Reduce E&O with Organizational Best Practices
If you run a professional services firm, you may be busy managing the risks of your clients. This focus can help grow the business and increase customer satisfaction, but if you haven’t considered an errors and omission policy for yourself, the effort could backfire. There are several steps regarding the organizational structure that can be taken to reduce risk and streamline processes at the same time.
The more people involved in a transaction, the higher the risk of errors and omissions. If there are different procedures based on the size of the transactions, there could be inconsistencies that result in mistakes. The management team can enact best practices by:
- Ensure the organizational chart is current
- Confirm the accuracy of each employees job description including position qualifications and expectations.
- Determine if the organizational structure is horizontal or vertical and if it is the best approach.
- Organize workflow based on who is best qualified for the required tasks.
Its crucial that adequate time and energy be devoted to mitigating your agency’s risk. An errors and omission policy can help you prioritize concerns and choose limits appropriate to the profession and the region in which you operate. Enacting best practices in the organizational structure can streamline procedures and ensure employees receive sufficient training, reducing opportunities for mistakes.