For over 30 Years, Microsoft Dynamics GP has been one of the best ERP (Enterprise Resource Planning) solutions. But business needs change, and technology continues to evolve to meet new demands. You may be faced with challenges to your GP system that require adjustments and workarounds as your business continues to grow.
If you find your chart of accounts is bloated and becoming hard to manage, you're going to love dimensional accounting in Microsoft Dynamics 365 Business Central.
A primary function of an ERP solution is to organize data and provide insight into your business operations so you can make strategic decisions. A robust ERP solution must come with reporting that makes this not only possible but efficient.
Your current Dynamics GP solution has a traditionally segmented chart of accounts; Dynamics 365 with dimensional accounting is an obvious next step that will revolutionize your accounting and reporting. Strategic insight, once available only after hours of analysis, will be available for use in mere minutes.
In this post, we'll outline the main difference between Dynamics GP's chart of accounts and Dynamics 365's dimensional accounting, but you can see further details on our
Dynamics GP Chart of Accounts
Dynamics GP's uncomplicated chart of accounts will prevent confusion and error and is a great place to start. However, as your business grows in size, it also grows in complexity, and your chart of accounts must necessarily grow too.
When you add new departments, services, products, etc., you have so much more vital information to track. But the more information you have, the more cumbersome it is to navigate and to isolate the information you need. You might sort through scores of accounts for data entry, daily tasks, and analysis. And each step of this process contributes to slower reporting and the risk of error.
Dynamics 365 Business Central's Dimensional Accounting
The problems associated with outgrowing Dynamics GP's chart of accounts are solved with dimensional accounting in Dynamics 365.
What is dimensional accounting?
Dimensional accounting allows you to set up tracking for any characteristic you choose. In Dynamics 365BC (Business Central), there is no limit to the number of dimensions you can use. You might create a simple chart of accounts and then add as many user-defined dimensions as you need. Now sort all that information by dimensions, and you can quickly isolate the data you need to generate detailed reports that will be truly useful for charting your future business projections.
Consider the ways that dimensional accounting in Dynamics 365BC reimagines and revolutionizes the traditional chart of accounts:
- Instead of creating numerous accounts, just set up one primary account and tag entries with your choice of dimensions, for example, geographics or product types.
- Easily sort data according to any characteristic like customer, location, or product. Simply select the dimensions you want to be analyzed.
- Generate flexible reports using dimensions and filters within Dynamics 365BC, Excel, Power BI, or other reporting tools.
As your business expands, it's easy to add new dimensions without having to restructure your entire chart of accounts.
At Western Computer, we're excited about the dimensional accounting in Microsoft Dynamics 365BC. If you'd like to see what it can do for your business, watch our webinar:
By Western Computer,