Use Microsoft Dynamics 365 Finance to Streamline Your Period-End Closing Process

Posted on: April 17, 2023 | By: Guy Logan | Microsoft Dynamics AX/365, Microsoft Dynamics Manufacturing

As a new quarter begins, businesses everywhere are starting to close the books on the previous period. While this process may seem routine, it can be a daunting task for finance teams, particularly if they are still using outdated manual processes. Thankfully, with the help of Microsoft Dynamics 365 Finance, organizations can automate and streamline their period-end close process, saving time and reducing errors. In this article, we will explore some examples of the various tasks involved in closing the General ledger at period end and discuss how Dynamics 365 Finance can simplify the process and make closing ledgers a seamless experience for businesses.

In General ledger, you can complete closing procedures for a period or a year. Closing processes prepare the system for a new period. To prepare for a new year, you must run the year end close process. Each organization has different processes and steps that it performs for the end of a period. Here are some optional steps for period ends:

  • Complete all the tasks for all other modules, such as Accounts receivable, Accounts payable, and Inventory.
  • Verify that all journals are posted.
  • Run foreign currency revaluation to generate any unrealized gain or loss amounts.
  • Settle transactions for each ledger account.
  • Process any required allocations.
  • Manually post period-end adjustments.
  • Journalize transactions and review the Ledger journal report.
  • Perform a consolidation by using a consolidation company or financial reporting.
  • Generate period-end financial statements by using financial reporting.
  • Set ledger periods to On hold, so that no further posting occurs. You can also restrict a period to a specific user group while period-end activities are occurring, for better control. It’s not a good idea to set periods to Permanently closed, because you can’t reopen a period that has been closed.

The Financial period close workspace can be used to organize and track the tasks required for various period end processes. This workspace also provides a clear view of the progress of each task, making it easier for finance teams to ensure that everything is completed on time.

One of the significant advantages of Dynamics 365 Finance is its automation capabilities. With the system, organizations can automate routine tasks such as verifying that all journals are posted, settling transactions for each ledger account, and processing any required allocations. Additionally, Dynamics 365 Finance can automate foreign currency revaluation, generating any unrealized gain or loss amounts. This automation not only saves time but also reduces the risk of errors, ensuring a more accurate and efficient closing process.

Dynamics 365 Finance also offers powerful reporting capabilities, making it easier for organizations to generate period-end financial statements using Financial Reporting. The system can consolidate data from multiple sources, making it easier for organizations to track and analyze their financial performance.

Next Steps

If you are interested in learning more about the Period End closing process in Microsoft Dynamics 365 Finance, contact us here to find out how we can help you grow your business. You can also email us at or call (312) 345-8817.

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