In the current economic downturn, fierce competition, and the social background of refined management, how to do a good job in performance management of the fund settlement department to ensure the normal operation of the organization is an important pain point faced by major enterprises.
Based on the performance management method of the financial shared fund settlement department of a Fortune 500 company, this article will explain how the company uses BI tools to analyze the overall performance of the fund settlement department, and summarize the performance management strategy of the enterprise from the analysis results, so as to form an experience that can be promoted to the whole industry.
I hope that the content of this article can help the analysis and management of the performance of major enterprises.
1. Why is it particularly important to improve the performance management of the fund settlement department?
With the expansion of enterprise scale and business complexity, the traditional decentralized financial management model is difficult to meet the needs of efficiency, standardization and risk control. Through the establishment of a unified financial service center, the financial sharing center realizes the standardization, automation and centralized management of financial processes, thereby improving the company's ability to control financial data and strengthening internal control and risk management.
This model not only optimizes resource allocation and reduces operating costs, but also provides timely and accurate financial information for strategic decision-making, thereby enhancing the market competitiveness and adaptability of enterprises, and is of great significance to the long-term development and innovation transformation of enterprises.
Fund settlement occupies a core position in financial sharing, and it is a key link in the daily operation and financial management of enterprises. Through the fund settlement function of the financial sharing center, enterprises can realize the centralized management and monitoring of capital flow, optimize cash flow, and improve the efficiency of capital use. The centralization of fund settlement helps enterprises better control and predict cash flow, reduce capital tie-up, and reduce financial risks. At the same time, it also provides a unified platform for enterprises to process payments, collections, bank reconciliation and other transactions, ensuring compliance and transparency of treasury activities, thereby supporting strategic decision-making and financial planning. Under the financial sharing model, the efficient operation of fund settlement plays a vital role in ensuring the financial health of enterprises and promoting overall business development.
Judging from the data of industry research reports, among the business coverage of thousands of financial shared service centers, fund settlement is only expense reimbursement, which shows the importance of fund settlement. The following table shows the business coverage of the financial shared service center:
Therefore, it is particularly important to manage the performance of the fund settlement department, which can not only improve the efficiency and accuracy of fund processing, but also drive the fund settlement team to continuously optimize processes, reduce costs, avoid risks, and ultimately create greater value for the enterprise by setting clear performance indicators and goals.
How to efficiently establish a performance evaluation system for the fund settlement department?
As the core link of the daily operation of enterprises, fund settlement is faced with many challenges and problems, such as the increasing complexity of fund settlement, the more complex fund management, and the increasing compliance and transparency requirements of gold settlement, which seriously affect the efficiency of capital use and financial health of enterprises. Through the establishment of a scientific performance evaluation system, the goals and responsibilities of the fund settlement department can be clarified, and employees can be motivated to improve work efficiency and quality.
In order to establish this evaluation system, the rationality of the formulation of the plan was analyzed from three steps: business combing, performance model construction, and performance feedback (data visualization analysis).
First of all, we need to sort out the business of the fund settlement position, find out the time required for each business, and formulate a special bonus point plan and quality inspection deduction plan. Then, based on the business hours, special work scores, and quality inspection deduction points, the calculation method of employees' monthly performance scores is obtained, and finally the data analysis is carried out according to the formula.
1. Business combing
According to the job description of the fund settlement position and the work records of the operators, we subdivide the fund settlement task into five main business categories: fund preparation, payment operation, fund reporting, commercial bill operation and monthly fund settlement.
