Accounts Can’t Fix Utilisation – Its A People Problem

Accounts Can’t Fix Utilisation – Its A People Problem

I keep banging on about how people send things to accounts just because it has something to do with adding up numbers. And utilisation is a perfect example of that, it’s really not an accounts problem at all, it’s not even an operations problem, it’s a people and culture problem. What we used to call Human Resources, but is that resources for people, or provision of people as a resource? Fundamentally the second, obviously, even if that sounds harsh.

Operations need to be able to deliver client outcomes based on the assumed productivity of the people in the organisation. If there is a shortfall of productivity, or chronic overwork, there’s not much point in asking accounts to fix it. People and Culture really need to be able to own the management of utilisation along with all the other people related issues in their orbit.

You might think getting accounts to compile and distribute the reports is sensible, given the calculations involved, but they are not that difficult and compiling reports is usually a prerequisite for responsibility – for owning the numbers.

For a long time now I have watched accountants push for a bigger role in businesses, and so we should, but the move out from the back office should probbaly be more towards middle office and operations.

What I’m saying is try to avoid allocating responsibility based on task type, not purpose.


Have a lovely week.