Talking about Bookkeeping


Everyone knows intuitively, if not experientially, that good bookkeeping is good business. If you don’t keep track of your business’s money matters—what comes in and what goes out—you will be in the dark as to how well or poorly your business is doing, and hence how well or poorly you’re handling certain aspects of the business. After all numbers do not lie. If they indicate that all is well, you’ll be able to capitalize on your success by, if nothing else, continuing to do with confidence whatever you’re doing right. If the numbers reveal that all is not well, you will be able to take appropriate measures to solve problems which if left unchecked could land you in failure zone. Just as with certain physical diseases, early detection means early cure and increased chance of survival. Lastly, it goes without saying that slipshod recordkeeping can cost you time, anxiety and even money when tax time rolls around. In sum, while its understandable that people are inclined to avoid and neglect bookkeeping matters, its fundamentally inexcusable.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Business Financial Strategy


Financial strategy examines the financial implications of corporate and business-level strategic options and identifies the best financial course of action. It can also provide competitive advantage through a lower cost of funds and a flexible ability to raise capital to support a business strategy. Financial strategy usually attempts to maximize the financial value of the firm.

The trade-off between advancing the desired debt-to-equity ratio and relying on internal long-term financing via cash flow is a key issue in financial strategy. Many small and medium-sized companies try to avoid all external sources of funds in order to avoid outside entanglements and to keep control of the company within the family. Many believe that only by financing through long-term debt can a corporation use financial leverage to boost earnings per share, thus raising stock price and the overall value of the company. Higher debt levels not only deter takeover by other firms (by making the company less attractive), but also leads to improved productivity and improved cash flows by forcing management to focus on core businesses.

A very popular financial strategy is the leveraged buy out—a company is acquired in a transaction financed largely by debt—usually obtained from a third party, such as an insurance company or an investment banker. Ultimately the debt is paid with money generated from the acquired company’s operations or by sales of its assets. The acquired company, in effect, pays for its own acquisition. Management of the leveraged buy out is then under tremendous pressure to keep the highly leveraged company profitable. Unfortunately the huge amount of debt on the acquired company’s books may actually cause its eventual decline by focusing management’s attention on short-term matters.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Res Judicata


The old Latin legal phrase, res judicata, means a thing already decided and settled. Res judicata is a legal principle quite consistently followed by almost all courts. It is the rule that a final judgment or decree on the merits of a matter by a court of competent jurisdiction will be final and conclusive as to any later lawsuit on all points or matters determined in the former suit. This means that between the parties themselves the dispute is closed at the conclusion of trial. However, this does not prevent a lower court decision from being appealed to a higher court.

This principle of res judicata prevents  an unsuccessful litigant from taking an unfavorable decision to another trial court for a second lawsuit on the same complaint or same set of facts. Res judicata applies between the parties in a civil lawsuit, affecting those parties and no others.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

The Aging Crisis


Not a company exists whose management doesn’t say, at least for public consumption, that it wants an organization flexible enough to adjust quickly to changing market conditions, lean enough to beat any competitor’s price, innovative enough to keep its products and services technologically fresh, and dedicated enough to deliver maximum quality and consumer service.

So, if managements want companies that are lean, nimble, flexible, responsive, competitive, innovative, efficient, customer-focused, and profitable, why are so many. Companies are bloated, clumsy, rigid, sluggish, non-competitive, uncreative, inefficient, disdainful of customer needs, and losing money. The answers lie in how these companies do their work and why they do it that way.

Corporations do not perform badly because workers are lazy and managements are inept. Just the same, the record of industrial and technological accomplishment over the past century is proof enough that managements are not inept and workers do work.

Inflexibility, unresponsiveness, the absence of customer focus, an obsession with activity rather than result, bureaucratic paralysis, lack of innovation, high overhead—these are the legacies of industrial leadership. These characteristics are not new; they have not suddenly appeared. They have been present all along. If costs are high they can be passed on to customers. If customers are dissatisfied, they have nowhere else to turn. If new products are slow in coming, customers will wait. The important managerial job is to manage growth, and the rest doesn’t matter. Now that growth has flattened out, the rest matters a great deal.

The business problem is that in 21st century with companies designed during the nineteenth century to work well in the twentieth—we need something different.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Flexibility


Flexibility means adapting to changing market demands. Small businesses usually have only one layer of management—the owners. Decisions therefore can be made and carried out quickly. In large firms, decisions about even minute matters can take weeks because they must pass through two or more levels of management before action is authorized.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Communications: Compliance


Compliance results through a power relationship between the participants in the communications process. That is, a receiver complies with persuasive efforts of the source because the source has the power, legitimate or otherwise, to administrator rewards or punishments.

Because the powerful source controls rewards and punishments, he or she can often induce compliance to his or her advocated position. However, compliance is relatively superficial in the sense that a compliant individual does what he or she is forced to do and does not necessarily adopt the complied-to position as a matter of personal desire or preference.

Sales representatives sometimes possesses a degree of power over buyers, especially in a seller’s market where demand exceeds supply and buyers are dependent on their vendors for supplies of raw materials, parts, or merchandise. Purchasing personnel may feel that if they do not comply with a sales representative’s requests, their orders may be delayed or cut off completely.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Preparing a Resume


All job applicants need to have information circulating that reflects positively on their strengths. That information needs to be sent to prospective employers in a format that is understandable and consistent with the organization’s hiring practices. In most instances, this is done through the resume.

No matter who you are or where you are in your career, you need a current resume. Your resume is typically the only information source that a recruiter will use in determining whether to grant you an interview. Therefore, your resume must be a sales tool; it must give key information that supports your candidacy, highlights your strengths, and differentiates you from other job applicants.

It is important to pinpoint a few key themes regarding resumes that may seem like common sense but are frequently ignored. If you are making a paper copy of your resume, it must be printed on a quality printer. The style of font should be easy to read—Courier or Times New Roman. Avoid any style that may be hard on the eyes, such as a script or italic font. A recruiter who must review 100 or more resumes a day is not going to look favorably at difficult to read resumes. Use an easy to read font and make the recruiter’s job easier.

It is also important to note that many companies today are using computer scanners to make the first pass through resumes. They scan each resume for specific information like key job elements, experience, work history, education, or technical expertise.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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