Account Reconciliation With Oracle’s ERP System: NetSuite

Are you leveraging the full potential of NetSuite for seamless account reconciliation? Let’s dive into this essential financial process and unlock the benefits of using NetSuite to transform this strenuous procedure into a walk in the park. 

What is Account Reconciliation?

Account reconciliation is the cornerstone of financial management, ensuring accuracy and integrity in your company’s financial records. In NetSuite, this process involves comparing transactions recorded in your accounting system with external statements (such as bank statements or credit card statements) to ensure they align. Account reconciliation is the primary way to maintain your accuracy in the company’s general ledger (GL) and detect fraud. Bank reconciliation is the most common type of account reconciliation, but all GL accounts can benefit, especially assets, liabilities, and equity accounts. 

Now that you know what account reconciliation is, we’ll share the 6 main causes of account reconciliation discrepancies:

1. Human Errors: Transposing digits, data entry errors, or incorrect calculations.

2. Omissions: Transactions that were not included in the GL balance. This could be due to oversight or because they were unknown.

3. Duplicate Entries: Transactions added more than once, usually due to miscommunication or human error.

4. Timing: Different credit timings and pay periods can cause issues for account reconciliation.

5. Miscoding: Transactions that are miscoded and included in the wrong account will skew a balance.

6. Fraud: Unauthorized transactions can come to light during account reconciliation. 

How does NetSuite help you with these issues? Find out below with the key benefits of NetSuite account reconciliation:

Efficiency

¤ Automate repetitive tasks and accelerate the reconciliation process

Accuracy

¤ Minimize errors with automated matching and reconciliation algorithms

Insights

¤ Gain real-time visibility into your financial position for informed decision-making

Compliance

¤ Stay compliant with industry standards and regulations, reducing audit risks

Scalability

¤ Scale your reconciliation processes as your business grows, without complexity

Account reconciliation is an extremely important part of the business process and it’s too easy for errors to occur. By using NetSuite and taking advantage of its automations, your business can mitigate risk and make sure the books are balanced every time. Are you ready to optimize your account reconciliation process with NetSuite?  Let’s streamline your reconciliation and take your financial management to the next level with NetSuite. Check out our website to set up your free consultation!