Posts tagged with "accounting"

new-generation-accounting

Why is Innovation in Accounting So Slow?

Accountants have been relying on Microsoft Excel since the 1980s, so you could say innovation in accounting is slow going. It turns out, there are several barriers to innovation that are specific to the accounting and financial services industry. What are they, and what can we do to squash them?

Jody Padar writes on AccountingToday that innovation isn’t typically in accounting’s nature. While accountants are good at mimicking innovation, it often doesn’t stick. Here are some of the top barriers that are keeping innovation in accounting slow. 

Organizational barriers. Accountants and accounting departments often trip up here. We get stuck in a routine that works–for a while–until it becomes a rut. Microsoft Excel is a great example of this. Its usefulness has long since expired, yet many of us continue to cling to it, maybe because of familiarity, or maybe “because we always have.”

Cultural barriers. Accountants by trade tend to be risk averse, but many accountants are (incorrectly) touting themselves as innovative. One of the main tenets of a successful accountant is to be able to analyze what has occurred in the past. Predicting the future? Less easy. Being an innovator requires taking risks, which often lead to missteps. A culture where you can make a mistake, pick yourself up, and try again is a necessity.

Regulatory barriers. Being mindful of regulatory measures and compliance means the opportunity to be creative and innovative can sometimes be non-existent. Much of an accountant’s job is spent understanding and working within the constraints of regulatory updates, so how can we find the time to innovate?

Technological barriers. Cloud software is a boon for the industry, yet many accountants are reluctant. Trading in clunky software for something sleek that automates and takes the guesswork out can feel like a threat, or it can feel too good to be true. Embracing advancing technology will keep you relevant in an industry that desperately needs to remain relevant. 

Market barriers. Following the market keeps you safe, not innovative. Again, risk comes into the equation here. Innovating is about advancing beyond the status quo. To be an innovative leader, you need to suss out what’s limping along and then revise it. 

What next?

Updating your software, improving your communication, enhancing your processes, and updating your pricing structure are all necessary to innovate. And, Padar suggests that a willingness to be agile is critical as well. By applying a goal of agility, you’re setting yourself up for consistent improvement, which keeps you relevant. It’s a chain reaction. 

Innovate with Flexi 

To successfully innovate, you first need to update your software. Flexi is an innovative cloud accounting solution that boasts 1,500 customers and 20,000+ users. Submit your information and get a demo of the Flexi suite today. 

 

Category: Accounting Software, Blog

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Why Process and Workflow Are So Important in Enterprise Accounting

Multi-entity accounting is complex, rendering process and workflow all the more important. Process, workflow, and a solid accounting software solution that is uniquely designed to handle the complex consolidation and reporting needs of multiple companies, divisions, or global entities is a necessity.

Some of the processes that plague enterprise accountants are: consolidations, intercompany postings, acquisitions, currencies, reporting, and auditing. With the right enterprise software, many of the problems that crop up regularly can be addressed swiftly:

  • Consolidations – Software can provide continuous close capabilities to allow the CFO to gain immediate views of consolidated financials and easily move through the soft close and period close processes.
  • Intercompany Postings – Automatically posting a transaction across multiple entities in a single screen ensures books for both “due to” and “due from” are always in balance.
  • Acquisitions – Newly acquired companies can be integrated faster with the right software that can rapidly clone company setups.
  • Currencies – When global operations are involved, financials can be easily viewed in local currency for field operations, or standardized into a single currency for headquarters purposes.
  • Reporting – Reporting and analysis benefits from real-time visibility with instant roll-up reporting or consolidations.
  • Auditing – With a tightly integrated platform, all transactional data, along with workflow documentation and approvals, are visible with a click of a button – right down to the journal entries.

Consolidating multiple companies, products, and/or divisions can add weeks of time to the financial close process, but it doesn’t have to. Industries that require you to quickly roll up reports or consolidate financials across multiple entities–like financial services, franchises, hospitality, logistics and transportation, property management, and building and construction–can benefit from a multi-entity software overhaul.

Flexi can overhaul your processes and workflows

Flexi’s software was built to perform, saving finance teams hours and weeks of time.

Flexi’s open architecture allows flexibility to choose stand-alone modules as business needs dictate. But enterprises will gain the ultimate speed and power with the entire financial management software platform, uniquely designed to allow financial data to flow securely wherever it is needed, with full integration into your other proprietary or third-party systems.

Submit your information and get a demo of the Flexi suite today. 