(1) Capital preparation
This category involves funding arrangements and planning prior to the day-to-day operations of the business, including determining funding needs, forecasting cash flow trends, managing bank account balances, and ensuring that there is sufficient liquidity to meet upcoming payment obligations. In addition, it may also include communication and coordination with financial institutions to obtain the necessary credit lines or adjust existing loan structures to ensure the timely availability of funds. The capital provision is mainly divided into two types of business details:
- Pooling of funds
- Funding applications
(2) Payment operations
Payment operations are the core part of fund settlement, including handling daily payment transactions, such as supplier invoice payment, employee payroll, tax payment, etc. This category requires the execution of payment instructions without errors, ensuring that funds are paid to the correct beneficiaries on time and in the right amount. At the same time, you need to track the status of your payments and handle possible payment irregularities or delays. Payment operations are mainly divided into two types of business details:
- Online banking payment
- Bank-enterprise direct payment
(3) The number of funds
Funding reporting involves collecting, collating and reporting financial data related to funds. This includes the preparation of cash flow statements, bank statements, payment statistical reports, etc., as well as providing regular updates to the management on the funding position. The number of funds required to be highly accurate and timely, so that the management can timely understand the company's capital situation and make corresponding strategic decisions. The number of funds reported is mainly divided into two types of business details:
- Upload and download the stream
- Money Daily
(4) Commercial bill operation
Commercial bill operation refers to the management of the issuance, acceptance, discounting and maturity payment of commercial papers. This requires an in-depth understanding of the laws and regulations of commercial paper, and the ability to reasonably arrange the use of bills to optimize the cost of capital and improve the efficiency of capital use. At the same time, it is also necessary to monitor the risk of the bill to ensure the security and compliance of the bill. Commercial invoice operations are mainly divided into two types of business details:
- Commercial invoice issuance
- Redemption of commercial bills
(5) Monthly settlement of funds
The monthly fund settlement is a comprehensive summary and accounting of the company's capital situation at the end of the month. This includes reconciling all inflows and outflows, ensuring the accuracy of accounts, and conducting month-end counts of bank accounts, cash, etc. The monthly fund settlement helps enterprises to find and correct financial errors in a timely manner, ensure the integrity and accuracy of financial statements, and provide a basis for the next stage of financial planning and budgeting. The monthly fund settlement is mainly divided into two types of business details:
- Document settlement
- Monthly checkout
The operation steps and content of each type of business are inconsistent, resulting in inconsistent time-consuming. After the business classification and content are sorted out, the operation time of each type of business is determined by means of business research, business action dismantling, and calculation of operation time.
The data analysis template mentioned in the example is shared with you——
Hatps://S.Funruyan.com/S3K5K
Zero-based quick start, but also according to the needs of personalized modifications
At the same time, in order to avoid the impact on personnel training and stability guarantee due to the boring work of capital payment in the form of assembly line, in addition to the above-mentioned basic work, employees are encouraged to stimulate their internal potential and broaden their knowledge, and set up a series of "professional special work", which will be scored (extra points) every month according to their value output or time.
A. Special bonus program
B. Quality inspection deduction scheme
In addition, in order to ensure the quality of work and improve service satisfaction, in the process of business operation, rules are also set to conduct quality inspection and evaluation (point deduction) for the above-mentioned work content. The following is an overview of the quality inspection deduction scheme:
2. Build a monthly performance score calculation model
According to the sorting out of the business in the early stage and the designation of the bonus and deduction scheme, when calculating the monthly performance score of each fund settlement operator, the work score, professional bonus score and quality inspection deduction points of these dimensions are comprehensively considered, and the monthly performance score calculation model is finally obtained:
Monthly performance score = basic work / 10,000 * 100 + professional special work score - quality inspection deduction score
Attached: The basic work/10,000 logic is based on the working hours of 22 working days, and the monthly working time is about 10,000 minutes, and the basic work such as online banking payment is 9 minutes each, which is converted into a 100-point score according to this correspondence, plus special scores, and subtracting the quality inspection score, then the work contribution of each employee in the current month is obtained, that is, the performance model is established.
3. Build a transparent and open performance display board
With a large number of fund settlement roles and varying volumes of business handled by employees, some employees may be primarily responsible for commercial paper operations in a large number of subordinate units, while others may be more involved in payment operations, so how to present their performance results to employees in a transparent, open and timely manner has become a key issue.
At this point, BI tools are of great help for data visualization and analysis.
BI tools can build performance dashboards that not only reflect employees' work performance in real-time, but also provide comprehensive and intuitive business insights to management. These dashboards transform complex data information into easy-to-understand visuals in the form of graphs, charts, and dashboards, so that each employee's work effectiveness and business progress can be seen at a glance. In addition, the establishment of BI performance dashboards also helps to realize the automation and real-time performance management, reduces the workload of manual statistics and reporting, and improves the accuracy and reliability of data. In this way, organizations are able to evaluate employees' performance more fairly and equitably, while also providing employees with opportunities for self-improvement and growth.
The organization's FineBI is deeply used, so after the above-mentioned business combing, the BI performance kanban is constructed.
