Microsoft Dynamics

The BNET business dictionary defines forensic accounting as, “the use of accounting records and documents in order to determine the legality or otherwise of past activities.”

These activities can be tied to a government investigation, client inquiry, employee dispute, vendor issue, or just about any other challenge activity you can imagine.

In a basic sense, anyone who’s culled receipts and other documents out of one or more shoeboxes for an IRS audit is doing forensic accounting. Now, imagine multiplying the challenges by thousands or millions of accounting software transactions; and multiply the complexity to include in-depth analysis as well as review of data.

Plus, you’re now looking at zealous auditors anxious to find fault in the coming era of re-regulation and “cleaning up of America.” Newly appointed Illinois governor Pat Quinn already has announced that he wants to “fumigate” his state’s government.

So, would you rather defend yourself with shoeboxes full of financial records, or bring robust accounting services to the table?

Depending on the size, shape and sophistication of your company, you may feel you can “get by” with entry-level accounting solutions. Here are some reasons to rethink that position:

1. A security breach is only a keystroke away. An employee or hacker intent on stealing accounting software-based information is going to have a much easier time getting through one layer of security (typical of entry-level applications) versus eight (Microsoft Dynamics® GP accounting system software, for example).

Besides investigations, data theft can destroy public confidence in a company. And, there are the expensive and potentially ruinous steps needed to remediate such a breach (e.g., the company notifying holders of all compromised records, offering free fraud notification subscriptions, and the like).

The cost of many mid-market accounting solutions is justified by this one issue alone.

2. Data mining deters threats, identifies inconsistencies. Price Waterhouse Coopers addresses this issue very intelligently in a document entitled, “The DNA of a forensic accountant.” Excerpting from their writing, “Data mining is the art of analyzing large amounts of data in a manner that detects obscure facts, trends, or inconsistencies in a complete and efficient manner utilizing ‘intelligent’ computer applications. Conducted properly, data mining can be used to proactively detect fraud before a company becomes a victim experiencing material losses making them the next headline scandal. Once data such as journal entries, employee, customer and vendors master file data, as well as check registers are obtained in electronic form, a series of procedures can be performed to identify high-risk and suspicious transactions.”

Mid-market accounting system software generally will provide highly accurate and robust data repositories, which can be more efficiently mined than entry-level accounting solutions, which tend to bog down with too many concurrent users, data demands or report requirements.

3. Mid-market accounting solutions can be a deterrent to frivolous lawsuits. Sometimes, sue-happy litigants target companies where they think the consequent disruption and cost to the defendant will force settlement. Or, they seek out firms that will have difficulty defending their accounting software services. The better your accounting software reporting and accuracy, the less you will spend if sued, the less you will be disrupted, the faster you will be able to generate appropriate data in response—and the less you may be targeted in the first place.

Mid-market accounting software services such as Microsoft Dynamics give you a “built-in” protective edge over companies using entry level accounting solutions.

Combine a tough economy and opportunistic employees, and you’ve got the perfect recipe for fraud and theft in the accounting system software realm.

The Wall Street Journal addresses the latest employee “trend,” noting, “About 20% of employers polled last month said workplace theft has become a moderate to very big problem recently…Employers are hot targets for theft because workers ‘know their systems, controls and weaknesses, and they can bide their time waiting for the right opportunity’…”

Other stories reinforce the presence of increased theft in accounting services departments and elsewhere, due in part to tough economic times. An article in securitysolutions.com points out, “As many as one-third of all business failures annually can be attributed to employee theft, according to the U.S. Department of Commerce…The cost of theft and fraud to American business nationally hovers around $40 billion a year, and ‘some experts believe as much as 40 percent of the losses are internal,’ …The Commerce Department also says employee theft is on the rise, thanks to the recession…”

And, it’s not only Madoff-scale fraud that is occurring in accounting services and elsewhere. Employmentblawg.com adds, “…there are millions of smaller fraudulent transactions that go unnoticed every year…From stupid expense violations to ingenious travel scams…a serious problem that costs companies millions…”

So, what’s a company to do? Get top-notch accounting system software. Mid-market accounting solutions provide highly complex levels of security, offer sophisticated transaction auditing and tracking, and present a more daunting target to would-be internal thieves.

Among Microsoft Dynamics® accounting software protective elements, for example, is “RoleTailored” software. Microsoft describes it as, “Software that’s designed around the specific jobs people do…” One practical effect of this is to keep the types of information accessed on a need-to-know basis, limiting exposure.

