Can You Close Your QAD Enterprise General Ledger in a Day?
Posted on: December 1, 2008 | By: SuperUser Account | QAD Financials
Can You Close Your QAD Enterprise General Ledger in a Day?
What prevents your accounting team from closing the books in a single day? What are the excuses?
- Payroll does not come in till Wednesday!
- I want to leave accounts payable open to make sure that all invoices for the period is accrued!
- My journal entries take a few days to key.
- I have no automation for journal entries.
- I have to analyze the results before I release them to management.
- I have to reconcile my system accounts payable, receivables and inventory control.
The excuses are plentiful. The reality is that a lengthy close makes financial reporting from the accounting department irrelevant to the company’s business managers.
A solid business process review of the accounting general ledger should be conducted for the closing process to identify bottlenecks that prevent your business from closing in single day. With MFG/PRO, 99% of all transactions are included in the general ledger at month end. This 99% is the result of the integration of the general ledger with the sub modules. Little investment in integration customization will benefit your accountants dramatically. Build integration for:
- Payroll entries.
- Fixed Asset entries
- Purchase Card Entries
- Freight Entries
Account Analysis, the reconciliation of a general ledger account to its supporting documentation, should be completed at least monthly. For system accounts, this effort can be completed on a daily basis for the general ledger AP, AR, Inventory and PO receipts liability. Completing account analysis outside of the closing cycle will remove a bottleneck process. If your company is using a standard costing system, then you are able to review large variances on a daily basis. Again, remove these bottlenecks from the closing process.
With QAD’s Enterprise Software, you don’t have to wait till month end to close the books. Close your books in a day, make you’re the financial reports relevant to the business.