BI performance analysis kanban construction ideas
The construction of BI performance dashboard aims to extract the core strategies of enterprise performance management, put forward optimization suggestions, and summarize the management experience that can be promoted. The specific analysis and summary will be carried out from the following three key aspects:
- A study of the correlation between gender, age and performance scores
By analyzing the correlation between the independent variables such as gender, seniority, rank, and group and the dependent variable (score), it was further concluded that the influence of gender and group was more significant, the influence of rank was significant, and the impact of seniority and whether it was a new employee was not significant. Although the degree of impact is inconsistent, management recommendations can be derived for the management of each category.
- A case study of the effects of a performance model
The first is the response of the results of the enterprise's application of the performance model, such as the improvement of employee performance, the initiative of the module leader to reduce the number of employees and other realistic feedback, and the analysis of how the enterprise designs Kanban users at different levels to achieve this purpose, and the second is that the investment in visual Kanban is increased, and the work allocation is more inclined to use the Kanban model, and the analysis of how the enterprise uses this set of tools.
- A comprehensive summary and recommendations of performance management strategies
Based on the above analysis, according to the performance management strategy of the organization, it is summarized that other parts of the industry, how to divide similar work, how to manage personnel, and how to improve efficiency, so that the operation of the enterprise is healthier and the business operation is better.
The specific mind map is as follows:
1. Comprehensive analysis
(1) The normal distribution characteristics of performance scores
As shown in the figure below, the performance appraisal scores of employees in the financial sharing department show a normal distribution, which is in line with our normal cognition. Among them, the average score is 76.61 points, with the highest score of 176 points and the lowest score of 0 points, which indicates that there are new employees or employees lying flat in the department. At the same time, it can be seen from the figure that the performance score shows an obvious right-biased distribution, that is, there are more people with low assessment scores in the department, and there are 29 employees with less than 60 points, and the performance needs to be further improved.
To sum up, supervisors should strengthen the ability training of employees, classify and manage employees with low scores, provide counseling and education for those who have a long time of lying flat, and pay attention to training and increase the workload in stages for young or new employees.
(2) The results of different gender analyses
Conjecture 1: The final assessment score is different for different genders, and the score of males will be higher than that of females.
As shown in the figure below, different genders have a significant impact on performance appraisal scores, among which the average appraisal score of male colleagues is 76.61, which is significantly higher than the average score of female colleagues.
Conclusion 1: Conjecture 1 is valid.
(3) Analysis results of different groups
Conjecture 2: Different groups have different performance appraisal scores.
As shown in the figure below, the impact of different groups on performance appraisal scores is also significant, the average score of group B in the first place is 99.33, and the average score of the group in the last place is 40.67, a difference of about 60 points from the first place. Supervisors should be filled as soon as possible, the leadership role of supervisors should be emphasized, and the communication and sharing between groups should be strengthened, so as to help each other and improve together.
Conclusion 2: Conjecture 2 is valid.
(4) Analysis results of different job levels
Conjecture 3: Different ranks, different assessment scores, and the higher the level, the higher the score. (High to Low Accounting Assistant - Treasurer)
As shown in the figure below, the performance appraisal scores for different ranks are different, but not positively correlated. According to the rank, from the accounting assistant to the supervisor, the higher the rank, the higher the performance score, so that the company's investment and acquisition are balanced (high rank, high salary cost), and the average score of the financial supervisor is lower than the accounting level, you can focus on the input-output ratio of this part of the personnel.
Conclusion 3: Conjecture 3 is not valid.
(5) Analysis results of new and old employees
Guess 4: Whether new employees will have an impact on the assessment score, and the score of old employees will be significantly higher than that of new employees.
The results of the data show that whether new employees have no impact on the assessment score, which is contrary to public perception.
After investigating the main reasons, it was found that the financial sharing department has adopted a "one-on-one mentoring system", and many new employees have been interning in the department for a period of time. This one-to-one mentor system is worth learning from and promoting from other departments or enterprises.
Conclusion: Conjecture 4 is not valid.
(6) The results of the division age analysis
Conjecture 5: The higher the age of the division, the higher the assessment score. That is, there is a positive correlation between the age of the division and the assessment score.
As shown in the figure below, there is no significant difference in the performance appraisal scores of different divisions. The conclusion also verifies the correctness of the above conclusion (4). If the company implements a cost-optimized strategy, the financial sharing position can consider using more new employees to save more costs.
