{"id":5173,"date":"2024-11-25T14:44:39","date_gmt":"2024-11-25T14:44:39","guid":{"rendered":"https:\/\/www.balkanservices.com\/blog\/?p=5173"},"modified":"2024-11-25T15:26:19","modified_gmt":"2024-11-25T15:26:19","slug":"8-management-mistakes-made-by-the-management-of-companies-in-bulgaria","status":"publish","type":"post","link":"https:\/\/www.balkanservices.com\/blog\/en\/8-management-mistakes-made-by-the-management-of-companies-in-bulgaria\/","title":{"rendered":"8 management mistakes made by the management of companies in Bulgaria"},"content":{"rendered":"\n<h1 class=\"wp-block-heading\"><strong>8 management<br>mistakes made by the management of companies in Bulgaria<\/strong><\/h1>\n\n\n\n<p>Have you experienced the frustration of seeing <strong>your company make the same mistakes you thought could be avoided but need to know how? <\/strong><\/p>\n\n\n\n<p>Too often, businesses fight the same battles year after year and fail to keep up.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-06f8662\" data-block-id=\"06f8662\"><style>.stk-06f8662 {height:35px !important;}<\/style><\/div>\n\n\n\n<blockquote class=\"wp-block-stackable-blockquote stk-block-blockquote stk-block stk-0f8c765 is-style-default\" data-v=\"2\" data-block-id=\"0f8c765\"><div class=\"has-text-align-left stk-block-blockquote__content stk-container stk-0f8c765-container stk-hover-parent\"><div class=\"stk-block-content stk-inner-blocks\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-a0940de\" data-block-id=\"a0940de\"><style>.stk-a0940de .stk--svg-wrapper .stk--inner-svg svg:last-child{height:50px !important;width:50px !important;opacity:0.6 !important;}.stk-a0940de .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-a0940de .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}.stk-a0940de .stk--svg-wrapper .stk--inner-svg{border-radius:64% !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-a0940de\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-a-0940-de-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-a-0940-de-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 50 50\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M9.4 14.6c-2.4 2.9-3.6 5.9-3.6 8.9 0 1.3.2 2.4.5 3.3 1.8-1.4 3.8-2.1 6-2.1 2.9 0 5.3.9 7.3 2.7 2 1.8 3 4.2 3 7.3 0 1.9-.5 3.6-1.4 5.1-.9 1.5-2.2 2.7-3.8 3.6s-3.3 1.3-5.1 1.3c-4.1 0-7.3-1.6-9.5-4.9C.9 36.9 0 33.5 0 29.4c0-5.2 1.4-9.9 4.1-14 2.8-4.1 6.9-7.5 12.5-10l1.5 2.8c-3.3 1.3-6.2 3.5-8.7 6.4zm27.5 0c-2.4 2.9-3.6 5.9-3.6 8.9 0 1.3.2 2.4.5 3.3 1.8-1.4 3.8-2.1 6-2.1 2.9 0 5.4.9 7.4 2.7 2 1.8 3 4.2 3 7.3 0 2.8-1 5.2-3 7.1-2 1.9-4.4 2.9-7.3 2.9-4.1 0-7.3-1.6-9.5-4.9-1.8-2.7-2.8-6.2-2.8-10.3 0-5.2 1.4-9.9 4.1-14 2.8-4.1 6.9-7.5 12.5-10l1.5 2.8c-3.5 1.2-6.4 3.4-8.8 6.3z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-text stk-block-text stk-block stk-7da236c\" data-block-id=\"7da236c\"><style>.stk-7da236c .stk-block-text__text{font-size:18px !important;}@media screen and (max-width:999px){.stk-7da236c .stk-block-text__text{font-size:18px !important;}}<\/style><p class=\"stk-block-text__text\">The situation can be illustrated by a well-known quote, copied by many from the famous physicist Albert Einstein: &#8222;It is madness to do the same thing over and over again and expect a different result.&#8220;<\/p><\/div>\n<\/div><\/div><\/blockquote>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-2a3e389\" data-block-id=\"2a3e389\"><style>.stk-2a3e389 {height:35px !important;}<\/style><\/div>\n\n\n\n<p><\/p>\n\n\n\n<p>There are many reasons why businesses can suffer from inertia. Still, <strong>some mistakes are repeated even by the most prominent companies<\/strong> that have an expensive management team and are not amateurs at what they do. This happens because as the business grows, <strong>it becomes harder for management to sift out what brings profit or loss.<\/strong><\/p>\n\n\n\n<p>Although every company is unique, some mistakes are made frequently. <a href=\"https:\/\/www.balkanservices.com\/eng\/about\/team\" target=\"_blank\" rel=\"noreferrer noopener\">The Balkan Services team<\/a> summarized eight of the most common management mistakes companies make and ways they can be avoided:<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-26b1df9\" data-block-id=\"26b1df9\"><style>.stk-26b1df9 {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">1. &#8222;Uncleared&#8220; stock<\/h2>\n\n\n\n<p>One of the most common mistakes businesses make that leads to more serious problems later on is <strong>neglecting the accuracy of stock calculations.<\/strong><\/p>\n\n\n\n<p>This problem is a <strong>natural result of having two parallel systems<\/strong> (one for operations and one for accounting) that are generally unlinked.