Category: Accounting Software, Blog

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wrong accounting entry

What One Wrong Accounting Entry Can Do to An Enterprise Company, And How To Fix It

Multi-entity accounting is complex, and one wrong accounting entry can slow down the whole operation. Multi-entity organizations face such complexities as multiple currencies, global consolidations, decentralized payables, and inter-entity transactions, to name a few of the challenges. What’s more, consolidating multiple companies, products, and/or divisions can add weeks of time to the financial close process to begin with, and that’s when errors aren’t present. 

Fortunately, growth is easy, reports are clear and easy to run, and closing is faster with continuous multi-entity financial consolidation software. To get ahead of the curve, implementing an accounting solution that comes standard with the following features can save many future headaches in multi-entity scenarios.

Consolidations – Continuous close capabilities allow the CFO to gain immediate views of consolidated financials and easily move through the soft close and period close processes.

Intercompany Postings – Automatically posting a transaction across multiple entities in a single screen ensures books for both “due to” and “due from” are always in balance.

Acquisitions – Newly acquired companies can be integrated faster with features that rapidly clone company setups.

Currencies – When global operations are involved, financials can be easily viewed in local currency for field operations, or standardized into a single currency for headquarters purposes.

Reporting – Reporting and analysis benefits from real-time visibility with instant roll-up reporting or consolidations.

Auditing – Transactional data, along with workflow documentation and approvals, are visible with a click of a button, right down to the journal entries.

Flexi

If your work requires you to quickly roll-up reports or consolidate financials across multiple entities, you owe it to yourself to look into Flexi.

Flexi services multi-entity organizations in such industries as financial services, hospitality, logistics and transportation, property management, and construction.

The ability to greatly simplify multi-entity accounting is just one of the reasons why enterprises have relied on Flexi for over 25 years. Flexi’s accounting software is uniquely designed to handle the complex consolidation and reporting needs when multiple companies, divisions, or global entities are involved.

Flexi will lead you to:

  • Less paper, and no manual errors
  • Faster period close
  • Real-time financial updates, whenever and wherever needed
  • Standardized workflow with built-in approvals
  • Mobile access to financials through any device
  • Visualization tools with real-time visibility of every transaction and complete audit trail

Submit your information and get a demo of the Flexi suite today. 

Category: Accounting Software, Blog

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period accounting

What Exactly Is Period Accounting?

To understand, analyze, and strategize your business, you need first to ensure that your period accounting is correct. Period accounting is the time covered by your financial statements in the reporting period. 

Your period accounting is correct only if you ensure you are correctly deferring revenue and recognizing associated costs. Failing to correctly claim costs will cause a spike in your profit and loss accounts, rendering your analysis null and void. Analyzing numbers without considering their relationship does not provide you with the multidimensional analysis you need to succeed as a business.

It is common for businesses to split their accounting systems between two platforms, one for invoices and one for accounting. Neither platform on its own can provide you with enough information to fully analyze your business. For example: your invoice engine isn’t concerned with period accounting, and your accounting system only indexes costs by supplier, not split between contracts and projects or against sales.

Adopting a PSA (professional services automation) tool can act as a key differentiator for period accounting. A PSA tool will offer indexing capabilities that a traditional accounting system does not. Adopting a system to connect prices and asset values for all financial transactions is a necessary step. Being able to cross-index against the project or customer on which you’ve incurred costs gives visibility to the true customer margins. 

A PSA tool allows you to capture and control business processes to provide a full picture of your company’s profitability. These accounting events need to also wind up in your accounting system.

By using a model like the ‘null’ model, the invoice line trigger model, the invoice post model, or the journal post model, you can use your PSA tool to drive accounting processes to help you fully analyze your business. 

Flexi aims to simply accounting processes

Simplifying accounting processes to make analysis and strategy easy is Flexi’s goal. Trusted by enterprises for 25+ years, Flexi is among the most experienced accounting software providers in both the cloud and on-premise markets.

Submit your information and get a demo of the Flexi suite today. 

 

Category: Blog, Uncategorized

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Organization Accounting Software

How To Get Your Organization to Want a New Accounting Software

Implementing new technology solutions is tough, especially in large or high-growth organizations. In larger companies, different divisions often use their own specific platforms for accounting, data reporting, and more, but all the systems need to integrate for the sake of better decision making. They often don’t–or not very well, at least–leading to manual processes and bandaid solutions that quite honestly make everyone’s lives harder.

