What Makes Business & Accounting Software Effective?
For modern software to be effective in your business it must be easy to use, have a degree of flexibility and make use of today's technology to save you time and your organisation money. Here are 10 important points for you to consider when thinking about your business and accounting software package.

Did You Know That Some 83% Of Businesses Say That It Takes Them Hours Rather Than Minutes To Produce Their Management Reports?*

1. Easy & Instant Links With Microsoft Excel
First of all, the software should allow you to create YOUR own reports in Microsoft Excel. Therefore it should be possible to link the cells in your spreadsheet to the information in the business software package. This means that as soon as the information in the software is updated, your spreadsheet is updated saving hours of time and unnecessary mistakes by avoiding re-keying.

67% of Finance Directors prefer using Excel*

2. Presentation For Comfort
It is important that the software is clear, colourful and well presented so that it is easy on the eye and quick and intuitive to get around. This makes it easy to learn and comfortable to use for everyone, especially those who will be using the software for most of the day.

3. Instant Information To Keep You In Control
It must be easy to analyse information without the need to create complex coding structures and the information must be available to see instantly on-screen so that you don't need to run long and time consuming reports. It must also be able to give you an on-screen, top-down hierarchical view of your financial operation providing you with the ability to see your total assets, liabilities, profit/loss at a glance and explore each level below (drill-down) right down to the individual transactions in all ledgers.

4. Accounting Period Flexibility
Make sure it has an "Open Period" design. This does not necessarily mean users can go back and post to previous periods without control. An open-period design allows users to enter transactions for the next month without having to wait for last month to be closed. There must be no limit to retention of history i.e. keeping past years of information so there is no excuse for not comparing year-on-year data. The information must be easily presented on-screen or in Excel i.e. you must be able to display information relating to any period of any year for any code.

5. Business Intelligence: Data = Knowledge
Having fast access to relevant and accurate information is essential in today's dynamic business environment. A system should have a range of applications able to automatically manage the day to day communications with clients and suppliers and be able to collate and distribute real time information for decision makers.

6. Notes and Links For Relevant Information
It should have the ability to add unlimited 'Notes' and to 'Link' external files on individual sales or purchase transactions as well as customers, suppliers and jobs so that you can keep all relevant information together. It must also be possible to flag notes for other users attention allowing them to instantly view the source of the note thereby saving time looking up what was being referred to.

7. Electronic Authorisation via E-mail
There is a dilemma in many accounts departments...Purchase Invoices come in, they need to be Authorised (for payment or confirmation of expense code) by someone outside of the accounts department. This may mean that the original invoice is sent to the Authoriser (risking loss and delay in processing) or a photocopy is sent. Ideally a system will allow for options such as entering the Purchase Invoice which then automatically sends an e-mail to the Authoriser, informing them that the invoice has been received and requesting Authorisation. If the Authoriser is happy, then they simply click Reply and enter their password. The Authoriser should not necessarily have to be a user within the accounting system.

8. Proactive Alerts Using E-mail or SMS Text Messaging
Are there people in your organisation such as Account Managers that need to be made aware of particular transactions? The ability to set-up E-mail or SMS Text Message Alerts based on any data within the accounting system could help. E-mailed Alerts should have the option of attaching a copy of the transaction it relates to. For example, the Account Manager may wish to be informed automatically by e-mail every time a customer places an order. Attached to the e-mail is an Adobe PDF copy of the order.

9. A Simple Fixed Asset Register
Almost every mid-sized organisation could do with a straight forward computerised Fixed Asset Register whereby, for example, any time a Purchase Invoice is entered and the Balance Sheet code for 'Office Equipment' is used, the asset is created in a 'pending folder' within the Asset Register. Once you have reviewed the 'life' and depreciation method, the asset is automatically depreciated each month and a journal is created in nominal ledger daybook ready to be checked by you.

10. Ability To Integrate
Today every system should have the ability to integrate with other applications. For example, many organisations have software designed for their particular industry such as a membership system or a timesheet system or a Point of Sale terminal. In many cases the Sales Invoice along with other information is produced and collected from this 'front end' software application. It may be possible to save re-keying of some of this information by making use of Import/Export functions.

For more information on knowing what to look for in business and accounting software please call us on 020 7831 2777 or 0121 439 2570.

*Independant surveys conducted by Whitegate