Reconciliation from Colour Objects to Number Sets
Colour and Number (顏色和數目) are a basic element to support the efficient works of professional accounting and the effective works of financial management. Colour represents perception as it does not physically exist while number represent measurement and precision which is used to count physical objects and abstract ideas e.g. human perception (認 知) of the value of goods and services.
Apart from narrow scope of the definition of colour, it can be used to represents a practice of approximation or rough measurement because when you identify any your friend, family, pet, physical asset, etc by approximation quickly. So you have to take a certain level of risk.
In today digital world, colour and number are interdependent for each other. If the computing device cannot output any colour by either printer or monitor, we cannot leverage our retina (視網膜) to support rapid data entry and interpretation of financial data. If the computing device cannot process number by either 0 and 1, it is not possible the device can send us any imaging signal.
The earliest history of human capable of applying colour is up to 40,000 years. The history of the substance of applying the counting technique (e.g. scratch marks on a bone) is much longer than it forms (e.g. count as number one) and the history of applying colour. The most common use decimal Hindu-Arabic and binary number system numeral systems are the most impact to human and computer in applying the counting technique. At the end of the introduction of colour and number, firstly please think about the follow two questions: –
Can you prepare double entry vouchers without using decimal number system?
Can computer process your double entry vouchers without binary number system?
Recognition of Different Colours and Numbers
For the age of 3 months, a baby can recognise familiar objects. Further 15 months, the baby is learning how to count visible objects. Recognition of colour objects which involve a complex process of matching the key combinations of colours (i.e. certain distinctive characteristic of objects). Comparison with the same age of children stages, obviously the capability of matching colour objects is stronger than matching numerical statements (assuming base on a comparable complexity). The capability of matching numerical statements highly depends on investment in education. An accountant is a trained professional while a colour artist is born.
Reconciliation of Different Colour Objects and Number Sets
Most untrained people can recognise different colour objects, to recognise its differences in a rough manner, but unlikely you can find out a full list of differences. Professional Accountants are equipped with the capability to deal with the reconciliation of number sets in different combinations and presentations. For example: –
Precision: 1 and 1.01
Currency: HKD 1 and USD 1
Time: year: 2017 of $1 and year 2027 of $1
Colour/Size/Style: 1 and 1
Langauge: One and 壹
Unit of Measurement: 1 Kg and 1 Feet
Account Code: 1100 Fixed Asset Account and 6000 Sales Account
People can reconcile two different sets of number to achieve 100% precision, but it is unlikely they can reconcile two different colour objects to achieve 100% precision.
The number can be better than colour as a primary tool for accounting to achieve precision while colour as a secondary tool to support the better presentation of information e.g. colourful chart and dashboard.
Nowadays business, we cannot accept to process and prepare accounts without computerisation. At least, the computer can support storing a mass volume of numbers by different types of storage devices. These numbers can be kept for an unexpected number of years. Early age of computerised accounting there was heavy demand for printing to support reconciliation of account manually. Account reconciliation is always a problem of the finance department.
Extending Computerised Accounting by ERP Software
Loss of Control of Data Integrity
When business operations become large in scale and systems are fragmentation, there are increasing chances data are being corrupt and lost. In this scenario, both IT and Finance Department may have some kinds of co-operations try all best to eliminate the workload of data reconciliation. In term of the sizable fragmented database, it may not be practical to prepare all relevant data reconciliation to achieve 100% precision. Mass volume of numbers as a whole become similar to colourful objects, you can recognise these colourful objects are matching with your expected objects, by approximation or by chance!
This is a performance test – your reconciliation speed. It is no doubt base on the above colour and number animation; you can recognise there is at least one difference between each image of the animation quickly. However, it is not easy for you to identify how many unique images of the animation by using merely your eyes and memory. See the following image; there are two sets of colour-number 10 x 10 matrix. Please try to measure your speed 1) Reconciliation of Colour Cells 2) Reconciliation of Number Cells.
Automation of Reconciliation
Designing relevant rules to adapt different kinds of data and account reconciliation can be a right direction you work toward success. However, whenever your management has priority of resource allocation e.g. spending on advertising to boost sales, it is not easy you can have a reasonable financial resource to upgrade your IT infrastructure to eliminate the rise of unreconciled data and accounts.