PKF Texas started with an overall process mapping, starting from the order being given to the client and then, by department, breaking the process down further including hand offs from one department to another. We started working on communication between departments (design, procurement, logistics, accounting). PKF Texas changed the design group from a pay-for-production where the best designers were producing and making significant money but were not given incentives or encouragement to train new designers. PKF Texas started the process of standardizing as many designs as possible so that all jobs were not “start from scratch.” The accounting was on an accrual basis but no cut off for jobs in progress. PKF Texas is in the process of converting them to a completed contract basis. This is an ongoing project.

The client wanted to sell their business in two to three years. They had a suitor but had been told they needed to improve their processes and procedures and get their financial records in order to be ready for a sale.

The company was growing and had very few processes in place. The owners came from a sales background and experience in industries such as auto sales and insurance sales. They had structured their business to be a compensation-for-production model, which was not conducive to a process team-oriented organization. The controller was well thought of by the owners, because of their belief he was honest. However, his accounting skills were lacking, and he was defensive of PKF Texas getting involved. The organization was growing, and therefore making time for improvements was challenging.