HOW TO COMBINE YOUR ACCOUNTING WITH YOUR FINANCIAL PROJECTIONS USING ODOO ERP AND PLIKA FP&A
One of the most complete business management systems on the market isOdoo ERP. According to the consulting company Gartner, it is currently utilized by more than 2 million people in more than 100 different countries, placing it in the most heavily trafficked quadrant.
To harmonize definitions, an ERP (Enterprise Resource Planning) is a planning system for the administration of businesses. We can control and manage all organizational resources using this kind of program, including financial operations, human resources, stock management, logistics, and sales.
For medium-sized and large businesses, the usage of an ERP is advised since it helps to ensure that the information is appropriately organized. Due to its tendency to be general and comprehensive, it frequently falls short of being as effective for specific procedures. But we’ll go more into this later on in the article.
THE BENEFITS OF UTILIZING AN ERP
A recent study on Spanish businesses found that 47% of SMEs there recognize that in order to keep up with the operation’s expansion, they will need to integrate certain applications into the ERP system they are already using.
The use of this kind of software benefits us in a number of ways:
Organize all company data into one location.
It makes it accessible so that workers may access it more easily.
It offers the chance to obtain superior reports.
By centralizing, you can save money on administrative costs and get a better return on your investment.
However, the difficulty of its installation and adoption by the employees, which, like all new software, will necessitate a significant amount of adaptation time, is the biggest drawback of adopting an ERP.
Additionally, it is a major headache to rethink and adapt numerous procedures to the new tool.
WHAT DOES ODOO ERP OFFER IN TERMS OF FINANCIAL PROJECTIONS, AND WHAT IS IT?
Let’s learn more about this company.Odoo, as we previously noted, is one of the most widely used ERPs worldwide, having been picked by renowned companies like Hyundai, Heineken, and the legendary Toyota carmaker. You may handle client connections, bank accounts, and operational tasks like order taking and processing, logistics for delivery, invoicing, or inventory management using its business management software.
Odoo provides extremely user-friendly, robust, and transaction-speedy interfaces. Its ability to integrate with other applications is one of its many advantages. Although it is a suite that addresses many different parts of the business, it is advised to use its great integration service and expand it by enabling interoperability with a particular piece of software, such as an FP&A.
The cloud can be used to host the Odoo ERP program. This offers qualities of exceptional flexibility, accessibility, and scalability without compromising the software’s capacity to be customized to the requirements of any firm.
Over 2 million people use Odoo at this time, which is available in over 120 countries.
If you’re not familiar with the specifics of Odoo ERP, you may go here to read more about its technical features.
What benefits can an FP&A solution offer a business that employs these types of management systems, then? How can finance software be used to improve Odoo ERP? Let’s examine in more detail how improved integration between Odoo and an FP&A like Plika can streamline the financial operations within your company.
HOW HAVE PLIKA FP&A AND ODOO ERP IMPROVED?
As we’ve seen, there are a number of procedures, including accounting management, spending control, administration of accounts receivable and payable, registration and traceability of receipts, and the entire tax issue, that an ERP like Odoo can assist for your company. You will undoubtedly find that an ERP with these features can support your sales and marketing efforts rather well.
Although Odoo has a number of benefits that make it the ERP system most preferred by small and medium-sized businesses due to its strength, usability, and cost, there are some areas where the addition of a particular Financial Planning & Analysis software like Plika makes it significantly more effective. These are the activities that we have determined based on our knowledge and perspective.
1. CREATE MORE ACCURATE AND THOROUGH FINANCIAL PROJECTIONS
For the benefit of the finance team, FP&A solutions like Plika were created. With only a few clicks, Plika allows you to quickly model optimistic, realistic, and pessimistic situations. You can access your accounting data in Odoo, but there isn’t a specific management-level project management solution available.
By combining Plika with Odoo, the utility of the former’s forecasts is improved by the dependability of the latter’s data sources, providing the business’ executive committee with all the future data it needs to make decisions. You will automate the control of deviations between the Budget and the Historical, and you will combine your accounting and management functions.
2. CREATE PRESENTATIONS WITH DATA FROM THE PAST, PRESENT, AND FUTURE
With the use of a technology like Plika, historical, real-world, or accounting data may be extracted from Odoo and combined with financial projections to provide a comparison between the two data sets. In Plika, every KPI and report you view will have columns for budgeted data, accounting data, forecasting data, and data from prior accounting periods.
Plika, like any FP&A software, must provide better visual information about an EERR, Cash Flow, or Balance from a financial perspective. The CFO and his team will be able to better explain the situation statements, diagnoses, budgets, management control, or whatever process that is being studied by fusing the ERP records with the ease of Plika’s reporting module.
Both its data interfaces with an ERP and with excel spreadsheets or business intelligence tools themselves can feed an FP&A’s graphics module.
3. REDUCE THE COST OF THE FINANCIAL FUNCTION WHILE ALSO OPTIMIZING THE OPERATION.
Odoo ERP is a comprehensive platform that, at its core, offers considerable value by enabling software customization through open code intervention.
However, an FP&A system like Plika will be able to greatly assist us when it comes to automating financial and process duties. Because Plika’s software was developed with task automation as a guiding concept, it makes it much easier to involve departments in the creation of a budget or to produce monthly task reports for each person in responsibility than it would be to do so using spreadsheets.
Therefore, Plika is a potent tool that will empower the finance team and make it optimize its effort, as well as with each area of the company that adopts its use, when it comes to monthly invoicing, voucher registration, digital documentation archiving, and all kinds of routines (of which are abundant in the financial and economic processes of our companies).
FINAL THOUGHTS: MANAGEMENT AND ACCOUNTING IN ONE PLACE
In conclusion, and as demonstrated in the accompanying image, Plika constantly strives to be able to identify how various software tools and modern technologies might help small and medium-sized businesses compete more effectively.
It’s not that the budgetary inequalities are still not evident “on the playing field” on a daily basis. But we are referring to the fact that an SME can increase its production by investing in the best and most appropriate tools, resulting in a return on investment that is transcendent.
Plika, an affordable FP&A solution that can be customized to the client’s needs, was created in that spirit and with that faith. It is a subscription-based service that has the consultation and support of a reputable business named Blue Draft.
In order to better business management, we advise all SME entrepreneurs in Latin America, including our clients, to consider implementing Odoo ERP. Similar to how we encourage the integration of our FP&A solution with ERP, this creates a set of tools that will help your company’s finances.