Key takeaways
- Parental leave is usually known well in advance, so start planning the cover as soon as the date is fixed.
- Put in writing what the cover is responsible for, which decisions they make themselves and which approval limits apply.
- A good handover covers access, approvals, calendar, open issues, contacts and documentation, and the result is recorded in writing.
- Plan an overlap both for the handover and for the return, so that each transition can happen calmly.
Contents
Unlike a sudden absence, parental leave, maternity leave or a sabbatical is usually known well in advance. Even so, cover in accounting is often only organised shortly before the last working day. Making good use of the time available ensures a smooth handover – and a return that works well for everyone involved.
01When to start planning
The timing of parental leave or a sabbatical is usually known early on. Start planning as soon as it is fixed – not just a few weeks beforehand. That leaves time to choose the cover, prepare the handover and schedule a period of working together. Check, too, which deadlines fall during the absence: the year-end close, an audit or group reporting all need particular attention.
02Internal cover or an interim solution?
This works if a colleague has the technical depth and is noticeably relieved of their own day-to-day work. Otherwise you end up with two gaps instead of one.
Spreading tasks across several people can work for transactional processing. Leadership tasks such as approvals, the close and managing the team, however, need one clearly named person.
An experienced interim professional takes on the role for the agreed period, is effective without a long induction and leaves on a planned date when the permanent employee returns. In leadership roles and during closing periods in particular, this brings calm to the team.
03Defining the role and authority clearly
Whichever solution you choose, it should be set out in writing what the cover is responsible for – and what not. This gives everyone involved certainty, including in dealings with banks, the tax adviser and the auditors.
- Which tasks does the cover take on in full, and which only in part?
- Which decisions do they make on their own, and which do they agree with management or the CFO?
- Which approval limits and powers of attorney apply for the period of cover?
- Who is their designated contact in senior management?
- How will the cover be announced to the team and to external partners?
04Handover checklist
A good handover is more than a list of passwords. Go through the following points together and record the outcome in writing:
- Access and permissions: ERP, online banking, portals, tax authority and other official logins, shared drives.
- Approvals and powers of attorney: who approves payments, who signs what – and what needs to be adjusted for the cover?
- Calendar: closing dates, filing deadlines, audits, recurring reconciliations.
- Open topics: ongoing queries, special cases, projects and where they currently stand.
- Contacts: tax adviser, auditors, banks, the group, key suppliers and customers.
- Documentation: work instructions, charts of accounts, reconciliation templates – and where to find them.
Practical tip
Go through the handover together point by point and record the result in writing – a good handover is more than a list of passwords.
05Overlap and onboarding
The handover works best when the cover and the post-holder work side by side for a while. Ideally, the cover goes through one month-end close together with the post-holder. Actively introduce the cover to the team and to key contacts, so that it is clear who makes decisions and from when. Set aside time for this phase deliberately: anyone who has to fit the handover around their other work tends to pass on only the bare minimum.
06Thinking ahead to the return
Good cover prepares for its own end from the very start. To make the return go smoothly, it helps to settle these points early:
- Put the return date in the calendar early and plan a handback.
- During the absence, keep a record of what changes: processes, systems, people.
- Keep in touch only to the extent agreed, without drawing the absent person into day-to-day business.
- Plan an overlap for the return as well, so that the person can settle back in calmly.
07In practice
At Live Nation Entertainment, Loretta Schneiders, as Interim Team Lead Accounting, took on the functional leadership of a team of 20 people across accounts receivable, accounts payable and artist accounting, and deputised for the Head of Accounting on cross-functional topics and escalations. The mandate ended with the handover of a stable, well-structured team with clear processes.
Loretta Schneiders
Senior interim finance leadership with an international outlook. Clarity in numbers. Structure in processes. Leadership with impact.