Choosing the right management and reporting software for accounting is important. There are many things to consider while going through this process such as user-interface, working process, requirements, analysis, etc. Let’s read some factors that can be helpful in selecting the right reporting software.

1. FactorstoConsider
WhileChoosing
FinanceandAccounting
ReportingSoftware
8

2. Finance
Reporting??
Arecordofeachandeveryfinancialactivity
thatispresentedinawell-organizedmanner
toanalyzethefinancialpositionofthe
businesstotakeinformeddecisions.

3. WhatFinanceReporting
SoftwareDoesforyour
Business?
Financialreportingsoftwarehelpsto simplify
theprocess,makevaluablebusinessdecision,
helpstoplanstrategyandmuchmore.

4. DetermineyourGoals
&overallObjectives:
Identifythestakeholdersandall
thosepeoplewhoreplyonthe
financialreportingsystemofthe
company.
Prioritizebusinessgoalsthat
influencingbusinessdecision.
Makestrategicbusinessgoalswith
concerntoindustrialmarkets.
Researchontechnology
managementforbetterassessment.

5. Definetheselection
criteriaclearly:
Formaconcensusintheinternal
organizationaboutthefeaturesneeded
inthesoftware.
Makesureyoucreatealistofallthe
featuresthatyouneedinthesoftware.
Auniformlistallowsyoutocompare
solutionsofdifferentvendors.

6. Ensurethatthe
vendorsunderstand
yourbusiness
objectives:
Dotheyunderstandyourbusiness
processes?
Aretheymanagingtheirongoing
clientrelationsproperly?
IstheircorecompetencyFinance
ReportingSoftwaredevelopment?
Aretheymakingconstant
improvementintheirsoftware?

7. Analyze
the Current Position
and Desired Position
oftheBusiness:
Dogapanalysistomapyourcurrent
processcoststowhatitwillbewhena
newsolutionisimplemented.
Providesananalysisofmanualjobs
andhowmanyofthemcanbe
eliminatedbythenewsolution.
Checkifyouvendorswillprovidefor
gapanalysis.

8. Shortlistthe
vendors:
Eliminatethosewhodonotfulfill
yourrequirements.
Ifavendordoesnotunderstand
financialreporting,itisbestto
eliminatesuchavendor.
Shortlistonlythosewhoare
activelyenhancingtheirsoftware
anditsfeatures.

9. Understandsoftware
automationlevel:
Identifyatwhatlevelmanual
processesareeliminated.
Considertheoverallfinancialreporting
process.
Analyzewhichstepisautomatedor
not.
Checkoutthedeliveryofreporting
formats.

10. Primaryfunctional
criteria:
Aggregatesthedataforits
validationandreuse.
Stepsoftakinginputsordata.
Eliminateerrorspronemanual
processes.
Eliminatespreadsheetsandother
fileswhichcancontainerrors.
Makesurethesolutionputsthe
teaminchargeratherthansome
externaldepartment,likeIT.

11. Costof ownershipof
the software:
Evaluatetotalcost.
Gothroughthecostcomparison.
Considerthefactorsinmakinga
buyingdecision.
Direct&Indirectcostevaluation.
Considersoftwareupgradeand
maintenancecost.

12. Objectives
of financial reporting:
Givedetailedinformationtothe
managementaboutthefinancial
positionofthebusinesstomake
informeddecisions.
Providesinformationregarding
economicresources,differentprofit
areas,facilitatefinanceaudit.
Facilitatetheorganizationsto
enhancetheirfinancialreports&
statements.

13. References:
https://en.wikipedia.org/wiki/International_Financial_Reporting_Standards
https://en.wikipedia.org/wiki/Management_accounting
https://www.cogneesol.com/management-accounting
https://www.cogneesol.com/blog/why-business-needs-finance-and-
accounting-management-software/

14. Formore
information:
Getintouchwith Cogneesol at:
+1(646)-688-2821
info@cogneesol.com