Why to switch from accounting software to NetSuite ERP?
Need for NetSuite ERP solution
Many start-ups and SMEs use basic accounting software for their accounting needs. These systems serve your accounting and financial management purposes efficiently.
But the problem comes when the business is on the path of progress. The entity outgrows the basic accounting software. It can manage the following:
- Collecting and making payments
- Tracking sales
- Managing different accounts
But your business wants a system that can do more than mere accounting. It must be able to track your vendors, customer relationships, and employees, in addition to basic accounting features.
Such accounting software cannot manage your end-to-end business requirements during the growth stage. Also, there is no real-time data visibility and reporting. It leads to process inefficiencies and problems in decision-making.
So, how do you address this problem during your business growth phase?
You must realize that it is high time to move to a more comprehensive, reliable, and efficient platform. And NetSuite ERP serves as the best platform that addresses all your accounting needs that the accounting software cannot. Furthermore, it stores all business data at a central location to be shared with all business functions. It helps in managing comprehensive business processes besides accounts and numbers. It improves your business efficiency and productivity, allowing you to deploy your resources optimally.
But when do you realize that now is the time to shift to NetSuite ERP? As your company moves across the business lifecycle, it will show some signs, and you need to be diligent enough to identify such hints.
Let’s explore the signs indicating the need to transition from your basic accounting software to NetSuite ERP.
Signs to move from accounting software to NetSuite ERP
Accounting software is unable to provide real-time, insightful reports
You have data spread over different data sheets. You are manually adding data from one sheet into another. Manual work leads to inaccuracies or missing information. Thus, it becomes difficult to provide complete, insightful reports.
Also, you must update data in every related sheet when there are slight modifications. Updates take time and effort, suggesting process inefficiency and redundancy.
It is a sign of the inadequacy of your accounting software to provide detailed accounting reports and insights generally required for informed decision-making. The absence of intelligent, real-time reports does not give you complete visibility of your financial status.
Even if it supports such reports, it takes employees extra time and effort to generate and study them, causing unnecessary delays. Thus, the complete visibility of your customers, business functions, and total performance is nowhere to be seen at a click of a button. It shows that the current accounting software is not fulfilling all your business needs.
Solution: NetSuite ERP provides complete visibility of your accounts, resources, and performance and generates informative reports. It becomes your single data source, managed in an automated way without much manual intervention, assisting you in avoiding data duplication or the possibility of missing out on some critical information. It has real-time dashboards, providing insights about the business’s performance at your fingertip to help you control the business efficiently.
You can drill down and drill across the reports to check the performance of your resources. You can view company numbers by every department, product category, location, or other parameters-wise. You can draw comprehensive insights to support your decisions.
Integration with other unrelated systems is not possible
- You need business intelligence to manage the cash-to-cash cycle.
- You have multiple vendors to source your different products for your various production lines.
- You have n number of customers to manage.
- You want to forecast your financial numbers to ensure adequate financial planning.
- You want to automate your workflows and generate smart dashboards.
You want business software rather than mere accounting software. It is because your accounting software has limited capabilities in managing your routine business numbers and nothing beyond. Furthermore, you cannot integrate your accounting software with other businesses and applications to increase its competencies and business efficiency.
Solution: NetSuite ERP system can handle your business’s added workload. It can integrate with legacy systems and third-party applications. You can import data from one system to another and support more transactions, customers, vendors, and orders, all at the same place.
NetSuite ERP’s integrations with any third-party applications or systems are secure. Such integrations extend your platform’s capabilities, making it more reliable and scalable.
Accounting software requires you to manage many tasks manually
What is the main aim of any new technology? To make your work organized, quicker, and error-free. But that is not the case with some accounting software.
Some accounting software requires you to make manual data entries, which may lead to errors, delays, or missing out on information. Employees must spend time copying data from one system to another, creating redundant data. Papers are being passed between teams for approval and signatures, eating up the business’s valuable time.
When employees assume a number and fill in the details without information flowing from a single source, such assumed numbers lead to errors, which may continue in different forms across various departments.
The absence of real-time, updated information frustrates suppliers, customers, and business associates. Instead of spending time on critical business decisions or core processes, employees waste their time on manual work and moving files from one desk to another. Thus, it is a waste of resources with long-time repercussions for any business.
Solution: NetSuite ERP automates your core processes, making them faster and more accurate. A single solution accurately manages all your business functions, saving you time and effort while creating a single data repository for all to view and access the shared data. With less manual effort, the free resources can work on something more significant, contributing to growth strategies.
Scalability and agility are challenging to achieve with the existing software
Adopting new practices or innovations is challenging with your existing accounting software. When you scale up or bring a significant transformation, your accounting software will not be able to handle the new pressure. Sometimes, handling organizational changes in response to new opportunities also seems challenging.