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-9e2e67c\" data-block-id=\"9e2e67c\"><style>.stk-9e2e67c {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-b47a618\" data-block-id=\"b47a618\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-f97abb2\" data-block-id=\"f97abb2\"><style>.stk-f97abb2 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-f97abb2 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-f97abb2 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-f97abb2\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-f-97-abb-2-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-f-97-abb-2-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-4e1fcba\" id=\"our-experience-has-shown-that-there-are-cases-where-there-are-significant-differences-of-up-to-more-than-1-million-between-the-quantities-recorded-in-the-systems-and-the-actual-number-after-counting\" data-block-id=\"4e1fcba\"><p class=\"stk-block-heading__text\">Our experience has shown that there are cases where there are significant differences of up to more than 1 million between the quantities recorded in the systems and the actual number after counting.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-7b719f8\" data-block-id=\"7b719f8\"><style>.stk-7b719f8 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Erroneous inventories, in turn, <strong>lead to differences in values and incorrect costing<\/strong>.<\/p>\n\n\n\n<p>Lack of clarity on stock also provides a breeding ground for abuse, loss and theft.<\/p>\n\n\n\n<p>It should be noted that a complete stock take takes time \u2014months in some cases and years in others.<\/p>\n\n\n\n<p>The end result of these efforts gives general management a clear picture of the entire business it manages.<\/p>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-78ef79d\" data-block-id=\"78ef79d\"><style>.stk-78ef79d {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">2. Lack of control points<\/h2>\n\n\n\n<p>A classic problem reminiscent of the first mistake we told you about is the broken link between production, warehouse, and accounting. This situation is typical of manufacturing companies, but not only where the interconnection between departments is of particular importance but also <strong>where the processes between them are not built.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-d9aa9f8\" data-block-id=\"d9aa9f8\"><style>.stk-d9aa9f8 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-ba7d58a\" data-block-id=\"ba7d58a\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-d5f7aeb\" data-block-id=\"d5f7aeb\"><style>.stk-d5f7aeb .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-d5f7aeb .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-d5f7aeb .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-d5f7aeb\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-d-5-f-7-aeb-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-d-5-f-7-aeb-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 192 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M48 80a48 48 0 1 1 96 0A48 48 0 1 1 48 80zM0 224c0-17.7 14.3-32 32-32H96c17.7 0 32 14.3 32 32V448h32c17.7 0 32 14.3 32 32s-14.3 32-32 32H32c-17.7 0-32-14.3-32-32s14.3-32 32-32H64V256H32c-17.7 0-32-14.3-32-32z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-4a1a92e\" id=\"consider-for-example-a-manufacturing-company-that-produces-electrical-appliances-the-production-department-assumes-that-it-has-to-produce-100-units-of-a-particular-product-every-month-however-the-system-shows-discrepancies-between-planned-and-actual-quantities-due-to-irregularities-in-the-process-and-a-need-for-proper-control-points-between-production-and-the-warehouse-in-the-system-the-warehouse-stock-shows-a-deficit-of-30-units-of-finished-product-and-materials-available-for-production-in-contrast-the-production-records-show-that-the-planned-target-has-been-met\" data-block-id=\"4a1a92e\"><p class=\"stk-block-heading__text\">Consider, for example, a manufacturing company that produces electrical appliances. The production department assumes that it has to produce 100 units of a particular product every month. However, the system shows discrepancies between planned and actual quantities due to irregularities in the process and a need for proper control points between production and the warehouse. In the system, the warehouse stock shows a deficit of 30 units of finished product and materials available for production. In contrast, the production records show that the planned target has been met.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-655be6e\" data-block-id=\"655be6e\"><style>.stk-655be6e {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Another relevant example can be found in the food industry, where ingredients such as sugar or flour are used in bulk. If there is no control point to reconcile the quantity used in production with warehouse records, discrepancies can quickly accumulate. <\/p>\n\n\n\n<p>Suppose a recipe calls for 1,000 kg of flour for a production batch, but due to measurement discrepancies, unspecified production fines or incorrect recording, more flour is used without proper documentation. <strong>Without systematic control or reconciliation, the system may indicate that the company has a certain quantity in stock when stock is depleted. <\/strong>This discrepancy can lead to unexpected production stoppages, missed deliveries or increased costs as emergency raw material purchases are made at higher prices.