I'm an accountant. I've been an accountant for years, and I don't like change. So when I attended the Microsoft Convergence conference a few weeks ago, I expected to see some cool things, but what I didn't expect was the excitement that I would have after receiving a taste of GP 2010s new features.
Why is Microsoft Dynamics GP 2010 so dynamically better than before? GP 2010 has created a bridge that eradicates numerous processes in order to go from point A to point B, making the accounting process easier, more efficient, and cost effective.
What are some of my favorite new features?
- Emailing invoices is quick and easy.
- Quickly and easily create different styles of invoices.
- Quickly and easily pay vendors.
Noticing a theme here? Quick and easy. By bridging the gap between processes, GP 2010 takes you from having to do several things to reach your goal, to in many cases a simple and painless click of a button.
Let me go into some detail on why I find these new features exciting, and why I am implementing them in my own accounting practices.
Process before GP 2010:
- By Hand: Print the invoice. Fold and stuff the invoice into envelope. Put a label on the envelope. Place a stamp on the envelope. Mail the envelope.
- Electronic: Open the file. Print and save to PDF. Find the correct client email address. Email the invoice.
Bridging the gap with GP 2010: Click the Email button.
Yes. Thats it. One quick and easy step. Consider the time, stamps, and materials that it takes yearly to send paper invoices. For example purposes, lets say that your Company mails out 1000 invoices a month. Conservatively, your cost structure looks like this:
- Print the invoice 30 seconds
- Fold and stuff the invoice into the envelope 1 minute
- Put a label and postage on the envelope 30 seconds
- Mail the envelope 1 minute
- Paper .02 cents per page
- Toner and other printer costs - .005 cents per page
- Envelope - .03 cents per page
- Stamp - .44 cents per invoice
Therefore the total labor is 3 minutes per invoice times 1000 invoices equals 3000 minutes or 50 hours per month. At a total compensation with benefits structure of $15 per hour, that equates to $750 per month. For materials, you are at .50 cents per invoice times 1000 invoices equals $500 per month. Total monthly costs are $1250 per month. Times that by twelve, and the organization has spent $15,000 in one year on a process that could take a few seconds and no material with the use of GP 2010.
In order to figure out how much money your organization is spending every year on this one process, follow this simple calculation:
(# of Invoices) times ($1.25) = Cost
Create Different Styles of Invoices
Weve worked with many organizations that run multiple companies under one umbrella. When its time to send invoices, the process is a lot more complicated than it would be for an organization that does not need more than one company invoice.
Process before GP 2010:
- Log into first company account. Process the invoices. Log out.
- Log into second company account. Process the invoices .
Although doable, it is tedious to have to log in and out every time you need to access different profiles for each company.
Bridging the gap with GP 2010: Easily create and manage different styles of invoices from one account.
Again, back to our theme quick and easy. Save time (and therefore money) by managing this complexity utilizing the out of the box functionality of GP2010 creating multiple styles of invoices using a Tool that you love Microsoft Word!
We all have our own horror stories when it comes to checks being lost or stolen. In order for you to understand why I love this new feature, Im going to share one from a client of mine:
A/P clerk produces A/P check for $20. They spend $1.25 to mail it out one week later vendor calls to say that they have not received the check vendor asks that a stop payment order be put on the check they dont because the bank would charge $30 in bank fees to stop the payment on the $20 check. Client voids the check in their ERP system and they send another $20 check to the same vendor via mail. At month end, they receive their Bank Statement and both checks have been cashed one for $20 and one for $20,000. Vendor swears that it wasnt them that doctored the $20 check and made it $20,000 our Bank says that they will launch an investigation but it could take a few months to get to the bottom of things. What a mess.
Thankfully, with our implementation of GP 2010 in the Pinnacle office, I can avoid running into these types of problems.
Process before GP 2010: Print the check. Stuff the check in an envelope. Mail the check. (Hope its actually received )
Again, take into account the time and materials it takes to do this process:
- Print the check
- Fold and stuff check into the envelope
- Put a label and postage on the envelope
- Mail the envelope
Bridging the gap with GP 2010: Quickly and easily upload 1 ACH file from GP 2010 to your bank to pay all vendors. Besides the money going directly to the Vendors (which they like), my outstanding check list for my Bank Reconciliation at Month End is well no longer needed because there arent any outstanding checks.
We keep coming back to this theme of quick and easy. Im excited about our implementation of these features into our accounting system, and even more so, Im excited about the money we will be saving by cutting back on materials and the time it has taken each month to both send invoices and pay vendors.
These are only a few of the many cool new features in Microsoft Dynamics GP 2010. We will be showcasing some of these features in further blog articles.