TEX Plastics welcomes Edward Makwalo
4 March 2024
Edward has joined as the Derby facilities Assistant Accountant, we’re delighted to have him on board and here’s a little bit about him and his journey.
A commercially experienced in-house accountant
Edward graduated Derby University after studying his BA (Hons) Accounting and Finance back in 2018, since then he has worked as in-house accountant and gained valuable experience. His first challenge was familiarisation with TEX Plastics and the injection moulding process. Understanding the company's structure, operations, and key financial processes. Then getting acquainted with the specific accounting requirements and challenges within the manufacturing industry.
Injection moulding and manufacturing is very different
“The role offered by TEX Plastics was very different to the other businesses I've worked. I saw it as a real challenge, and it provided me with the potential to develop my skills and knowledge in accounting and finance. What interested me most was working closely with other departments, particularly production and procurement, to ensure financial information aligns with operational activities. Keeping abreast of industry trends and regulatory changes is crucial for effective financial management in a manufacturing setting.”
Edward Makwalo Assistant Accountant, TEX Plastics Derby Facility
Finance responsibilities at TEX Plastics injection moulding
TEX Plastics have intricate cost structures, involving direct and indirect costs, overheads, and varying production volumes. Allocating costs accurately and understanding the full cost of production can be challenging. Amongst Edwards responsibilities will be the following:
Inventory Management
Managing inventory efficiently is crucial in manufacturing. We need to ensure accurate valuation of inventory, consider different inventory accounting methods, and address issues like obsolescence and shrinkage.
Regulatory Compliance
Working within the manufacturing sector means we are subject to various regulations, both in terms of financial reporting and industry-specific compliance. Staying updated on changes in tax laws, environmental regulations and health and safety standards is essential.
Variance Analysis
Variance analysis is essential to understand differences between budgeted and actual costs. In plastic injection moulding, variances can occur due to changes in raw material prices, production inefficiencies, or unexpected disruptions in the supply chain.
Cash Flow Management
Manufacturing plastic parts often involves significant upfront costs for raw materials, equipment, and labour. Balancing cash flow, especially during periods of high production or economic uncertainty, is a constant challenge for our finance department.
Depreciation and Asset Management
TEX Plastics have substantial investments in moulding machinery and ancillary equipment. Calculating and managing depreciation, ensuring accurate asset valuation, and handling disposals can be complex.
Supply Chain Risks
Global supply chain dynamics can impact manufacturing businesses. The financial implications of supply chain disruptions, currency fluctuations and changes in the cost of imported materials, all fall within the finance departments remit.
Budgeting and Forecasting
Like any manufacturing business, TEX Plastics is susceptible to uncertainties related to demand fluctuations, market conditions, and geopolitical factors. The finance team must develop robust budgeting and forecasting models that can adapt to changes in the business environment.