Before even getting to that point, just getting everyone’s buy-in to embrace change can be challenging in and of itself. It’s not unusual for the switch to take a couple of years, and in the early stages, people hold on tight to old, often manual, processes. Ultimately the switch to the new solution is usually a positive and efficient one, but it takes time. 

How do you get your team’s buy-in? Consider the following:

Define timelines

It can take 9-12 months to roll out a new solution organization-wide. It seems like a long time, and it’s important to set expectations early and often. If you don’t plan for enough time, there will be lots of false starts and delays, which frustrate everybody–especially the executives. Rushing it and getting it wrong is far worse than taking your time to get it right. Make sure everyone is in agreement on that.

Prioritize reporting needs

Virtually every department will have their own reporting needs. Fortunately, most newer solutions offer custom reporting. During the testing phase, make sure stakeholders have the opportunity to test out the reporting feature to ensure that the solution can provide customizable, easily formatted reports that fit the needs of the masses.

Reward small victories

It is no doubt a frustrating process to roll out a new accounting software that changes processes and workflows from the ground up. To keep your team positive and engaged, reward small victories and incentivize along the way. The day to day will feel tedious, but reminding everyone what you’re working towards is a helpful tip. Celebrate wins, even small ones.

Consider ROI

This is arguably the most important point. Lean on your network to prove your chosen solution’s ROI. Your executive team won’t approve a change if it isn’t going to be good for the bottom line. Additionally, the vendor should be proving ROI in the way of case studies and reports. Poke holes and ask questions to get to the heart of the matter.

Choose a solid solution, like Flexi

Flexi may be the biggest, most trusted accounting software company you’ve never heard of – which means its  partner network is doing its job. While Flexi sells directly to customers, its software is also private labeled throughout the world by companies such as Allscripts, StoneRiver, Majesco, and Molina Healthcare (formerly a division of Unisys).

Flexi’s reach is further strengthened through strategic partnerships with BPOs (business process outsourcing), FAOs (finance and accounting outsourcing), and industry-specific technology providers like Acturis. Submit your information and get a demo of the Flexi suite today. 

 

 

 

Category: Accounting Software, Blog

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Accounting Team

Why Your Accounting Team Isn’t Operating Full Tilt, and What To Do About It

It’s imperative that your accounting team is a well-oiled machine. Deadlines are tight, the board is demanding, and time is of the essence for all facets of accounting, including reports and payroll. There are many reasons your accounting team could be slowed down to a stop, but there’s a lot you can do about it. 

  • Is your team still reliant on Microsoft Excel?

Microsoft Excel was once the industry standard, but today’s business’ complex accounting needs dictate. If you’re still reliant on Microsoft Excel, finding a new solution is going to be the key to implementing better processes to speed up your accounting department. 

  • Is your security at risk?

When data is hacked, stolen, or otherwise compromised, business screeches to a halt. With cloud-based solutions, data is more secure because it is encrypted and stored on remote servers. Enhanced security only serves to keep your business moving at all costs.

  • Are you sure your team is all accessing the same data?

If you’re not using a central repository of data that can be accessed from a web browser, then there might be different variations floating around in your colleague’s inboxes or saved to their desktops. If users are accessing and using (and making important business decisions) based on varying versions of data, how can you be sure that you’re operating at full capacity?

  • Are you limited by an on-premise solution?

On-premise solutions are installed locally on your computer. This can be tricky when employees are traveling or for whatever reason cannot get into the office due to a family emergency, inclement weather, or otherwise. By using a cloud-based service, everyone can access the same data with any device with an internet connection, so a business can stay on track even if key players can’t make it to their machines. 

Flexi can help you speed up your accounting department

Trusted by enterprises for 25+ years, Flexi is among the most experienced accounting software providers in both the cloud and on-premise markets. Organizations of all sizes, particularly those with complex accounting requirements such as multi-entity and intercompany accounting needs, are benefiting from Flexi’s value: rich features, flexible deployment, easily customized, low maintenance, and highly-rated support, all at an attractive total cost of ownership. 

Flexi’s comprehensive financial management software simplifies and automates the entire accounting workflow process, without compromising security. Flexi’s open architecture meets even the most stringent security requirements yet allows data to flow seamlessly with any system, whenever and wherever business needs dictate.

Flexi delivers all the rich features you’d expect in a top tier accounting solution, but without the high cost. With quick implementation that can be deployed on-premises, in the cloud or in a hybrid environment, Flexi will not only simplify your accounting processes today but also will have you ready to adapt quickly to market or business changes in your future. Submit your information and get a demo of the Flexi suite today. 

