'In God we trust; all others bring data', W Edwards Deming
W Edwards Deming was the American credited with helping Japan turn around after the defeat and destruction there in World War 2.
Deming worked ON ways to improve the Japanese economy. Japanese people took the advice to work with the data and significantly improved their situation.
We all know that Japan became an economic powerhouse in the years and decades that followed.
In conversations with practitioners in Australia, it appears that the business side of many Accounting Practices is run on inadequate and out of date data.
The reasons cited for this include 'our practice management system produces pages and pages of reports, but they don't contain the combination of productivity and financial data'.
'The extract of the right data from the practice management and the financial system into spreadsheets that they massage into reports takes too many hours of professional time, and we can only afford to do it quarterly or annually'.
These are Practices that preach to Clients to keep on top of their business figures! It doesn't sound like practising what they preach.
How do you rate your Practice's management performance data, and how are you able to use it to advantage?