Book Image

Microsoft Dynamics 365 Enterprise Edition - Financial Management - Third Edition

By : Mohamed Aamer Ala El Din
Book Image

Microsoft Dynamics 365 Enterprise Edition - Financial Management - Third Edition

By: Mohamed Aamer Ala El Din

Overview of this book

Microsoft Dynamics 365 for finance and operations is a rapidly growing application and is widely used in enterprise organizations. Because of its ability to maximize business productivity, it is a fast-growing business application package in the ERP market. We will start by looking into ERP concepts, implementation needs, and interface design, giving you basic knowledge of financial management aspects and explaining key concepts along the way. To begin with, you'll be taken through the general ledger and financial dimension functions. You'll later learn about the sales tax mechanism and multi-currency in Microsoft Dynamics 365. We tackle each topic with focused examples and explanations on topics such as payable/receivable accounts, forecasting, cash and bank management, budgeting planning/control, and fixed assets. Finally, we walk you through intercompany, consolidation, costing basics, and financial reporting. By the end of this book, your finance team will have a much richer understanding of Microsoft Dynamics 365 for finance and operations and its powerful capabilities.
Table of Contents (24 chapters)
Title Page
Copyright and Credits
Dedication
Packt Upsell
Contributors
Preface
Index

Understanding ERP characteristics


ERP is a mission-critical application for business, as day-to-day activities rely on this application where the end users enter transactions and the management is able to monitor the business performance on a daily basis and take decisions within a proper time period. The ERP application has different characteristics from any other application, and these characteristics are mentioned in the Wikipedia definition:

"A business management software-usually a suite of integrated applications-that a company can use to collect, store, manage, and interpret data from many business activities."

From this definition, ERP is an integrated application. In the past, each business area had its own application, and this led to the creation of isolated islands for each department in the same organization; these cost the organization time, effort, and money. This led to a lack of accurate information, which directly affects management decision making, because of the unavailability or redundancy of information; for example, a customer account in accounts receivable (Finance department) is different from a customer code in the Sales department, so the management can't identify the customer's  balance. With ERP, the data is unified, controlled, and classified. This gives the company the ability to transform this data into information that helps in the decision-making process. In the modern world, the deployment of ERP has been moved to the cloud as a reaction to rapid customer business needs; the cloud provides the opportunity for business to respond to business scalability, reliability, and agility. The ERP application has taken its position in cloud technology, and we are witnessing an evolving revolution, and we contributing to it.