 

Category: Accounting Software, Blog

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new-generation-accounting

How a New Generation of Accountants are Ready to Change the Industry

As technology has sped up and automated bookkeeping, accountants and finance professionals have struggled to find traditional accounting work, specifically in bookkeeping roles. The unemployment rate for the finance sector represents roughly half of U.S. unemployment, and not because work is scarce, but because the desired qualifications of accountants have changed.

Sophisticated platforms that utilize AI and automation are cheaper and more reliable than humans in many ways; success in the accounting field has demanded more from its workforce than it did even a decade ago, with a new emphasis on strategic and advisory services, including being educated on various technology platforms.

To get new and seasoned accountants up to speed so they can find and maintain work, the industry and how the education system interacts with it needs to undergo some major reno.

The CPA Journal noted in 2017 that a major setback to finding skilled and competent workers in the field is rooted in education. The types of problem solving that on-the-job accountants are now facing is not taught in the traditional accounting curriculum, so the expectation of providing advisory services for newly minted accountants is often beyond their skillset.

To address the root of the problem, institutions need first update their curriculums to provide settings to teach young accountants more about strategy and less about bookkeeping, which is largely handled today by software.

On that note, academia should not be operating in a vacuum. To prepare graduates with the skills needed to perform the duties expected of them at their first jobs, businesses and universities need to engage in dialogue. Internship programs are one excellent way to give students real-time experience before earning their degrees.

In April 2019, the Bureau of Labor Statistics reported that the U.S. added 140,000 accounting and auditor positions to the workforce, but the global workforce pool is still too small. Until curricula and training programs catch up to speed, we will experience a deficit of qualified talent in the industry.

Flexi can supplement your accounting team

Your team is expected to do more than ever, and Flexi can provide software that automates, provides fast reporting, and supplements your team in a rich array of ways so they can focus their efforts where it matters most: strategy and advisory services.

Trusted by enterprises for 25+ years, Flexi is among the most experienced accounting software providers in both the cloud and on-premise markets. Organizations of all sizes, particularly those with complex accounting requirements such as multi-entity and intercompany accounting needs, are benefiting from Flexi’s value: rich features, flexible deployment, easily customized, low maintenance, and highly rated support, all at an attractive total cost of ownership.

Find out why 1,500 customers and 20,000+ users rely on Flexi. Submit your information and get a demo of the Flexi suite today.

 

 

 

Category: Accounting Software, Blog

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accounting-process-slow

Why Poor Processes Will Slow Your Accounting Department Down

Accounting processes can take a seemingly exorbitant amount of time when time is of the essence. Increasingly, locally-installed software is more time consuming and less convenient than cloud-based solutions, leading to poor, manual processes, longer wait times for data, and higher rates of inaccuracy in data.

Here are the top processes that are slowing your accounting department down.

  • You’re still relying on Microsoft Excel

Microsoft Excel was once the industry standard, but today’s business’ complex accounting needs demand more. If you’re still reliant on Microsoft Excel, finding a new solution is going to be the key to implementing better processes to speed up your accounting department.

  • Your team members could be using different versions of data

If you’re not using a central repository of data that can be accessed from a web browser, then there might be different variations floating around in your colleague’s inboxes or saved to their desktops. If users are accessing and using (and making important business decisions) based on varying versions of data, how can you be sure that you’re operating at full capacity?

  • Access is limited

On-premise solutions are installed locally on your computer. This can be tricky when employees are traveling or for whatever reason cannot get into the office due to a family emergency, inclement weather, or otherwise. By using a cloud-based service, everyone can access the same data with any device with an internet connection, so a business can stay on track even if key players can’t make it to their machines.

  • Security is compromised

When data is hacked, stolen, or otherwise compromised, business screeches to a halt. With cloud-based solutions, data is more secure because it is encrypted and stored on remote servers. Enhanced security only serves to keep your business moving at all costs.

Flexi can help you speed up your accounting department

Trusted by enterprises for 25+ years, Flexi is among the most experienced accounting software providers in both the cloud and on-premise markets. Organizations of all sizes, particularly those with complex accounting requirements such as multi-entity and intercompany accounting needs, are benefiting from Flexi’s value: rich features, flexible deployment, easily customized, low maintenance, and highly rated support, all at an attractive total cost of ownership.

