What strategy has your organization adapted to streamline revenue management? Are you still stuck in the outdated spreadsheet era? Organizations face many challenges from the ever-changing financial standards and benchmarks. There is a need to streamline and automate financial operations to access real-time insights and updates.
This article looks at the features of the NetSuite Advanced Revenue Module and their benefits in revenue management.
Benefits of NetSuite Advanced Revenue Management?
Organizations need to adopt a revenue management solution to attain real-time revenue data and meet compliance. The solution enables a business to optimize and streamline operations.
Here are the key benefits of the NetSuite Advanced Revenue Management Module;
• Accounting teams spend less time recording and managing revenue
• Organizations can meet the industry guidelines and mandates
• Enables organizations to analyze and forecast revenue streams
The 5 Essential Features of NetSuite Advanced Revenue Management Module
Organizations face a challenge in meeting the latest rules and regulations. Organizations need to recognize and account for their revenue. NetSuite ARM solution enables organizations to report financial reports and meet accounting standards.
Here are the core features of the NetSuite Advanced Revenue management solution;
1. Revenue Recognition
Sales may include a combination of different products and services. Revenue generated must be recognized at different levels. NetSuite Revenue Management enables an organization to schedule revenue recognition automatically.
Revenue recognition is achieved via the following processes:
- Revenue Policy Automation
- Automate Planning
- Balance Sheet Accounts Management
- Flexible Forecasting
- Support Multi-Currency Transactions
2. Multiple Performance Obligations
Organizations must streamline their operations to deliver contracts with multiple components. Revenue recognition relies on when and how individual components are provided.
NetSuite solution provides a configurable revenue schedule for complex agreements via Flexible Revenue Contract.
Flexible Revenue Contracts enable organizations to project an accurate and agile perspective of revenue contracts. It’s achievable by analyzing individual attributes like revenue allocation amount, Revenue Rule, and revenue start and end schedule.
3. Managing Complex Allocations
NetSuite solutions oversee the efficient revenue management of products or services delivered over different accounting periods. By adopting the industry standards, an organization dictates the allocation of contract prices derived from the product or service delivery date. Organizations are able to meet the ASC 606/IFRS 15 compliance via the NetSuite allocation feature.
Complex management allocation is met through the application of the following features;
- Dynamic Standalone Selling Price
- Powerful Allocation Calculator
4. Supports Revenue Recognition over Multiple Accounting Standards
NetSuite’s revenue management solution enables accurate reporting of revenue financial results. The reports meet many accounting standards with globally recognized mandates. It allows the leverage of a robust multi-book accounting engine that records and posts revenue activities on all books. It eliminates manual entry that can lead to data replication.
5. Revenue Recognition for All Industries
Organizations must adhere to revenue-generating activities guidelines. These guidelines relate to selling, licensing, leasing, marketing, or hosting products and services.
NetSuite solution enables accounting teams to defer and recognize revenue. It’s based on the arrangement of many elements based on delivery dates.
Do you want to streamline and grow your business by making decisions based on precise data? Do you want to optimize your financial reporting capabilities while meeting the industry standards? Schedule a call to book an appointment. We have comprehensive solutions to automate your processes and accelerate your business growth.
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