How COVID-19 highlights the importance of cross-training your accounting staff

It’s a scenario occurring in workplaces around the world: the company controller enters the hospital after contracting COVID-19, but she’s the only person with access to the payroll and accounting software. She’s also the only employee besides the owner authorized to sign checks. But the owner is in lockdown with his family in another state, leaving no one available to pay the bills or process payroll. 

In this scenario, the health of the controller and the safety of the owner and all other employees is the highest priority. But this worst-case scenario clearly illustrates why cross-training your staff to handle all critical tasks is so important. Effective cross-training provides numerous benefits and is well-worth the time it takes to train every employee effectively. 

Benefits of cross-training

There are several reasons why a member of an employee may no longer be able to complete their usual responsibilities—such as family leave, illness, vacation, or an unexpected resignation. But when all accounting personnel are cross-trained, every person becomes a knowledgeable and flexible asset capable of stepping in for an unavailable staff member. 

Additionally, cross-training facilitates collaboration and creates a team-oriented workplace. When coworkers maintain an interest and level of expertise in the work of their teammates, they are more likely to understand and support the department’s overall goals and initiatives. This improves both productivity and innovation. 

Cross-training also provides opportunities for internal promotion, since each employee already knows and understands the skills needed and  challenges associated with any open position. And as a general rule, cross-trained employees are more-well rounded and can often be utilized in multiple positions when needed. 

Lastly, according to the 2020 Report to the Nations by the Association of Certified Fraud Examiners (ACFE,) the accounting department in any company is at a higher risk for fraud, especially in regards to billing scams and payment tampering. But when employees are familiar with one another’s responsibilities and can step in when a coworker is sick or on vacation, a natural system of checks and balances is created, which can help deter dishonest or fraudulent behavior. Alongside mandatory vacation policies and consistent job rotation, cross-training creates the strong internal controls necessary for a secure accounting department. 

Cross-training best practices

The most effective way to cross-train is usually to allow employees a chance to temporarily work in another position. The training for learning a new job doesn’t necessarily need to be complex, but understanding the basic duties of a coworker’s position can be extremely helpful in the event of an emergency or unexpected leave of absence. 

Sometimes even switching duties for one day or a week can better prepare employees to manage important responsibilities should the need occur. And in addition to basic cross-training, encourage CFOs and controllers to informally “reverse train” within their department. This ensures that they will be able to step in and train others whenever necessary. 

How to start

While many employees are still working from home due to the coronavirus pandemic, there’s no better time than now to start cross-training your staff. Most basic cross-training skills can be done virtually and continued as part of an ongoing process once employees return to the office. At Smolin, we can also minimize business interruptions and prevent fraud by providing assistance in cross-training and internal control procedures for all your accounting personnel. 

Please reach out to your trusted Smolin professional with any questions or concerns.