<\/p>\n\n\n\n<p>A lack of real insight into how production and stock levels affect each order can also be problematic. In such a situation, a <strong>large order that the company is convinced is concluded at a reasonable price may result in a loss.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-31d90d3\" data-block-id=\"31d90d3\"><style>.stk-31d90d3 {height:35px !important;}<\/style><\/div>\n\n\n\n<p class=\"has-text-align-center\"><a href=\"https:\/\/www.balkanservices.com\/blog\/kak-erp-softueryt-revolyutzionizira-svinevydstvoto-v-boni-holding\/\" target=\"_blank\" rel=\"noreferrer noopener\">Read more: How ERP software is revolutionising pig farming at Boni Holding<\/a><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-58c8240\" data-block-id=\"58c8240\"><style>.stk-58c8240 {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">3. What is the cost price?<\/h2>\n\n\n\n<p>A lack of understanding of how costs are calculated often <strong>leads companies to a situation where more revenue brings more loss.<\/strong> This is because, with illusory costing, the realization of output is not covered by revenue.<\/p>\n\n\n\n<p>We will illustrate this statement with the following example: <em>an alcohol company that needs to calculate the cost of its various products correctly comes to the wrong conclusion that by selling more of a cheaper alcohol, it makes a larger margin. At one point, the finance department thinks the company is running at a loss, leading to a confrontation with the sales department, which in turn thinks it has made many good deals.<\/em><\/p>\n\n\n\n<p>The problem here is very clear &#8211; if cost had been correctly calculated, the deals would indeed have been profitable, and the financial result would have been positive.\u00a0\u00a0<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-a5b6560\" data-block-id=\"a5b6560\"><style>.stk-a5b6560 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-e6a944b\" data-block-id=\"e6a944b\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-f5e1033\" data-block-id=\"f5e1033\"><style>.stk-f5e1033 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-f5e1033 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-f5e1033 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-f5e1033\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-f-5-e-1033-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-f-5-e-1033-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-15e896c\" id=\"our-experience-advising-clients-in-various-sectors-shows-that-direct-costs-are-essential-to-calculate-as-for-almost-all-companies-they-are-not-the-entire-cost-overheads-and-the-way-in-which-they-are-formed-can-skew-results\" data-block-id=\"15e896c\"><p class=\"stk-block-heading__text\">Our experience advising clients in various sectors shows that direct costs are essential to calculate, as for almost all companies, they are not the entire cost. Overheads and the way in which they are formed can skew results.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-4cdee72\" data-block-id=\"4cdee72\"><style>.stk-4cdee72 {height:35px !important;}<\/style><\/div>\n\n\n\n<p><strong>The lower the percentage of direct costs, the greater the distortions.<\/strong> And practice shows that direct material costs are among the smallest for businesses.<\/p>\n\n\n\n<p>Another point where cost affects is the <strong>redistribution of discounts<\/strong> because they are given on a basis. If a company does not calculate its cost of production correctly, it may operate as if it has a margin on which to discount when, in reality, it does not.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-48ed4ff\" data-block-id=\"48ed4ff\"><style>.stk-48ed4ff {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-4961975\" data-block-id=\"4961975\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-4e7afb1\" data-block-id=\"4e7afb1\"><style>.stk-4e7afb1 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-4e7afb1 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-4e7afb1 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-4e7afb1\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-4-e-7-afb-1-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-4-e-7-afb-1-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 64 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M64 64c0-17.7-14.3-32-32-32S0 46.3 0 64V320c0 17.7 14.3 32 32 32s32-14.3 32-32V64zM32 480a40 40 0 1 0 0-80 40 40 0 1 0 0 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-ef8d967\" id=\"em-these-three-symbolic-mistakes-have-in-common-the-need-for-more-information-reaching-senior-management-em\" data-block-id=\"ef8d967\"><p class=\"stk-block-heading__text\"><em>These three symbolic mistakes have in common the need for more information reaching senior management.