10 tips to digitize your finance department

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Achieve financial automation excellence

Switch the focus from manual entry & control to analysis & insights.

Finance teams often spend too much time on manual actions and controls, at the expense of analysis. As a fintech company, our mission is to shift that focus.

Automation eliminates a lot of manual input and repetitive checks. The time freed up, creates new opportunities for the finance team.

10 tips to digitize your finance department

Through this diagram, we would like to give you an overview of the building blocks that will help your finance department to digitize further.

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1. Accounting software

The basic foundation of a financial department is a high-performance accounting package. Analytical distribution on cost centers and cost units has become a standard functionality. What’s also important, is the ability to integrate your accounting software with other tools. Those with a cloud finance system, enjoy automatic updates without downtime. An additional advantage is the cost-effective & out-of-the-box reliable integration capabilities via API.

2. Bank integration

The daily reading of bank statements and automatic markdowns. The structured notifications provide a nice time-saving in the daily bookkeeping.

Payments generated via an integration from your accounting package, ensure that purchase invoices are immediately balanced in your accounts.

3. Optical Character Recognition

OCR technology is used on purchase invoices to automate a large part of the manual data entry. This information is then entered into the finance application. Smart systems even use Machine Learning to suggest a correct booking. Keep the Pareto principle in mind and, when rolling this out, first look for the 20% of suppliers that provide the largest volume of invoices.

4. E-invoice

E-invoices (EDI invoices) contain all data in structured information so OCR is not necessary. The data is immediately forwarded for booking to the workflow or the ERP or accounting system. Moreover, a lot of additional automatic checks are possible. When choosing the tool, look at which pre-configured links exist and which suppliers can be activated easily, quickly, error-free, and with minimal cost.

Sending invoices digitally equals a more cost-efficient approach.

5. Workforce Expense Management

Mobile tools allow your employees to take pictures of their travel and expenses, for example. Their managers can then declare these quickly and easily. Thanks to these tools, paying out expenses is no longer a manual task in your finance department.

6. Workflow

Workflow for purchase invoices or order forms, ensures that the correct information automatically reaches the right person within the company for approval. Upon receipt of the goods, the cost is already visible in the accounting system. If the received invoice matches the order form, it is automatically entered in the accounts. The finance team does not intervene in this entire process.

7. Automated debt chasing & risk analysis

Following up overdue invoices often requires human intervention. However, automatically generated payment reminders, combined with a payment risk assessment, can help you separate the wheat from the chaff.

8. Consolidation

Many consolidation entries can be generated automatically. For example, booking the first consolidation differences (goodwill or badwill), eliminating intercompany costs and revenues, receivables and payables …

Additionally, the system can help you with equity reconciliation, third-party interest monitoring, deferred tax calculation, etc.

9. 360° Reporting

As a next generation CFO, your main focus is on analysis and obtaining insights that will help improve the company’s performance. If we acquire these insights not only on the basis of accounting information, but also integrate ERP data, for example, we get a 360° view in which all company info and KPIs are centralized. By centralizing, the entire management speaks the same language. This reporting platform with ‘one single version of truth’ generates fixed reports and dashboards that are available to every stakeholder in the cloud.

10. Forecasting & Business Planning

Planning is more than putting together a spreadsheet. Create business scenarios based on your financial and operational data and see the cash impact of each case.

Now that you have all the building blocks to automate your finance department, you can get started. Avoid manual input and repetitive checks with automation and dedicate more time to analysis and insights. In this way, you make the finance department ready for the future.

In terms of reporting, BrightAnalytics offers a solution that gives you a 360° overview of your organisation. Would you like to know more about our solution? Sign up for one of our webinars or a demo.