General Ledger

When running a business, nothing is more indispensable than the appropriate control of your finances. Axional ERP/Finance is a complete and fully-integrated tool which constitutes the core of your financial system. It allows you to easily track the general ledger and offers efficient, flexible access to information in the manner of your choosing according to your objectives.

Axional ERP/Finance – General Ledger leverages the full picture of your finances as well as accounting information analysis capabilities, taking advantage of the system’s data model which:

  • Identifies the source of transactions that led to accounting entries, deploying them through a set of dimensional units of accounting analysis.
  • Facilitates the creation of charts of accounts and sub-accounts, making the whole structure flexible and easily customizable. In the same environment, groups of companies are allowed to share the same chart of accounts if they so choose.
  • Allows the creation of journals for specific purposes within the general ledger account.

This structure is completed not only with multiple predesigned reports which include official forms, but also with configurable reports tailored to the information needs of your business. They have also been designed with direct interfaces to generate pivot tables and graphic charts, spreadsheets, word processors, and other databases or files.

Axional ERP/Finance – General Ledger makes the management and control of accounting information more efficient through the accounting record’s automation and query capabilities.

It enhances the efficiency of closing accounts and managing tax procedures, as well or accounts consolidation, through the easily-configurable definition of fiscal periods, the ability to unify ledgers, and balance distribution and clearing processes.

Key facts and figures about Axional ERP/Finance – General Ledger include:

Multiple companies and Charts of accounts

Axional ERP/Finance – General Ledger is equipped to define and manage multiple companies in one database, which allows aggregation and automatic online data consolidation. Moreover, multiple companies can share the same accounting systems, either linking a chart of accounts to a group of companies or defining one chart of accounts per company.

Before defining the charts of accounts, the general ledger account’s format can be configured to suit the requirements of accounting information, along with the ability to set multi-level accounting trees based on the charts of accounts.

Auxiliary charts of accounts

A solution for multinational, multi-site reporting. From the database, a working chart of accounts allows you to report on several auxiliary charts of accounts, which generates reports in charts of accounts other than the company’s default. This could be used to report to a foreign mother company or unify charts of accounts from several business groups or holdings.

Data Model

Through the data model, Axional ERP/Finance flexibly adapts to the specific characteristics of your company’s organizational structure and accounting analysis.

The data model of Axional ERP/Finance is the foundation that allows you to identify the source of transactions whose information constitutes accounting entries. This linkage converts basic data into the tool needed for analysis of a company’s financial information. It is built on five units or analytical entities, shared across all accounting records. Each entity is associated with a level of analysis differentiated according to the needs of the company.

Fiscal periods

Axional ERP/Finance manages multiple fiscal years or other configurable periods, with a specific accounting calendar for each business.

Year-end closing processes are managed according to predefined schedules based on the balance accrued throughout the year:

  • Temporary closure. Simulates closing processes and next year’s opening entry, updating automatically with modifications to the temporarily closed year.
  • Equalization for fiscal year. Transfers balances according to equalization processes.
  • Final year-end closure. This is a reversible process which automatically generates the closing entry for the current fiscal year and the opening entry for the next.

Entries for these processes are associated with preset period numbers in order to easily identify them, also facilitating the creation of reports.

To ensure data integrity, users may lock changes on transactions during both the year-end closing process and individual accounting periods’ closing processes. It is also possible to restrict queries and full access to authorized users.

Multi-currency and exchange rate management

Axional ERP/Finance – General Ledger registers and handles documents in multiple currencies, implementing exchange rate control and management of exchange rate differences.

During the year-end closing procedure, accounts containing foreign currencies can be updated with a final exchange rate. This adjustment to their exchange rates generates corresponding general ledger entries where exchange rate differences are recorded.

  • Adjustment of financial accounts in foreign currency. Bank account balances are adjusted based on the exchange rate at a specific requested date. The process generates entries for the corresponding differences.
  • Adjustment of accounts receivable and accounts payable. Sets accounts’ balances according to portfolio bills of exchange, creating corresponding entries and converting to the local currency of bills of exchange active at the date of closing.

Distribution of Account Balance

Axional ERP/Finance – General Ledger allows you to define programs providing account balance distribution based on the aggregation of source balances, reallocating amounts to the destination balance.

For example, cost allocation may be based on percentages or weighted criteria according to the balances of groups of accounts.

It is also possible to use a balance distribution program to clear the balance of inter-company transactions or consolidation schemes, in order to obtain a balance offset against these transactions.

Consolidation of businesses

Axional ERP/Finance – General Ledger provides the ability to aggregate the account balances of multiple companies and schedule automatic adjustments and removals as a basis for a consolidated journal.

Consolidation solves a wide range of issues by:

  • Accepting and confirming information from the subsidiaries.
  • Facilitating conversion in multiple currencies.
  • Automatically canceling internal activities according to predefined rules.
  • Manually adjusting for last-minute changes.
  • Calculating the effects of minority shareholders.
  • Preparing financial reports based on consolidated business operations.

Automation capabilities

Axional ERP/Finance – General Ledger provides users with useful tools to support and dramatically improve processes, considerably reducing the margin for error and increasing the speed of information entry.

These tools include:

  • Copy and replication of entries.
  • Accounting entry templates.
  • Automatic accounting entry scheduling to convert long-term debt into short-term.
  • Accrual of expenses.
  • Flexible and powerful options for the location of distributed income.

Integration

Axional ERP/Finance – General Ledger, by design, is integrated with the other areas of accounting and management (billing, payments, cashflow, tax management, cost management, purchasing, logistics, sales, etc.).

That means fully integrated tracking from start to finish, maintaining reliability and consistence for the entire data model.

Accounting Engine

Axional ERP/Finance – General Ledger integrates accounting information generated by any ERP Axional module with a powerful and versatile accounting engine. It consists of a centralized system based on financial/accounting templates which incorporate rules of information interpretation and integration between different areas of the system into the General Ledger Account. It ensures a common and universal method of relaying information to accounting.

Aggregation of Balances

Axional ERP/Finance – General Ledger has an automated balance aggregation functionality, with a structure designed to obtain a quick and simplified set of accounting reports in the General Ledger area.

Key Benefits

Axional ERP/Finance – General Ledger provides your company with solid features that allow you to obtain a range of benefits outlined below:

  • Broad support for the operations of multiple companies in a shared or independent database, with the ability to set restrictions on access to and modification of accounting information.
  • Axional ERP General Ledger data model which deploys up to five levels of entities, facilitating multidimensional analysis of the company and its performance.
  • Effective GUI for data visualization. The master data screens and data entry forms are intuitive and user-friendly. They have direct links from accounting transactions to related records from taxes, accounts receivable/payable, portfolio, and cost accounting.
  • Reports that facilitate consolidated financial balances based on any desired combination and level of aggregation of accounting analysis units.