<\/em><\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-55b18ca\" data-block-id=\"55b18ca\"><style>.stk-55b18ca {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">4. Ignorance of company processes<\/h2>\n\n\n\n<p><strong>The business analyses that start the implementation of any system<\/strong>, including <a href=\"https:\/\/www.balkanservices.com\/eng\/business-software\/category\/erp\" target=\"_blank\" rel=\"noreferrer noopener\">ERP software<\/a>, show that company processes are rarely clear enough.<\/p>\n\n\n\n<p>This problem becomes apparent when consultants start gathering information from all levels. At this stage, management realizes the many exceptions and ramifications in business processes.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-76c1717\" data-block-id=\"76c1717\"><style>.stk-76c1717 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-fa9a1c5\" data-block-id=\"fa9a1c5\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-74778c2\" data-block-id=\"74778c2\"><style>.stk-74778c2 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-74778c2 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-74778c2 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-74778c2\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-74778-c-2-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-74778-c-2-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-5bf5677\" id=\"blind-spots-that-management-is-unaware-of-often-lead-to-neglect-of-essential-topics\" data-block-id=\"5bf5677\"><p class=\"stk-block-heading__text\">&#8222;Blind spots&#8220; that management is unaware of often lead to neglect of essential topics.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-d56cc83\" data-block-id=\"d56cc83\"><style>.stk-d56cc83 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>End-to-end business management software eliminates these problems because it <strong>details the processes and their specifics.<\/strong> ERP platforms allow processes to be channelized to better manage the business.<\/p>\n\n\n\n<p>It is important to note that such a system is not a magic solution. If a company has a &#8222;broken&#8220; process,<strong> it is necessary to first correct the process itself.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-7ad6d86\" data-block-id=\"7ad6d86\"><style>.stk-7ad6d86 {height:35px !important;}<\/style><\/div>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><a href=\"https:\/\/www.balkanservices.com\/blog\/en\/everything-you-need-to-know-about-erp-systems\/\" target=\"_blank\" rel=\"noreferrer noopener\">Read more: Everything you need to know about ERP systems <\/a><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-ea34cbd\" data-block-id=\"ea34cbd\"><style>.stk-ea34cbd {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">5. The human factor in calculations<\/h2>\n\n\n\n<p>The lack of a certain standard can explain why the <strong>formulas behind certain calculations in the same company differ.<\/strong><\/p>\n\n\n\n<p>This is because people calculate in the easiest way for them, and sometimes, they do not know how to calculate a certain metric. When software is missing, this is easily concealed.<\/p>\n\n\n\n<p>The problem manifests itself most vividly when exceptions in the process have to be accounted for, for example when calculating the yield per machine.<\/p>\n\n\n\n<p>The specific metrics are calculated correctly when people start to reason over the exceptions, which are often subjective.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-b45072a\" data-block-id=\"b45072a\"><style>.stk-b45072a {height:35px !important;}<\/style><\/div>\n\n\n<div data-block=\"hook:3908\" class=\"alignfull\" data-block-structure=\"custom\"><div class=\"ct-container-full\" data-content=\"normal\"><article id=\"post-3908\" class=\"post-3908\"><div class=\"entry-content is-layout-constrained\">\n<div class=\"wp-block-media-text alignfull has-media-on-the-right is-stacked-on-mobile is-vertically-aligned-center is-image-fill is-style-default has-palette-color-8-color has-palette-color-4-background-color has-text-color has-background has-link-color wp-elements-326cc7970ec94e154d90381fd2939023\" style=\"margin-top:var(--wp--preset--spacing--50);margin-bottom:var(--wp--preset--spacing--50);margin-left:0;padding-top:0;padding-right:0;padding-bottom:0;padding-left:0;grid-template-columns:auto 37%\"><div class=\"wp-block-media-text__content\">\n<h2 class=\"wp-block-heading has-white-color has-text-color\" style=\"margin-top:var(--wp--preset--spacing--40);margin-right:0;margin-bottom:0;margin-left:0\">Looking for business software?