Businesses often manage finances through the slew of tech tools offered by Microsoft Office and Mac applications, but could such a reliance on computers be a disadvantage? Microsoft Excel is preferred by many as a financial calculator. Its ease of use and quick-working features allow the average person to see the results of equations instantly. What do business owners lose by using this tool? And how can they improve financial plan management by eliminating their need for spreadsheet applications?
Mind over machine
When businesses lean on plugging numbers into an algorithm that they have no need to understand, a disconnect is created between the people behind the work and the results they are producing. Companies large and small are increasingly “going green” by transferring hard files to tiny computer chips – easy to transport and effortless to store, but in some cases not as beneficial to businesses as the tangible paperwork of yesteryear. According to Inc Magazine, businesses who heavily depend on such programs risk falling short financially. The site argues such reliance can create a false sense of reality for the business owner, putting him at a disadvantage when faced with very real business issues.
Moving forward by stepping back
Ryan Himmel, CEO and founder of BIDaWIZ.com, recently penned a how-to for Entrepreneur that recommends going back to the foundations of the business in order to move ahead.
“I would strongly advise you to take your time with the business plan, as each element impacts the finance and accounting of your business in some way or another,” he told the news source. His business plan outline consists of ten simple steps that can lead any business to a more orderly existence. Taking steps to organize does require time and patience, but ultimately can help to distance business owners from their attachment to number-crunching technology like Excel and the thousands of new applications marketed to assist people in running a business.
Creating a business plan does require some math as any successful business owner should have a grasp of his expenses, and it would be wise to use technology to one’s advantage when it can save time and money. Still, staying away from a total reliance on such tools may contribute to the success of many businesses today.