Benefits of accounting automation with Netsuite for businesses
For the longest time accounting is a process that has been done manually by professionally trained accountants. It is a job that requires specific knowledge and skills to be done.
But over the years people have realized that many parts of this process are extremely time-consuming and repetitive in nature.
To combat this, the industrial mindset of making processes efficient brought about technology to develop automated accounting systems.
These systems were built in order to complete tasks more quickly, have better accuracy, save costs of hiring extra employees, and ultimately improve the efficiency of the accounting team.
Read on to understand the benefits of accounting automation with netsuite and alternatives for it.
Netsuite is a business management suite used by companies to streamline their operational processes.
Automated accounting is one of the many features of this platform that helps companies manage their money and close books faster. It is a system that greatly reduces the time taken in completing accounting tasks and saves costs.
Netsuite’s software suite is one of the oldest in the industry and offers many benefits of accounting automation. Being present in the market for so long, they have developed their services to cater to many different kinds of companies.
Finance and accounting teams across the globe in different industries can use systems like Netsuite and reap the benefits of automation in accounting.
Regardless of the industry, any accounting or finance team will be able to tell you that their jobs are repetitive to a certain degree and that they take a lot of time because many processes within them are done manually.
Entering data manually for vendor invoices, processing bills, and making similar payments each month are examples of repetitive tasks that can be automated.
Using automated accounting systems like Netsuite will let you save time by removing the need to manually enter data. Instead, you get to use scanned documents for data entry and also schedule recurring payments.
These might seem like small tasks but when there is a large volume of transactions, these systems save a lot of time and enable the team to spend time analyzing financial data to derive insights and improve performance accordingly.
Before automated accounting, if a company wanted to improve the speed of its accounting processes and get things done faster, it would have to hire more people.
More people means increased costs in the form of salaries for these employees. Increasing accountants might help the team settle accounts a bit faster, but it is still manual work that you have to pay for.
On the other hand, if you were to adopt an automated system like Netsuite, you would pay a fraction of the cost of hiring someone and improve the productivity of your accounting team much more.
Another downside to prolonged manual work in accounting is the errors that come with it.
Whenever individual humans are processing invoices and entering data, the chances of entering the wrong amount, making a duplicate payment, or missing out on an invoice altogether are quite high.
This can happen due to fatigue or a lack of focus on the accountant's behalf.
When you use an automated accounting system, these errors are reduced significantly saving your company the misfortune of sending the wrong amount to a vendor, making late payments, or incorrect ledger entries that can harm financial reports.
There are many risks involved when handling company finances. Fraudulent activity is a major component of risk that accountants have to deal with. This can occur in the form of duplicate invoices and duplicate payments.
When there is a large volume of transactions to be processed but no proper system, these kinds of activities can easily go unnoticed and cost your company a lot of money.
These risks can be mitigated with accounts payable automation that has invoice matching systems to match the invoice details with relevant documents such as purchase orders and goods receipts to verify whether the invoice is legitimate or not.
One of the major benefits of automation in accounting is the ability to sync data in real-time to your accounting ledger.
Rather than manually having to enter all the transaction data, the software system simply allows you to sync all transactions based on a set schedule.
Suggested read: Step by step guide to Netsuite’s expense reporting process
While Netsuite is an extremely well-built product capable of handling most accounting requirements the system lacks a suite of financial tools that can help you make, track, and control expenses.
This is where an all-in-one expense management system like Volopay comes in. Not only does our platform allow you to streamline all your company expenses.
But it also automates accounting processes and syncs all transactions on the platform with your accounting software thus giving the user a lot of benefits of accounting automation.
Here are the financial tools that you get access to when you use Volopay:
With the Volopay corporate cards program, you can issue one physical card for each employee and unlimited virtual cards.
Through the admin dashboard, your finance team can set custom spending limits for each card that you issue through Volopay.
This helps you maintain control over your budget while reducing the time spent on constant approvals.
Transfer money domestically and internationally to vendors across the globe through a single multi-currency account and save money spent on hefty bank transfer fees and currency conversion charges.
The employee reimbursement module in Volopay allows employees to create expense claims at any time and also attach receipts. This way employees don’t have to save all their receipts throughout the month and spend hours creating an expense report.
Volopay has a feature called ‘Triggers’ that is a form of automated accounting. It basically allows you to auto-classify transactions for a vendor, user, card, or budget and automatically fills in important accounting details like tax codes, department, GL codes, and more.
So every transaction happening on Volopay through any of the methods mentioned above can easily be synced to your accounting software of choice.
Volopay has native integrations with industry-leading accounting software applications like Netsuite, Xero, Quickbooks, Tally, Zoho, and MYOB. Thanks to our universal CSV feature, you can also integrate Volopay with other accounting tools.