<\/h2>\n\n\n\n<p class=\"has-palette-color-8-color has-text-color\" style=\"margin-top:var(--wp--preset--spacing--20);margin-bottom:var(--wp--preset--spacing--20);font-size:clamp(14px, 0.875rem + ((1vw - 3.2px) * 0.234), 17px);line-height:1.5\">Our team is here to listen carefully and offer the right solution for you.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<div class=\"wp-block-stackable-button-group stk-block-button-group stk-block stk-088e0d7\" data-block-id=\"088e0d7\"><style>.stk-088e0d7{margin-bottom:30px !important;position:relative !important}@media screen and (max-width:999px){.stk-088e0d7{margin-bottom:36px !important}}<\/style><div class=\"stk-row stk-inner-blocks stk-block-content stk-button-group\">\n<div class=\"wp-block-stackable-button stk-block-button is-style-ghost stk-block stk-cb9bee0\" data-block-id=\"cb9bee0\"><style>.stk-cb9bee0{top:23px !important}.stk-cb9bee0 .stk-button{padding-right:33px !important;padding-left:33px !important;background:var(--theme-palette-color-1,#F6891F) !important}.stk-cb9bee0 .stk-button:hover:after{background:transparent !important;opacity:1 !important}:where(.stk-hover-parent:hover,.stk-hover-parent.stk--is-hovered) .stk-cb9bee0 .stk-button:after{background:transparent !important;opacity:1 !important}.stk-cb9bee0 .stk-button:before{border-style:solid !important;border-color:var(--theme-palette-color-8,#ffffff) !important;border-top-width:0px !important;border-right-width:0px !important;border-bottom-width:0px !important;border-left-width:0px !important}.stk-cb9bee0 .stk-button__inner-text{color:var(--theme-palette-color-8,#ffffff) !important}<\/style><a class=\"stk-link stk-button stk--hover-effect-lift\" href=\"https:\/\/www.balkanservices.com\/eng\/contact\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"has-text-color stk-button__inner-text\">Schedule a free consultation &gt;<\/span><\/a><\/div>\n<\/div><\/div>\n<\/div><figure class=\"wp-block-media-text__media\" style=\"background-image:url(https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-1024x638.jpg);background-position:50% 50%\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"638\" src=\"https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-1024x638.jpg\" alt=\"\" class=\"wp-image-3887 size-full\" srcset=\"https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-1024x638.jpg 1024w, https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-300x187.jpg 300w, https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-768x478.jpg 768w, https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-1536x957.jpg 1536w, https:\/\/www.balkanservices.com\/blog\/wp-content\/uploads\/2024\/01\/BOO2528-2048x1276.jpg 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure><\/div>\n\n\n\n<p><\/p>\n<\/div><\/article><\/div><\/div>\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-645285d\" data-block-id=\"645285d\"><style>.stk-645285d {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">6. Management is overloaded<\/h2>\n\n\n\n<p><strong>Bulgarian business is relatively young<\/strong>\u2014only 34 years old. The lack of generational knowledge and skills is seriously reflected in companies where senior management is too busy and has no time to pay attention to details. <\/p>\n\n\n\n<p>In a fast-paced business environment, managers often wear too many hats, leading to overwork, missed details, and poor decision-making. This problem is particularly evident in companies where the <strong>senior management team is responsible for everything from strategic planning to overseeing day-to-day operations.<\/strong><\/p>\n\n\n\n<p>Take the example of a mid-sized manufacturing company where the CEO is involved in everything from approving supplier contracts to troubleshooting production problems. While this hands-on approach can be helpful in small companies, it quickly becomes unsustainable as the company grows. The CEO&#8217;s time becomes scarce, leaving critical tasks either delayed or completed with less attention to detail. This hinders growth and leads to a need for proper delegation and empowerment among middle management.<\/p>\n\n\n\n<p>A similar situation can be seen in family businesses, where founders are often reluctant to delegate critical responsibilities, fearing that others may not meet their standards. This leads to micromanagement and bottlenecks where decisions are delayed, and operational efficiency is compromised.