Many of us accounting and finance people have grown up using Microsoft Excel. Most of us love its flexibility, capabilities, and simplicity. MS Excel can be used by the average layman as well as the advanced programming business person. How can you not love it?
Well, even within MS Excel’s powerful capacity to tackle many tasks, there are times that we need to consider other options. When is that time? Well, that may be a different answer for different companies. What I do know is that the time will come! And at that time the company will need to consider the change from MS Excel, to a more robust financial software solution.
When is MS Excel not enough? Using MS Excel is free, right? Well, not really…. Keep in mind that using MS Excel at some point in the company’s growth will be at the expense of resources time, energies, and lack of errorless efficient information. Additionally, there are several consolidation complications that can cause the use of MS Excel for financial reporting to be a challenge, some of those are foreign currency translations, eliminations, USD overrides, equity splits, and more. These items will be somewhat manual in MS Excel however in a financial software solution they will be programmed into the software to do this activity time and again using the same automatic calculations without manual intervention and therefore eliminating the chance of a mistake.
So, when is Excel not enough? Is your team spending too much time on consolidations and the complexities that it entails? Are there errors that can be avoided? Is the consolidation taking too long and reporting deadlines are being missed? At this point, it would be a good time to consider other options.
SO, HOW DO YOU CONSOLIDATE YOUR FINANCIALS? DO YOU STILL EXCEL?