Also characteristic of mid-market accounting software solutions are role-based permissions, where employees gain access to data based on their roles, locations and timing. A company can define locations, both on-site and remote, from which employees can access data, identify accessible hours and authorized computers—as well as define the scope of information based on the employee’s role in the organization.

Besides the actual protection afforded accounting services departments by this level of sophisticated security, its existence helps send a message that the company will do what is necessary to protect its data. Much like the thief who moves on to a car that appears to be “easier pickings,” so will many untrustworthy employees move on to a company accounting system software environment that offers more theft opportunity.

Just make sure that company isn’t yours.

Instead of frantically searching for prospects to shore up business revenues in these tough times, mine one of the most valuable business development tools out there—your accounting system software. There is a treasure trove of data that can be mined using today’s robust and comprehensive accounting solutions.

Presuming you have accounting services capable of generating accurate and sophisticated reports, you can pursue all types of opportunities. Following is a starter list of ways that accounting system software can be used to enhance your business:

1. Identify upward-trending (and timely paying) customers via your accounting software. Where you find companies that have been spending ever-greater amounts of money, reach out and determine what other upselling opportunities may exist. Generally, these companies will be financially healthy relative to many others in a downturn.

If, when discussing new opportunities, you discover that they are on the verge of a cutback because of economic conditions, you may be able to forestall and limit the damage by being proactive. Offer incentives for certain revenue thresholds; possibly reward the customer with more favorable payment terms. Even though this won’t always result in a revenue increase, it may stop a substantial decrease—a win in its own right.

2. Identify downward-trending (and timely paying) customers via your accounting software. Find out why they’re trending downward. Be proactive to see what, if anything, can be done to turn the tide on their revenue stream. If you determine that some type of incentive is warranted, offer it. Regardless of the outcome, a constructive and positive discussion initiated by you will generally be favorably received. While it may not have short-term payoff, it well could pay off down the road.

3. Establish a set of accounting software metrics comprising your most valued customers. Then, thank them with an elegant gift or other token of appreciation. In contrast to the first two suggestions, this should be low-key gesture that speaks for itself—not a sales pitch.

4. Conduct a widespread accounting services review to look for overall trends that may dictate a fundamental business shift. For example, if revenues are down across one industry sector and up in another, you may opt to shift industry focus for new business development. Or, you may discover that diversifying products or services may warrant consideration.

5. Use your accounting system software to cull out a manageable group of “representative” customers that you can survey to determine likes, dislikes, and projected future needs. This can become a valuable marketing research tool to rework business development strategies and approaches as appropriate.

Many promises are made in the heat of making a sale, including fast accounting system software installation. So, just what constitutes “fast?” And, how does a QuickBooks® migration to Microsoft Dynamics GP, one of the most common accounting software moves, stack up in this department?

While every company’s requirements and roadblocks are different, there is one sure way to establish some clarity around such issues as a QuickBooks accounting services migration: get feedback from someone who’s been there and done that.

Jeff Skeen, founder of Titan Fitness, saw his company grow from 6 to 1,000 employees in six weeks, as the company acquired two health club chains and added 14 locations. This necessitated an efficient and rapid accounting software transition out of QuickBooks.

We worked with Skeen to implement a Microsoft Dynamics GP coup—delivering and deploying a Fortune 500-sized accounting solution in 60 days versus the six months typically anticipated when performed by a Big 6 accounting firm. This accounting system software easily will accommodate expected growth of the company to 4,000-plus employees in more than 60 locations over a five-year period.

What’s more, the price was one-third lower than comparable accounting services installations. Skeen expressed his satisfaction with the entire process, noting, ““I was very skeptical, then surprised. I figured I was missing something. Then, I was thrilled.”

“Wizard Productivity Systems got us up to speed and saved us on basically everything needed for a back office of six people to oversee 1,000 employees. They helped with application and license cost, training, implementation, chart of accounts setup, getting product on servers, selecting a hosting facility,” Skeen adds. “Our investors were surprised that we had put together a management team with a Fortune 500 infrastructure so quickly and cost effectively.”

Here’s a concrete example of the type of concrete time and price accounting services results that can be generated for clients. Since definitive information about these critical results typically requires some digging online, we wanted to give you some accounting software info that didn’t require a shovel.

