Getting your financials right from the start is one of the most important steps in a successful NetSuite implementation. Without a solid foundation in place, errors can spread across your financial statements, making it difficult to trust your reports and decisions. At Meridian Business, we focus on a financials-first approach. This means starting with your general ledger and chart of accounts to ensure accuracy and clarity in reporting. By prioritizing financial structure, we help businesses streamline their processes, reduce errors, and make informed decisions with confidence.
Understanding Accounting Within NetSuite
Our finance team at Meridian is made up of CPAs, controllers, and accountants who understand the intricate details of accounting within NetSuite. We don’t just teach users to follow navigation paths or enter vendor credits; we help your team grasp the underlying financial concepts so they can confidently interpret reports and make informed decisions.
We emphasize the importance of knowing how NetSuite manages accounting transactions, including cost of sale adjustments and CTA (Cumulative Translation Adjustment) elimination. This ensures your team can answer questions about unusual balances and reporting discrepancies with confidence.
Objectives of an ERP System: Why Financials Come First
The primary objective of any ERP system is to track and report financial performance accurately. NetSuite does this through the general ledger and chart of accounts, which serve as the system’s core. Starting with financials first makes sense because:
- Accurate Financial Tracking: Without a solid foundation, financial inaccuracies can spread across departments.
- Improved Reporting: A clear understanding of financials leads to better multi-dimensional reporting and segmentation.
- Confidence in Data: When users understand debits and credits, they can trust the numbers presented to management, auditors, and lenders.
- Clearer Scorekeeping: ERP systems serve as scorekeepers for your business’s financial health, and this process starts with correctly structuring the general ledger.
Implementing NetSuite: Beyond Basic Transactions
Implementing NetSuite is more than just learning how to input a vendor credit or follow a set of navigation instructions. Our approach goes deeper:
- Explaining Accounting Concepts: We help clients understand terms like ‘cost of sale adjustment’ or why there’s a balance in an account like CTA elimination.
- Sharing Best Practices: From segmentation strategies to multi-dimensional reporting, we guide your team on industry best practices.
- Practical Application: We prepare your team to handle real-world queries and challenges, not just textbook scenarios.
- Handling Complex Queries: Our team is ready to answer questions like “What is a cost of sale adjustment?” and “Why is there a balance in CTA elimination?”
Challenges in Changing Accounting Platforms
Switching to a new accounting platform can be daunting. Teams often encounter:
- New Transaction Types: Unfamiliar processes and accounting recognition layers.
- Automated Processes: Learning how NetSuite’s automation affects day-to-day operations.
- Out-of-the-Box Reports: Understanding the differences from previous systems.
- Team Dynamics and Resistance: Change can cause friction within teams as they adapt to new processes and learn new system functionalities.
Resistance to change is natural, but our team is here to support you throughout the transition with training, guidance, and expert advice.
The Importance of Understanding Debits and Credits
Financial accuracy hinges on understanding how debits and credits flow through the system. Without this knowledge, your team may question the reliability of the financial reports sent to management, the board, auditors, and lenders. We ensure your users can confidently track financial transactions from start to finish.
Our goal is to help your team see the connection between daily transactions and the larger financial picture, fostering trust in your reporting package.
The Aims of a Financial Focus in NetSuite Implementation
Adopting a financial first approach with NetSuite delivers significant benefits:
- Increased Confidence: Users trust the system’s reports and feel more confident in their decisions.
- Better User Adoption: A clear understanding of financial processes leads to higher adoption rates.
- Shorter Close Cycles: Efficient processes mean month-end closes happen faster and more smoothly.
- Reduced Stress: Clear, accurate data reduces anxiety around financial reporting.
- More Informed Decision-Making: When your team understands the financial structure, they can better analyze variances and answer management questions.
Customer Satisfaction Through Financial Leadership
At Meridian Business, customer satisfaction is at the heart of everything we do. One way we achieve this is by providing strong financial leadership throughout the NetSuite implementation process. Our team doesn’t just install software; we build financial frameworks that empower your business to grow with confidence.
We go beyond the basics by providing guidance on best practices for segmentation, multi-dimensional reporting, and system automation. This hands-on support helps teams adopt the system more quickly and effectively.
In Summary
Taking a financials first approach to NetSuite implementation sets the stage for long-term success. By starting with the general ledger and ensuring your team understands key accounting principles, you can achieve better reporting, faster closes, and higher confidence in your financial data.
If you want to learn more about how Meridian Business can guide your NetSuite implementation with a financials first approach, contact us today.