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-3a60f91\" data-block-id=\"3a60f91\"><style>.stk-3a60f91 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-789a018\" data-block-id=\"789a018\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-b368de2\" data-block-id=\"b368de2\"><style>.stk-b368de2 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-b368de2 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-b368de2 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-b368de2\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-b-368-de-2-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-b-368-de-2-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-5aa406e\" id=\"the-consequences-of-overburdened-management-are-far-reaching-strategic-initiatives-often-stall-because-management-is-preoccupied-with-day-to-day-tasks\" data-block-id=\"5aa406e\"><p class=\"stk-block-heading__text\">The consequences of overburdened management are far-reaching. Strategic initiatives often stall because management is preoccupied with day-to-day tasks.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-5484a85\" data-block-id=\"5484a85\"><style>.stk-5484a85 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Implementing an ERP system can help by automating routine tasks, providing real-time data, and enabling better department visibility. This reduces the burden on senior management, allowing them to focus on strategic initiatives that move the company forward. <\/p>\n\n\n\n<p>Additionally, defining clear roles and responsibilities through an <a href=\"https:\/\/www.balkanservices.com\/eng\/business-software\/category\/erp\" target=\"_blank\" rel=\"noreferrer noopener\">ERP system<\/a> helps establish effective communication channels and fosters a culture of delegation, which reduces senior management overload. <\/p>\n\n\n\n<p><strong>ERP systems are beneficial as they &#8216;shine a light&#8217; on points in staff processes<\/strong> that otherwise remain hidden from management. The software often &#8222;breaks down&#8220; managers&#8217; firm belief that employees work according to their instructions.<\/p>\n\n\n\n<p>For example, by giving discounts in the same way, which doesn&#8217;t happen by empowering middle management and leveraging technology, companies can ensure that their leadership stays focused on the bigger picture, enabling sustainable growth and improved operational efficiency.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-dfd602c\" data-block-id=\"dfd602c\"><style>.stk-dfd602c {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">7. Unrealistic expectations of <a href=\"https:\/\/www.balkanservices.com\/eng\" target=\"_blank\" rel=\"noreferrer noopener\">software systems<\/a><\/h2>\n\n\n\n<p>Generally, companies are looking for a system to automatically solve their problems, but don&#8217;t realize <strong>they need to &#8222;clean up&#8220; their business processes first.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-8b6128f\" data-block-id=\"8b6128f\"><style>.stk-8b6128f {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-4dce7a1\" data-block-id=\"4dce7a1\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-83f2652\" data-block-id=\"83f2652\"><style>.stk-83f2652 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-83f2652 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-83f2652 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-83f2652\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-83-f-2652-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-83-f-2652-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 64 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M64 64c0-17.7-14.3-32-32-32S0 46.3 0 64V320c0 17.7 14.3 32 32 32s32-14.3 32-32V64zM32 480a40 40 0 1 0 0-80 40 40 0 1 0 0 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-1eafbea\" id=\"we-point-out-that-a-href-https-www-balkanservices-com-eng-business-software-category-erp-target-blank-rel-noreferrer-noopener-erp-software-a-is-not-artificial-intelligence-and-cannot-itself-take-into-account-factors-that-are-not-preset\" data-block-id=\"1eafbea\"><p class=\"stk-block-heading__text\">We point out that <a href=\"https:\/\/www.balkanservices.com\/eng\/business-software\/category\/erp\" target=\"_blank\" rel=\"noreferrer noopener\">ERP software<\/a> is not artificial intelligence and cannot itself take into account factors that are not preset.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-73be703\" data-block-id=\"73be703\"><style>.stk-73be703 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Take, for example, the logistics data of a shipment and the rules of the freight forwarders or courier companies for their packaging and transportation. This information cannot be clear without being preset in the system. In this case, <strong>in order to automatically generate a bill<\/strong> of lading based on the number of shipments, it is important to specify clear rules for how they are to be allocated to boxes.<\/p>\n\n\n\n<p>This is where the consultants&#8217; role takes the lead. <strong>It is important that these professionals have the knowledge and skills<\/strong> to step into management&#8217;s shoes and that the software&#8217;s implementation is successful.