Use the words “Madoff,” “economic meltdown,” and “new Administration” in one sentence, then try to convince somebody that increased accounting regulation isn’t coming. Of course there will be abundant new initiatives to keep tabs on, and control of, company finances. What we don’t know is precisely how increased regulation will impact our corporate books-or how soon. Read More at MSDynamicsWorld.com

A recent LinkedIn question about “concrete ERP return on investment” got me into a “let me count the ways” frame of mind.

Overarching “concrete” ERP return on investment depends on how you mix and apply the concrete. Such ERP powerhouses as Microsoft Dynamics® GP can provide huge ROI if properly implemented and utilized. Benefits are myriad and span the entire spectrum of technology—from sophisticated security to ability to track receivables and payables with pinpoint accuracy.

While ROI is ongoing, it also can be episodic. For example, one regulatory audit can wreak havoc on an unprepared company—both in terms of use of the in-house workforce to assemble needed information, and payments to outside financial and/or legal counsel. Appropriate accounting software can eliminate many of the headaches—much like being prepared for a tax audit ahead of time, instead of having to gather together needed documents and data.

Following are just 10 of the ways that robust and reliable accounting system software can bring about solid ROI:

• No data entry redundancy;

• Rapid report assembly and printing;

• Up-to-date, accurate financials for forecasting;

• Elimination of time-intensive, costly “build as you go” accounting system software functionality in such areas as security, scalability, and currency;

•Facilitating reliable and straightforward employee use, thereby saving time and enhancing morale;

• Enhancing employee training on accounting solutions with clear and comprehensive step-by-step self-directed learning protocols;

• Improving employee retention programs, thereby reducing exorbitant costs related to rehiring and retraining;

• Improving employee recruitment efforts, because prospective employees view robust and reliable accounting software as a valuable employment benefit—this results in a more focused and effective recruiting effort, in turn leading to more productive hires;

• Serving as a valuable business development tool, because stellar accounting services provide one bedrock indicator of a stable company capable of providing accurate and timely information.

Of course, the ultimate key to success lies in intelligent deployment, consistent management and maintenance, and timely updating of accounting system software to address changing rules, regulations and functionality. Since it all starts with installation and accounting software training, make sure your ducks are in a row—and are able to move nimbly without getting mired down in soft concrete.

Too often when companies decide to deploy an Enterprise Resource Planning system, such as Microsoft Dynamics® GP or SL accounting software, managers dictate its use rather than dedicate resources to ensure employee acceptance and adoption.

It doesn’t work that way. Some might argue that the current economic situation will make all employees “suck it up” to keep their jobs. I look at the situation from the opposite perspective—now is the time for companies to optimize their employees’ productivity and morale. Only by having a satisfied workforce can a company maximize efficiency and cost-effectiveness in any department—and this is especially true in accounting services. Today, it’s more critical than ever to add every last nickel possible to the corporate profitability jar, and properly deployed accounting system software can help make this happen.

An August 2008 article by Alex Hankewicz recounted the “Top 10 Success Factors in ERP Deployment” based on a study of US firms experiencing a new ERP system—which includes the realm of accounting services. Following are some observations applicable to accounting system software deployment based on study findings:

•The most important factor when deploying an ERP, including accounting software, is senior management providing top-down leadership and full participation in key decisions related to the project;

•Second most important is adequate project team knowledge. The Project Manager (PM) must be able to rely upon both adequate quality and quantity of team resources to do the job. If required, the PM must be able to mentor, encourage and teach new skills to achieve desired milestones. This includes the all-important arena of accounting software training;

•Third most important is ability of the PM to achieve full interdepartmental cooperation. Working with conflicting schedules and constraints to create an atmosphere of full cooperation throughout an accounting services department is the objective;

•Further down on the list is the PM’s ability to exercise interpersonal skills to motivate people and communicate effectively with all management levels. The PM also must be aware of, and sensitive to, cultural and global differences in work ethic and management styles as part of this process. This requires ability to manage priorities effectively and know-how to coordinate across multiple time zones that may be involved in the ERP deployment.

Being clear, communicative and caring in how the workforce—including the critical functions handled by accounting services—is supported throughout an ERP deployment can be the make-or-break difference between a smooth, satisfying process and a sour result.

