Selecting an accounting system for your organization is a big decision. The selection is increasingly important when your organization is growing in size or complexity. Manual processes will drain your productivity and you may struggle to analyze the growing amount of financial and operational data. Therefore, you need to modernize your system.
A white paper entitled “Modern Accounting Software Features You Need for Today and Tomorrow” from Intacct provides a list of four essential attributes to look for when selecting a modern accounting system, which are outlined below.
1. Automated, Flexible Financial Processes
A modern general ledger is more than a standard chart of accounts – it lets you manage, analyze, and present your financial information the way you want, without adding complexity to your chart of accounts or using external reporting tools. Your modern accounting system should adapt to your optimal business structure and workflows rather than limit your business flexibility, or force you to re-implement software or re-write custom code.
2. Business Insight
A modern accounting system provides in-depth, real-time insight into the business, allowing you to capitalize on new business opportunities or quickly recognize the need for corrective action. You will benefit from having a thorough picture of the financial performance of your organization, from high-level summaries down to the underlying transactions.
3. Cloud Architecture
A modern accounting system is cloud-based so you can lower IT costs, reduce technology risks, and improve productivity. Using the cloud also gives you flexibility to choose best-in-class solutions that focus on ease of integration with other leading software solutions to meet your needs in each business area (unlike suites, that primarily focus on ensuring that applications within the suite are integrated).
4. The Right Company
Be sure to work with an organization that is committed to providing you with a world-class accounting system, not just a suite of software and services that you may not need.
Keep in mind that at minimum, a modern accounting system should automate and streamline core financial management functions such as:
- Accounts receivable (order to cash)
- Accounts payable (procure to payment)
- Financial close
- Time and expense capture
- Fund accounting
- Project accounting
- Revenue recognition and management.
When selecting a modern accounting system, make sure to look for these attributes to ensure a modernized system. A system with these attributes can better help you handle a growing organization. For more information, including checklists for each attribute, view the entire whitepaper, or visit the additional resources listed below.