What are the levels of business financial integration?

In recent years, a fashionable and high-frequency term “business finance integration” is often heard in the global financial system. With the development of technology and the test of practice, the industry has different opinions on it. Nevertheless, we can’t deny its mainstream superiority because it represents a major trend in the current global financial development process. Even in the era of digital economy, during the period of enterprise digital transformation, the integration of business and finance has become an indispensable department and an important module of enterprise finance and even the whole enterprise management transformation and upgrading. Since it’s so important, we might as well discuss the issues of business financial integration from the aspects of which business financial integration includes.

To understand the level of business financial integration, it is necessary to know the concept of business financial integration. In short, it is to realize the organic integration of business and financial data by means of IT technology such as network, database and management software. Pure theory is always easy to understand and difficult to do. If it’s too hasty to put it into practice, we might as well explore several aspects of business and financial integration along such clues.

Entering the main topic, business and financial integration mainly includes: integration of basic data, integration of account books and forms, integration of workflow, integration of purchase, sales and inventory.

Does the basic data of business statements and financial accounts need to be unified? If there is a deviation that cannot generate accurate reports, how does management make decisions about how colleagues in other departments perceive the problem? The integration of basic data is the foundation of the excellent application of finance; the account book form is the source of enterprise information, with accurate data, you can feed back the relevant problems of the enterprise through the financial form, integration is necessary; the integration of workflow is very simple, but it is really too difficult to do. Take a look at how SAP Business Finance solution can be realized, simplify the process of financial department, directly form financial vouchers while generating business department documents, and speed up settlement, so as to realize integrated management. As for the integration of purchase, sale and storage, it mainly makes the data of the three links integrate in a unified way to realize the synchronization in the system and provide real-time data reference for the financial department and other departments. All this can be done through the docking of SAP ERP system or its business and financial suite.

In order to realize the perfect integration of enterprise business and financial integration, the integration of real-time information, the organic unity of feedback and processing must be realized in data, account table, workflow, purchase, sale and storage, so as to maximize data sharing and real-time control of economic business. Only in this way can professional and accurate financial data be provided to the entire company’s management and departments in a timely manner Insight enables them to make timely decisions.

There is no doubt that the integration of business and finance is a classic management method in this era, and it also conforms to the objective requirements of the development of the times. Ren Zhengfei of Huawei once explicitly required that “financial cadres of Huawei should understand some business, and business cadres should know financial management. The combat organization of concrete structure can be highly effective… ” This also fully shows the importance of the real integration of business and finance.

For a more comprehensive understanding, consult the acloudear — SAP partner.

This article "What are the levels of business financial integration?" by AcloudEAR. We focus on business applications such as cloud ERP.

Scanning QR code for more information