Flexi’s comprehensive financial management software simplifies and automates the entire accounting workflow process, without compromising security. Flexi’s open architecture meets even the most stringent security requirements yet allows data to flow seamlessly with any system, whenever and wherever business needs dictate.

Flexi delivers all the rich features you’d expect in a top tier accounting solution, but without the high cost. With a quick implementation that can be deployed on-premises, in the cloud or in a hybrid environment, Flexi will not only simplify your accounting processes today but also will have you ready to adapt quickly to market or business changes in your future.

Submit your information and get a demo of the Flexi suite today.

 

Category: Accounting Software

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AI Automation Accounting

How AI & Automation Are Making Their Way to Accounting

Artificial intelligence (AI) and automation are making their way to accounting, just as they are permeating all other industries. AI is getting stronger and smarter as technology evolves, becoming not just an automator but also a smart technology that can learn and draw conclusions in real time.

As AI continues to advance, many fear it. While the perceived threat of job extinction looms, AI and automation can actually be extremely beneficial for accountants and finance professionals. By remaining adept and relevant in the industry, you are likely not to be replaced by robots anytime in the near future.

Working with AI and automation, not against it

Embracing advances in technology is key to remaining relevant in the industry.

AI and automation largely take the guesswork and possibility of manual error out of everyday processing. A large chunk of accounting tasks were at one time reliant on manual data entry, which meant manual mistakes. Automated, cloud-based software provides a level of security and data integrity previously unknown to accountants. These are all good things.

With increased accuracy and decreased time spent creating and running reports, accountants are left with time left in their day to devote to other, more strategic tasks. In fact an entire component of modern accounting relies on strategic and advisory services, and if your firm or organization has the time to devote to providing such services, you have an immediate edge over your competitors in the field.

While AI and automation reduces or eliminates many of the tasks historically known to the accounting role, AI and automation free up time for accountants to become subject matter experts on the various technologies and systems available today, providing a new level of value to clients.

Additionally, there are many elements in the financial industry that remain impermeable to AI and automation. A study cited by Business.com notes that 68 percent of clients surveyed prefer having access to a financial advisor over a technology offered as a replacement. This statistic makes it very clear that plenty of folks prefer the personal, human element when it comes to strategizing and problem solving. And fortunately, machines can’t replace that.

Flexi helps you embrace the future

Flexi provides software that automates many aspects of the accounting process, freeing up your time and making sure you can close the books and provide reports in a timely manner to boot. Flexi won’t replace you; Flexi will work with you.

Learn more about partnering with Flexi today. Call 800-353-9492.

Category: Blog

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Accounting and Robots

Are Robots Posed to Take Accounting Jobs?

Are robots posed to take accounting jobs? No, not exactly. But kind of.

Science fiction would have you believe that the human race is on track to be replaced by robots in the near future, but while advances in technology are increasing artificial intelligence (AI) and automation, the likelihood of robotic replacement is slim.

There are plenty of instances where a human touch is preferred. Not everything can be outsourced to machines. A study cited by Business.com found that 68 percent of clients surveyed prefer having access to a human financial advisor rather than a simple technology solution.

That’s a relief for accountants, but it’s important to note that this is also dependent on the task being performed. As a common example, many of us use software that is widely available (and sometimes free) to file our taxes over visiting a tax consultant, so your mileage may vary when it comes to what you’re willing to leave to the machines.

It is true that much of the manual work traditionally completed by accountants can now be automated. This means that accounting firms can save money by employing fewer people, increase accuracy by eliminating opportunities for manual error, and shift their focus to providing strategic and advisory services, which is in increasingly high demand.

But as for technical accountants who work in niche industries or delve deep into regulations and compliance? Robots aren’t likely to replace them.

Relevancy is key

Being irrelevant in your field is the kiss of death. If the threat of AI and automation is looming, focus on expanding your skillset and breadth of knowledge. By embracing technology, you can provide advisory services to clients to help them choose the software that’s right for them. If you’re not neck-deep in a spreadsheet hunting for the one equation that is causing your error, then you have lots of time back on the clock to truly refine your skills and become a subject matter expert in your field. This provides value to your clients and gives you a competitive edge.

AI is getting smarter–not just automating anymore, but learning and drawing conclusions. Your best bet is to embrace it for the tool it is. Let it do its job while you focus on yours.

Flexi

Implementing cloud-based accounting software is your first step to embracing AI, automation, and the robots of the future.Learn more about partnering with Flexi today. Call 800-353-9492.

Category: Blog

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