Evaluating a financial management software is no easy task, as it lays the very foundation for the next step – implementation. However, it is better to take the initiative to embrace change before it turns the whole system upside down. Read on to get a general idea of the financial management climate as well as a new approach to increase financial performance.
Change – Complexity – Strategic role.
These are the words that frequently crop up in today’s business management landscape. They are not merely fashionable terms but carry real implications. If finance executives are to contribute to growth, they should first grasp the idea of financial management in enterprises.
Change – The very confusing word that can take companies in either direction, for better or for worse. Change can be internal or external: an acquisition, an expansion, a new legal regulation are changes. Finance needs to manage these changes.
Complexity – Along change comes complexity. What happens when there are various informational sources within an entity, then within a corporation made up of multiple entities? What happens if your company lands on a strange market with a different business style and regulations? Finance needs to manage these complexities too.
Strategic role – Finance is not just about tracking money in and outflows. Nor is finance just about making reports. It needs to provide sources of analyses and insights that ultimately result in strategic decisions.
The Corporate Financial Management Approach
Corporate Financial Management (CFM) is an integrated solution that embraces both core and strategic financial operations. Such an enterprise-class tool should be able to provide the right data at the right time to the right people in order to make the right decision.
Reporting – The basic function of finance can be configured to meet growing demands and complexity of both internal and external environment. Apart from ensuring data accuracy and transparency, a robust CFM system gives users the freedom to create graphical data displays, slice and dice information without reliance on IT support.
Business processes – A successful financial management tool streamlines business processes to improve operational efficiency. Auditable, automated and standardised workflow across the enterprise can help boost productivity, as everyone follows the same procedure and it is never easier to track who has done what.
Functionality – An advanced CFM system offers a range of modules that includes both core financials, such as general ledger, accounts payable, accounts receivable; and value-added functions such as procurement, expense management and human resources. These functions along with analytical capabilities help the financial system take on a more strategic role in business growth.
System integration – Data is entered and consolidated in a single, integrated platform, eliminating the trouble caused by disparate, incompatible systems. The more open your software’s architecture is, the more flexibility you have in order to meet change confidently.
Cost of ownership – A technological investment as important as a CFM solution should be worth every penny. The license-to-implementation ratio should be low to reflect rapid deployment capability. Moreover, an ideal system should be scalable and free from heavy maintenance/support.
Evaluating a financial management software is no easy task, as it lays the very foundation for the next step – implementation. However, it is better to take the initiative to embrace change before it turns the whole system upside down.
Fortunately, there is a solution available on the market that can give you peace of mind. This world-class software from Infor gives your financial operations a competitive edge with complete functionality, fast deployment and seamless usability. Read the product brochure to find out more.
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