Accounting Department

In the context of company structure, Accounting is important to realise that there is more to an Accounting Department than simply counting and recording money coming in and going out.

Money is as much a resource as any other raw material and its proper management can be a significant factor in the profitability of the enterprise. Downfall of many companies which have failed has not been so much an adverse difference between income and expenditure but more that of simply running out of money; poor cash-flow control.

The example was that of a company whose suppliers were insisting on settlement of accounts within one month whilst those owing it money were taking about three months to pay their bills.