One of the biggest stumbling blocks that project-based companies encounter when implementing an enterprise resource planning system (ERP) is that most accounting 
That’s because most ERP systems are designed to book revenue/costs against an accounting code, so costs and revenue may not be accurately allocated to individual projects and even if they are, information becomes siloed with no easy way to analyze or compare to other projects. What happens when you have expenses that touch more than one project and how do you handle overhead charges that need to be distributed over a group of projects? If these types transactions are recorded in general accounts or misallocated it will reduce the accuracy of any profitability reports.
, can help by allowing businesses to book revenue and allocate costs at the project level. The Project Allocator feature of Dynamics SL allows you to gain precise control over project finances by creating flexible, multi-tiered hierarchies to reflect labor rates and billing structures. You can automatically allocate charges and revenues, account for work-in-process, transfer or consolidate transactions, and record accurate data for billing and posting to general ledger accounts.
Having these tools allows you to understand your project profit margins and determine which are worth trying to duplicate. Conversely, project profitability reports can help you understand which types of projects are not worthwhile – or things you may want to avoid or that would need to be better evaluated in the future in terms of budget.
to learn about the other features your project-based business could benefit from. And . We have helped hundreds of government contractors, advertising agencies, and management consulting firms deploy project-centric ERP systems.
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