The finance module is the main module of an ERP system because all the entries made in every department comes to finance for sanctioning and the flow of money can be tracked through the module. The financial data of an organization goes hand in hand with the bottom line of the organization and the financial functionality is integrated across regions and geographical areas.
The financial accounting module has a centrally managed data which is loaded on a single framework; it supports multiple companies, branches and chart of accounting. The multiple currency features enables the software to be used across boundaries and multiple legacy system provides accounting based on the regulations followed by each country where the business unit is located.
Features of Financial Module
1. The tight integration of financial system includes data from material management to HR, inventory, logistics etc. The financial accounting modules include the sub systems General Ledger, Accounts Receivable, Account Payable, Fixed Asset A/C, Debit Note/Credit Note/Journal Entries, Bank Reconciliation etc.
2. One can see the financial position of the company by looking at the financial reports and the reports includes the Trial Balance, Trading, P&L account, Balance Sheet, Debtor Accounts, creditors, Cash/Bank position, Funds Flow, Asset Management, Treasury, Income Tax and Corporate Taxes etc.
3. General Ledger is the main module as it provides the data related to the current and future financial needs of the organization of varying types and sizes. The budgeting provision provided in the software can be used for fulfilling the processing needs and it helps in increasing the efficiency and accuracy of the data.
4. The reports of financial module can be used by the management to define the future prospect of a company. It can be used for generating Executive Information system, budgeting, planning future of the business process and profit centre accounting.
5. The transactions with customers in a retail store can be immediately updated in the software as the billing is done automatically and this eliminates the requirements for repeat processes. The data is entered only once and the system provides work coordination to improve efficiency.
6. The security features allows the organization to control users who can view certain modules of the general ledger account and the consolidation features enables the data to be transferred to General Ledger account.
7. The multi currency system enables easy conversion from one currency type to another which prevents delays in transaction and the latest currency rate can be updated at the time of transaction.
8. The seller can immediately get payments from the customer and one can specify the means of payment send reminders to the customer and also send reminder for cancellation of order.
9. Multiple payment gateways can be used for online payment and one can maintain the advance accounts of the customers and resellers.
10. Financial system can provide online bills and customer service. The internet based features provides immediate response to the queries and gets bills, receipts and helps to make payments through credit cards.
11. The system can send warnings at the time when the funds are falling below certain level and the request for refunds can be made for excess balance.
12. One can determine the sales, profitability, manage accounts and supervise the collection of payment.