<\/p>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-6742224\" data-block-id=\"6742224\"><style>.stk-6742224 {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">8. The role of the accountant should be a controlling one<\/h2>\n\n\n\n<p>Accountants must remember that their roles are control functions, not data entry.<\/p>\n\n\n\n<p>In our experience, after implementing an ERP solution, <strong>accountants sometimes find it challenging to transition from their current work to the new system<\/strong>. The change requires accountants to become comfortable with the entire process and learn the relationships between modules and accounting records. <\/p>\n\n\n\n<p>This way, they can ensure that all the documents prepared by other employees in different departments are correct.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-cdc2468\" data-block-id=\"cdc2468\"><style>.stk-cdc2468 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-9d4b29a\" data-block-id=\"9d4b29a\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-7e455b4\" data-block-id=\"7e455b4\"><style>.stk-7e455b4 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-7e455b4 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-7e455b4 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-7e455b4\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-7-e-455-b-4-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-7-e-455-b-4-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-13df128\" id=\"the-business-software-reduces-operational-accounting-and-strengthens-the-chief-accountants-control-the-consequence-is-a-result-as-close-to-reality-as-possible\" data-block-id=\"13df128\"><p class=\"stk-block-heading__text\">The business software reduces operational accounting and strengthens the chief accountant&#8217;s control\u2014the consequence is a result as close to reality as possible.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-b71229c\" data-block-id=\"b71229c\"><style>.stk-b71229c {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Our experience shows that to make this process as easy as possible, it is essential to train people in a direction that allows them to accept change.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-3c47b23\" data-block-id=\"3c47b23\"><style>.stk-3c47b23 {height:35px !important;}<\/style><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">The key to a successful <a href=\"https:\/\/www.balkanservices.com\/eng\/business-software\/category\/erp\" target=\"_blank\" rel=\"noreferrer noopener\">ERP system<\/a> implementation: Participation of management<\/h2>\n\n\n\n<p>To ensure a successful ERP implementation, <strong>management must play a central role.<\/strong> It is critical that company management stands firmly behind the decision to change the system and is prepared to make difficult decisions when necessary. <\/p>\n\n\n\n<p>Company executives looking at ERP system change must understand that <strong>ERP system implementation is not something a consulting firm can do alone<\/strong>\u2014business transformation requires commitment from both parties.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-a8cb5d5\" data-block-id=\"a8cb5d5\"><style>.stk-a8cb5d5 {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-icon-label stk-block-icon-label stk-block stk-da3b8fe\" data-block-id=\"da3b8fe\"><div class=\"stk-row stk-inner-blocks stk-block-content\">\n<div class=\"wp-block-stackable-icon stk-block-icon has-text-align-left stk-block stk-0d742b8\" data-block-id=\"0d742b8\"><style>.stk-0d742b8 .stk--svg-wrapper .stk--inner-svg svg:last-child{opacity:0.7 !important;}.stk-0d742b8 .stk--svg-wrapper .stk--inner-svg svg:last-child, .stk-0d742b8 .stk--svg-wrapper .stk--inner-svg svg:last-child :is(g, path, rect, polygon, ellipse){fill:var(--theme-palette-color-1, #F6891F) !important;}<\/style><span class=\"stk--svg-wrapper\"><div class=\"stk--inner-svg\"><svg style=\"height:0;width:0\"><defs><linearGradient id=\"linear-gradient-0d742b8\" x1=\"0\" x2=\"100%\" y1=\"0\" y2=\"0\"><stop offset=\"0%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-0-d-742-b-8-color-1)\"><\/stop><stop offset=\"100%\" style=\"stop-opacity:1;stop-color:var(--linear-gradient-0-d-742-b-8-color-2)\"><\/stop><\/linearGradient><\/defs><\/svg><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 384 512\" aria-hidden=\"true\" width=\"32\" height=\"32\"><path d=\"M297.2 248.9C311.6 228.3 320 203.2 320 176c0-70.7-57.3-128-128-128S64 105.3 64 176c0 27.2 8.4 52.3 22.8 72.9c3.7 5.3 8.1 11.3 12.8 17.7l0 0c12.9 17.7 28.3 38.9 39.8 59.8c10.4 19 15.7 38.8 18.3 57.5H109c-2.2-12-5.9-23.7-11.8-34.5c-9.9-18-22.2-34.9-34.5-51.8l0 0 0 0c-5.2-7.1-10.4-14.2-15.4-21.4C27.6 247.9 16 213.3 16 176C16 78.8 94.8 0 192 0s176 78.8 176 176c0 37.3-11.6 71.9-31.4 100.3c-5 7.2-10.2 14.3-15.4 21.4l0 0 0 0c-12.3 16.8-24.6 33.7-34.5 51.8c-5.9 10.8-9.6 22.5-11.8 34.5H226.4c2.6-18.7 7.9-38.6 18.3-57.5c11.5-20.9 26.9-42.1 39.8-59.8l0 0 0 0 0 0c4.7-6.4 9-12.4 12.7-17.7zM192 128c-26.5 0-48 21.5-48 48c0 8.8-7.2 16-16 