As companies downsize in response to economic difficulties, some are looking at taking their accounting software with them. Some cite simplicity as a reason. Others bemoan “exorbitant” consultant management and maintenance fees. Before going into a downsizing frenzy, consider these important accounting software issues:

1. Decide whether your present accounting software is overly complex—or just comprehensive. For example, consider Microsoft Office. It’s a comprehensive application, and often the user doesn’t need many of its features. But the user can fairly quickly learn basic functionality, and go as far as needed or desired. In this sense, Office is straightforward; the learning curve is basic, and complexity isn’t forced on the user.

Among accounting solutions, there are definitely systems that fall into this Microsoft Office category. Microsoft Dynamics® accounting software, for example, offers comprehensive capabilities—but the basics are fairly straightforward. It doesn’t force users to go through complex training ordeals to gain basic proficiency.

2. Decouple accounting software from maintenance and management considerations. If you’re paying substantial maintenance and management fees for your present accounting software, make sure they’re justified. Too often, companies throw out the baby (perfectly useful accounting software) with the bath water (overpriced, unnecessary consulting). You may discover that it’s the consulting program, not the accounting software, that requires downsizing or rethinking.

3. Decouple accounting software from training issues. Today’s major accounting solutions offer myriad self-directed, e-learning and webinar accounting software training options. Even with such mid-market mainstays as Microsoft Dynamics, trainees can get up to speed quickly using these tools. If someone wants to sell you ongoing, instructor-led courses, dig deep to find out why. You may discover that much, if not all, training can be handled as part of the accounting software package—with little or no additional expense required.

4. Evaluate system change disruption and demoralization factors versus the stability of a system already in place. No matter how well it’s presented or packaged, change is daunting for many. In the current, rapidly-changing economic environment, a bit of stability and familiarity can go a long way with employee longevity and productivity. “If it ain’t broke…don’t replace it.”

5. Think long-term and next presidential term. When the economy ramps back up, you’ll want to be using accounting solutions that are robust and scalable enough to keep pace. Plus, potentially expanding government regulation with a new Administration inevitably will rein in and revamp much of the presently deregulated financial structure. As this occurs, companies will want to make sure that their accounting software is plenty comprehensive—to handle any regulatory reporting and auditing challenges coming their way.

Given Microsoft’s goliath status, it’s an easy target for criticism. That’s the way of the world. As you go up the totem pole of success, critical analysis is right there alongside.

A criticism-charged business environment is why I was particularly pleased to read a blog on the zdnet.com site posted by enterprise software spokesman Dennis Howlett. He had just returned from Microsoft’s Copenhagen Convergence conference.

In part, it reads: “…customers seem happy with the company and what it is delivering. This is the third time in succession that I’ve attended Convergence and found largely happy customers…This was a modestly confident yet cautious Microsoft, happy to parade good customer stories. This is to be welcomed and a sharp contrast to other shows where the emphasis is often on ensuring the company’s message is not tempered by customer reality. As we move forward in an uncertain economy, these stories will become much more important to commenter’s and customers alike.”

As a Microsoft partner who makes a living with Microsoft Dynamics accounting software products, I paid close attention to the words “modestly confident yet cautious Microsoft.”

This is where I want my accounting solutions partners to reside. More important, it’s where customers should want their accounting software companies to operate. Companies that appear over-confident often cross the line into hubris (roughly translated as “arrogant pride”—you know, stuff like flying in your corporate jets to ask Congress for billions in bailout money).

Once this happens, the company tends to be less responsive to customer suggestions and needs, and too assured of its own rightness. Ultimately, this results in product inferiority—particularly in mission critical arenas such as accounting software.

You also don’t want a company that’s underperforming, not meeting the needs of its customers. “Modestly confident yet cautious” tells me that Microsoft is working to meet customer needs and is listening, without being presumptuous. It also shows an ongoing, omnipresent commitment toward continuous quality improvement in its accounting software applications, as well as its aligned solutions—such as CRM.

As a Microsoft Dynamics accounting software user or prospect, you hopefully will find this heartening. At a time when economic downsizing, cutbacks and shutdowns are multiplying exponentially, it appears your accounting system software is safe with Microsoft.

Though there are many similarities between Microsoft Dynamics® GP and SL accounting software, finding resources to usefully compare and contrast them can prove challenging.
In fact, Microsoft itself reinforces the somewhat muddled profile of these two mid-market accounting solutions. Its information about both solutions tends to blur the lines and distinctions………………………….Please visit our friends over at MS Dynamics World