Most business owners think automating their accounting system is as easy as buying good software. The truth can be much different. The process begins with understanding which tasks need to be automated, diving them into smaller tasks to determine the workflow for automation, and modifying the current manual workflows to align with the software.
Additionally, you must ensure the software performs the services you need. Not every software may be right for the specific kind of business you own. If you trust the manual process, you can hire a small business accountant in Savannah, GA. A professional can tell you how using both manual and automated services can optimize operations.
Steps to transition from a manual to an automated accounting system
- Evaluate your existing processes and tools.
While many inexperienced individuals think all their accounting processes can be automated, the reality is different. Only certain accounting processes can be done with automated systems. Therefore, it is important to assess your existing processes to choose the best software according to your business’s needs.
For example, payroll requires computing each employee’s gross and net pay along with taxes. This task can take hours if done manually. An automated process can speed up processes and ensure accurate calculations.
- Assign a project owner.
People say robots will soon dominate the world because of the increase in automation. While computers do their job accurately, having a human oversee workflows is still important to ensure everything runs smoothly. Even though computer-related issues are rare, they can still happen. Having a project owner helps to identify problems before they impact the employees and the entire company.
- Research about accounting software.
There are many accounting and finance software in the market, and not all of them are suitable for your business. Some software works better for small organizations, while some are specifically designed for large-scale operations. Ask the following questions when choosing software:
- Do you need help with payroll only?
- Do you want contract management software?
- Do you need automated services to create invoices?
- Create a migration plan.
Migrating data from manual to automated systems is also a big part of the transition. Once you have chosen software, you need to transfer or migrate your data. You may require the assistance of an IT to prevent errors and protect your data. Then, tell your accountants about the new system and have them familiarise themselves with its features.
These are some steps you need to take while transitioning from a manual to an automated accounting system.