Conclusion 5: The conjecture is not valid.
Business dimension analysis results
(1) Analysis of the details of the daily account business
Due to the wide variety of businesses, this article will not analyze all businesses one by one, only the daily account business is analyzed here, and the analysis logic of other businesses is similar.
A. As shown in the figure below, the daily account score presents a normal distribution, which is in line with our normal cognition. Moreover, there is no obvious skewed distribution, which shows that the business performance score of daily account is relatively stable.
B. As shown in the figure below, different genders have a significant impact on the gender score of the daily account, among which the average assessment score of male colleagues is 71398.3, which is significantly smaller than the average score of female colleagues.
C. As shown in the figure below, in the daily account business, the impact of different groups on the performance appraisal score is also significant, the average score of the first place group B is 224939.04, and the group score of the last place is 1272.48, a difference of more than 20,000 points from the first place.
After investigation, it was found that, apart from the gap in competence and attitude, there was no supervisor position in Group H and supervisor in Group E on maternity leave. In this case, enterprises should fill the supervisor position as soon as possible, attach importance to the leadership role of the supervisor, and strengthen the communication and sharing between the group, help each other and improve together.
D. As shown in the figure below, the average score of the new employee group is 1398.3 in the daily account business, and the overall score of the new employee is worse than that of the old employee from the perspective of the box plot, and the training of the new employee in the Japanese account business should be strengthened.
E. As shown in the figure below, there is no obvious difference in the performance appraisal scores of different divisions in the daily newspaper business.
(2) Overview of the scores of the rest of the business assessment
(3) The top five special bonus points and quality inspection deduction points
In summary, we can draw the following conclusions and propose corresponding improvement strategies:
- Gender has a significant impact on performance scores, and departments should identify high-potential employees, and focus on management in all aspects of selection, employment, education, and retention;
- The group also has a significant impact on the performance score, the department head should grasp the middle of the two headbands, the high-performing group summarizes the generalizable experience, and the backward group conducts analysis and performance coaching;
- The position level has a certain impact on the performance score, and the input and output of high-level personnel (high salary and low production) should be focused, and the job classification should be simple and easy to work more inclined to low-level employees to reduce salary costs.
- Whether new employees and seniority have no significant impact on performance scores, it is necessary to continue to do a good job in the management mode of new employee teaching and school enrollment and early internship, so that new employees can get started faster, land softly, and handle business more efficiently.
- It is necessary to carry out classified management, with simple content, and the position tends to use new employees, so as to reduce the cost of employment and activate the organizational atmosphere.
Compared with traditional performance management, BI performance kanban can greatly make up for the shortcomings of feedback lag, ease of access, flexibility, scalability, and lack of transparency of information, which lead to employees not stimulating their potential in the process. For example, the general manager of the department mainly focuses on the overall situation of the department, and the module leader needs to pay more in-depth attention to the performance of the outstanding employees in each module, what level each employee in the module is, and who needs to pay attention to and tap the potential, while the individual employees pay more attention to the ranking within the department, whether there is a chance to get the best performance, which part of the score is at a disadvantage, etc.
By the way, after the application of the group's performance kanban, there is an interesting phenomenon, some employees who were originally complaining about their heavy workload, through the kanban board clearly and intuitively saw that their ranking is backward, and immediately asked their direct boss to increase the workload, and some module leaders were originally asking for an increase in the staffing, through the Kanban comparison and even proposed to take the initiative to reduce the staff, in order to improve the average score of the entire module, for enterprise managers, it is achieved through this management tool, so that some employees in order to make themselves able to become" No. 1" and raise your hand to apply for more work, everyone "rolls up" and accomplishes more work with fewer people.
5. Summary
A sound performance appraisal system is an important part of enterprise management, which helps to improve the performance of employees, optimize human resource management, enhance the core competitiveness of enterprises, and ultimately promote the realization of enterprise goals.
The essence of performance management is mainly through the real-time feedback of employees' work, reduce information errors, and reflect data fairly, justly and openly. Therefore, good visualization tools make performance management more effective with less!
By providing real-time, intuitive, and customizable data presentation and analysis, BI Kanban improves decision-making efficiency, facilitates team collaboration, supports goal alignment, optimizes business processes, and more, bringing significant benefits to performance management, thereby helping businesses better achieve their strategic goals.