Strategy- Compliance
It is important that every business follows the vision of its Founder/Owner and grow in line with the business strategies laid down initially or modified with approvals from the Founders or Owners from time to time. Needless to say, any deviation from the pre-set corporate strategy need attention of the Founders/Owners.
It is also important to make sure that the younger generation is being developed effectively in order to equip them assuming leadership roles in due course.
What is required and what CMBC can offer Monitoring critical decisions on expansion, new product launch, large commitments, partnerships, Org structure changes, Senior Management appointments, major disputes, litigations, warnings, notices and penalties from Authorities, Government etc. Update on how grooming of the younger generation, who will eventually have to lead the organization, progresses in the areas of understanding the complexities of the business domains, business management, problem solving, communication, team work, crisis management, risk management etc.
Governance
Needless to say, every business, including a startup, should be firmly rooted and operated within the framework of a strong Governance mechanism. Existence of and following Board and Executive Committee Charters, Delegation of Authority, Policies and Procedure, SOPs etc are key for building a strong foundation for the future of the organization. It is equally important that the Governance processes are kept fine-tuned from time to time as the business grows. What is required and what CMBC can offer Review the Governance Framework and its compliance and identify changes, wherever needed
Procurement
Procurement is one of the most critical functions in any organization. As all financial commitments and expenses start with Procurement, it has a direct bearing on the organisation’s liquidity as well as profitability. Wrong procurement decisions and practices adversely affect the profitability and liquidity. The Procurement process should be robust enough to ensure that the best value for money is obtained when committing for expenditure-whether operational or capital in nature. What is required and what CMBC can offer Review and monitor the procurement activities to ensure adherence to the approved Process & DOA. Besides, budgets, cashflow impact, inventory holding period assessment, timeliness of procurement etc. need to be assessed. Quality of suppliers and their products and services should also be subjected to scrutiny on a selective basis. Ageing analysis of inventories held should be carried out as part of the exercise.
Contracts
In a business there would be dozens of contracts already executed and more getting added month on month. Contractual terms can sometimes become critical even to the extent of shaking the very existence of the organization. It is therefore important to maintain vigil to ensure that contracts do not become traps unexpectedly. Besides, to ensure the organisation’s ability to honor commitments in the changing business environment is necessary. In case they are likely to be difficult to honor, it is important to identify them earlier on and take appropriate actions to avoid or minimize the adverse impact on the business and the organization. What is required and what CMBC can offer Review of all-major contracts and identification of risk factors if any. The review must also cover the underlying approvals, adherence to the governance framework, business cases and justifications.
Financials
Information on Assets, Liabilities and operational performance of the business are available in the ‘books of accounts’ and the ‘financial statements’. However, as owner of the organization you may want to be kept updated about certain specific financial information about the business. What is required and what CMBC can offer A review and report of the financial aspects covering mainly Profitability, Liquidity, Liabilities & Ownership
People
Employees are the most important assets of any organization. Satisfied, well-motivated and loyal employees form the backbone of every successful business. It is therefore important to ensure that the orientation of the Personnel Policy, Compensation, Working conditions, Training, Staff welfare measures etc. are right and on track. It is also important for you to be kept informed about the movements in the senior management cadres and also about the changes in their compensation, bonus etc. as and when they happen
What is required and what CMBC can offer
HR & Org review covering the above said areas
Technology
Technology has an important influence on every business activity as it brings in both tangible and intangible benefits. Technological infrastructure affects the efficiency, product quality, staff productivity, cost of doing business etc. Having adequate automation makes the managers and their teams more efficient in driving the business.
What is required and what CMBC can offer
Review the business operations and confirm effectiveness of the existing systems and identify the need for further automation or changes to the existing systems, if required.