Free Accounting Dissertations - These Firms Are Generally Classified As Independent. Other Small And
These firms are generally classified as independent. Other small and medium-sized firms are wholly owned subsidiaries of larger organisations. Such firms are considered SMEs, but in practice they can fall back on the expertise and resources of the parent company. The backing and support of a larger organisation arguably results in critical differences between these SMEs and independently owned SMEs.
The absence of a strategic planning (or an insufficient one) can cause a series of problems to the firm. The main indicator for the lack of a strategy in a firm is usually the difference between the targets of the specific firm and its vision, especially in cases that the above difference can be noticed all around the business activities. The absence of organization, of effective marketing, of sufficient resources and of satisfactory customer support are usually indicators that the strategy of the firm is weak or non-existent and as a result the direct action from the management team appears as necessary.
c. Insufficiency of staff lack of specific knowledge lack of customer support
It is well known that the ability to achieve a successful sale is a basic requirement regarding the staff of a company that operates directly with customers. This is also applied even when the specific target of the firm is not sales-focused and that can be explained by the fact the characteristics of a sale can be found in almost every enterprise activity. As for the area of financial markets, especially the accountancy, sales can be used when promoting a specific product or a project (of financial interest) or when handling the financial documents of a client. In any case, the staff can be proved insufficient especially in the cases of the absence of knowledge on the industry or the specific products of the firm. The level of the knowledge is not the only criterion in order for the staff of a firm to be proved as non-qualified for the requirements that this firm has put as a standard regarding its services to customers. Another important factor is the lack of motivation and the absence of active interest for the aims and the vision of the firm. And we should notice here that although the first factor, that of the lack of knowledge, can be ‘resolved’ through the use of programs that are created especially for this reason (seminars, other methods of staff training), the second factor (lack of interest for the industry and for the specific firm’s targets) cannot be improved and the only way of handling it seems to be the ‘reconstruction’ of the staff. This is not necessary related with the ‘premature’ end of working contracts but also with the placement of the employees to different positions where they may be more productive (according to their knowledge and their competences).
