with the Controlling Department, establishing a work schedule for 3 working days. On the fourth working day, the company closes its accounts.
What were the duties we assumed as part of the financial supervision?
We handle the standard duties of the Chief Accountant:
Apart from the above-mentioned activities, we prepared several procedures for our Customer that were then implemented e.g., procedures to monitor receivables, determine raw materials, recipients, control attachments to bookings.
We also succeeded at setting a SOX process. The Company is obligated to determine balances on a monthly basis: we proposed a solution, implemented it, and now we are carrying it out on an ongoing basis. Our Customer is very satisfied with the proposed and implemented solution.
Our experience, the broad knowledge of our experts and the effective course of the implementation contribute to the successful outsourcing of financial supervision to MDDP Outsourcing in favor of our Customer. We hold weekly meetings with the accounting team, discuss the ongoing matters (the accountants prepare a list of pending issues and everyone can add matters they need help with) so that we can quickly and efficiently react to the needs of the department.
We have been providing support in the Chief Accountant process uninterruptedly to this day.
The management board is satisfied with the constant handling of one of the key processes for the company so that they may focus on business matters, knowing that the accounting is in good hands.
The cooperation with MDDP Outsourcing proves that a properly prepared strategy of action for the implementation of external financial supervision led to improvement and enhancement of accounting processes at the company, making up for competence gaps and, in the end, a long-term business relationship.
The Customer was provided with a unique service that not only included a Chief Accountant but also a team of VAT and CIT specialists.
MDDP Outsourcing successfully carries out accounting supervision, adjusting to the customer’s needs. We provide tailor-made solutions for your needs!
Author: Bożena Wodarska, Manager at MDDP Outsourcing, accounting office in Katowice