16s-16-7.2-16-16c0-44.2 35.8-80 80-80c8.8 0 16 7.2 16 16s-7.2 16-16 16zm0 384c-44.2 0-80-35.8-80-80V416H272v16c0 44.2-35.8 80-80 80z\"><\/path><\/svg><\/div><\/span><\/div>\n\n\n\n<div class=\"wp-block-stackable-heading stk-block-heading stk-block-heading--v2 stk-block stk-a66feac\" id=\"managers-should-only-delegate-some-responsibility-and-then-step-back-expecting-the-implementation-firm-to-handle-everything-the-truth-is-that-an-erp-implementation-requires-as-much-time-and-effort-from-the-implementer-as-it-does-from-the-company-it-is-being-implemented-for-if-not-more-active-participation-is-necessary-to-make-change-happen-effectively\" data-block-id=\"a66feac\"><p class=\"stk-block-heading__text\">Managers should only delegate some responsibility and then step back, expecting the implementation firm to handle everything. The truth is that an ERP implementation requires as much time and effort from the implementer as it does from the company it is being implemented for, if not more. Active participation is necessary to make change happen effectively.<\/p><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-852e331\" data-block-id=\"852e331\"><style>.stk-852e331 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>Something that is overlooked but essential is to <strong>appoint an internal project manager who can help synchronize internal teams<\/strong>, ensure that meetings are productive and align requirements.<\/p>\n\n\n\n<p>The commitment and leadership of the company during the implementation process, as well as keeping employees informed about how the changes will improve their performance, are critical ingredients to making an ERP system work, benefit the business, and help grow the company.<\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-e5a1b46\" data-block-id=\"e5a1b46\"><style>.stk-e5a1b46 {height:35px !important;}<\/style><\/div>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><a href=\"https:\/\/www.balkanservices.com\/blog\/en\/viplast-ad-optimizes-its-production-with-soft1-erp-cloud-software-case-study\/\" target=\"_blank\" rel=\"noreferrer noopener\">Read more: Viplast AD optimizes its production with Soft1 ERP cloud software [case study]<\/a><\/p>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-baf91fa\" data-block-id=\"baf91fa\"><style>.stk-baf91fa {height:35px !important;}<\/style><\/div>\n\n\n\n<div class=\"wp-block-stackable-divider alignwide stk-block-divider stk-block stk-6d0c0fd\" data-block-id=\"6d0c0fd\"><hr class=\"stk-block-divider__hr\"\/><\/div>\n\n\n\n<div class=\"wp-block-stackable-spacer stk-block-spacer stk--no-padding stk-block stk-a9adf44\" data-block-id=\"a9adf44\"><style>.stk-a9adf44 {height:35px !important;}<\/style><\/div>\n\n\n\n<p>No business today can grow and be competitive without the use of IT systems. Choosing the right software solution and implementing it is a complex, difficult but critically important decision.<\/p>\n\n\n\n<p>At Balkan Services we have expert knowledge of business, technology, and legislation, and we speak all three languages. We will listen carefully and advise you on choosing the right business system for your needs.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.balkanservices.com\/eng\/contact\" target=\"_blank\" rel=\"noreferrer noopener\">Request a consultation ><\/a><\/div>\n<\/div>\n\n\n\n<p>Balkan Services \u043f\u043e\u0434\u043a\u0440\u0435\u043f\u044f \u0431\u0438\u0437\u043d\u0435\u0441\u0438\u0442\u0435 \u043f\u043e \u043f\u044a\u0442\u044f \u0438\u043c \u043a\u044a\u043c \u0434\u0438\u0433\u0438\u0442\u0430\u043b\u043d\u0430 \u0442\u0440\u0430\u043d\u0441\u0444\u043e\u0440\u043c\u0430\u0446\u0438\u044f \u043e\u0442 2Balkan Services has been supporting businesses on their digital transformation journey since 2006. We have already helped over 270 companies to digitalize their business by implementing well-established software solutions and IT infrastructure management.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>8 managementmistakes made by the management of companies in Bulgaria Have you experienced the frustration of seeing your company make the same mistakes you thought could be avoided but need to know how? Too often, businesses fight the same battles year after year and fail to keep up. The situation can be illustrated by a [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":5170,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[237],"tags":[],"class_list":["post-5173","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-erp-en"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The 8 most common management mistakes - Balkan Services<\/title>\n<meta name=\"description\" content=\"What are the most common management mistakes and how can they be avoided by using business software, learn in our blog &gt;\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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