When new opportunities arise, your accounting software is unable to:
- Handle the added pressure of more transactions
- Add different types of accounts required in different business verticals
- Manage the more complex capabilities of prepayments, subscription payments, the addition of new locations, sales channels, product lines, etc.
It would help if you integrated with new software to accommodate these changes in existing accounting software. And this may result in compromising data integrity and security, with additional cost burden.
Also, your accounting software finds it challenging to have industry-specific accounting processes. It affects your business productivity. Thus, you must have a solution that does not obstruct your scalability and agility.
Solution: NetSuite ERP scales up with your business and pushes you ahead in your business growth curve. Whenever you want to add business functions to your system or increase the number of users, you can manage that with NetSuite. Also, automated business processes reduce the need for manual intervention, thereby increasing your business agility. With NetSuite, grow without worrying about managing new business needs.
Accounting software cannot accommodate your geographical expansion requirements
Can your accounting software support multiple currencies and languages? Can it accommodate the data of multiple subsidiaries operating in different geographies, following different accounting guidelines?
It is a feature not supported by most accounting software. In such cases, managing operations with customers and vendors worldwide becomes difficult. Since no geography-specific configurations are available, compliance with local accounting and tax regulations becomes a complex process.
In basic accounting software, you cannot convert currencies or consolidate the financial figures of all the business units. Thus, you do not have an overall view of the group’s performance. It would help if you had a solution that translates languages, converts currencies, and consolidates financial data.
Solution: NetSuite ERP can handle multiple subsidiaries’ business processes and reporting. It supports many currencies, languages, and taxation systems, helping you with easy financial consolidation. NetSuite ERP’s financial management capabilities strengthen your presence in different markets. With this, you know how your organization performs globally without investing in multiple location-specific software.
Your inventory management is insufficient and inaccurate
Your accounting software will have basic inventory management features. But when your business grows, you need a solution that can automate multiple processes for a smooth inventory flow.
Accounting software does not have the feature of serialized inventory monitoring. It isn’t easy to categorize products by type or location. There are only a few filter options available to view and search products per your needs.
The absence of a barcoding system affects your digital documentation and reporting capabilities. Basic accounting software also cannot generate alerts when inventory levels go down. Thus, you cannot manage sales forecasts, plan for raw materials procurement, or handle logistics and communication with vendors.
Moreover, accounting software does not allow integration with other tools. In such cases, it is difficult to know the status of inventory lying at multiple store locations. There is no automatic tracking number generation or integration with third-party logistics providers to track inventory. Thus, you cannot be on top of your stock.
Solution: NetSuite ERP keeps you on top of your inventory numbers by providing real-time visibility of your stock on hand and in transit. You can forecast demand based on historical sales, past trends, and customer behavior and manage your inventory accordingly without blocking too much of your working capital into inventory. You can even manage serialized inventory tracking to control the stock movement.
You are not able to manage the business from remote locations
You cannot access your business’s complete data when traveling or working remotely with your basic accounting software. You cannot have “anytime, anywhere” access to it to make a quick decision.
Solution: NetSuite ERP runs on the cloud. So, all the business data and information are available in the cloud with permissible accessibility anywhere at any time. You can access the NetSuite ERP platform from any device – mobile or computer. You can draw insights and make decisions when required with all information available.
NetSuite ERP’s merits over and above the accounting software
Besides all these, NetSuite ERP does not only manage your accounting tasks and activities, such as:
- Revenue recognition
- Inventory management
- Accounts payable
- Accounts receivable
- General ledger
- Fixed asset management
It automates and streamlines multiple business functions. NetSuite ERP manages business aspects such as:
- Customer relationship management
- Inventory management
- Warehouse management
- Marketing and sales
- Supply chain management
- Project management
- Multiple subsidiaries exist in multiple locations, using different currencies, languages, and tax systems.
As more and more businesses automate their processes, they are looking for solutions beyond accounting capabilities. They desire accounting functionality plus the features to manage all other core business operations. That is why switching to NetSuite ERP from the traditional accounting software is an intelligent decision for any business.
Since you know how NetSuite ERP scores above your accounting software, you must not wait for more. Contact a NetSuite partner and get the NetSuite ERP solution implemented in your business. And, Cloudiotech can help you with all your NetSuite customization, implementation, integration, and configuration needs.
Cloudiotech is a leading NetSuite Consultants in the USA and the UAE. It provides implementation, customization, integration, configuration, and training services for NetSuite. Cloudiotech extends personalized support to clients as per their business needs.
Want to switch from your current accounting software to accelerate your growth?
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