Choosing an accounting system in the Philippines can be a tricky business. Here are some non-negotiable things you need to check out before you decide to settle on any solution.
1.) BIR compliance
Any new system purchased by your organization should be BIR compliant out of the box. This will help save time and reduce the cost associated with compliance.
2.) Data processing speed
When your business reaches a certain size, the processing speeds that were fine earlier on may no longer be acceptable. Because time is money, slower data processing on ad hoc or free systems can end up costing you more than what you could expect to spend on a newer system.
3.) Remote access
Workforces today need to be far more mobile than they used to be. Employees these days are also more likely to need to be able to work from home or in the field, and having instant access to your accounting system is key in these situations.
4.) Large data limits
If your business expands, it usually follows that it will need to process larger and larger amounts of data as well. One complaint about many older types of accounting systems is that it can sometimes take several minutes if not hours to process data. Sometimes, the system may not even let you process the data in one go.
This can be due to the limits some systems put on the data sizes that could be processed at any given time. Make sure that your next accounting system can handle your projected demand for the next decade.
5.) Instant updates
Make sure you upgrade to a system that cuts down on redundant data entry. Many older systems and ad hoc computerized accounting systems such as those based on Excel may require significant manual re-inputs of the same data. This is often the case even if users use workarounds to automate some of the work. This type of manual data entry is inherently prone to human error, which can result in some very costly mistakes.
Modern accounting systems, on the other hand, will be able to instantly update different data fields throughout the system, greatly reducing the manpower and mental load required to ensure all your data is inaccurate. This will also make it simple for any single part of the organization to create reports quickly, as they no longer need to file requests from other departments to get data.
6.) User-friendliness
Your accounting system provides more value if your employees can harness its full potential. Older systems, while often powerful and “good enough”, are not always the most user-friendly. This means it may take more time to perform certain actions or that users may not be able to use the software as intended.
While most user issues can be resolved with good training, this is not always possible, especially if you do not have full support from your vendor or if management is not able to prioritize training. If these scenarios are to be expected, more user-friendly systems offer a distinct benefit, even if they may not necessarily be as powerful as competing systems.
7.) Expandability
As a business grows, so do its needs. Ideally, your accounting system should be able to expand along with your organization well into the foreseeable future. Because you might not always be sure what might happen later on, it may be worth investing in accounting software that is expandable into a full-fledged enterprise resource planning system, should the organization decide to pivot in a different direction.
Get in touch with ANSI for a range of world-class accounting and ERP system solutions.