International organizations must comply with accounting standards. Thus, there has been increasing pressure on these organizations from authorities to stay in compliance with local as well as global accounting standards. With Microsoft Dynamics 365, managing your business’ inventory is easier than ever. The comprehensive solution, Global Inventory Accounting Add-in for Microsoft Dynamics 365 Supply Chain Management, enables organizations to use various costing ledgers for accounting inventory.
Therefore, it helps organizations comply with different accounting standards as well as internal management accounting together.
By applying the relevant valuation method such as average or specific identification or standard cost, Global Inventory Accounting enables you to account inventory in various representations.
What is Dynamics 365 Supply Chain Management?
In general, supply chain management implies how the flow of inventory and services is managed involving all processes that change raw materials into finished products.
It incorporates the effective streamlining of an organization’s supply-side operations to maximize customer value and yield a robust advantage in the marketplace.
Empowering employees and organizations, Dynamics 365 Supply Chain Management gives them the ability to obtain a collective view of inventory, manufacturing, service, warehouse, and logistics with prognostic data analytics that convert data into insights to assist in better strategic decisions.
What is Global Inventory Accounting?
Inventory accounting is a feature that provides an inclusive solution. This enable organizations, particularly international organizations, to carry out inventory accounting using various costing ledgers.
Thereby, it enables you to comply with many accounting standards as well as internal management accounting, simultaneously.
International organizations choose to account for inventory by applying standard cost being a part of their management accounting setup.
Besides, organizations often prefer to account inventory using both currencies- local and functional.
However, the International Financial Reporting Standards Foundation (IFRS), local governments, and tax authorities commonly don’t acknowledge standard cost as an accounting principle, and often need specific or average identification.
All documents such as transfer orders, sales orders, purchase orders, and so on- posted in a legitimate entity will be accounted for in all costing ledgers linked with that legitimate entity.
For an accounting of an inventory, there are separate ledgers. For each legal item in an organization, several costing ledgers can be developed thereby to make sure to achieve several inventory representations.
How Does Global Inventory Accounting Add-in for Dynamics 365 Work?
Global Inventory Accounting being an add-in offers valuable features. To make Global Inventory Accounting add-in available, you must install it from LCS or Microsoft Dynamics Lifecycle Services.
Before you turn it on for production settings, you can select to examine it in a test setting.
By providing an end-to-end solution for organizations, Global Inventory Accounting particularly supports the organizations with an international presence to perform inventory accounting using more than one cost book.
Convention means a collection of inventory accounting policies. It can be connected to one or more ledgers to share a common convention in the establishment.
The Global Inventory Accounting Add-in for Dynamics 365 Supply Chain Management supports numerous inventory accounting policies. One can choose a single rule for each policy and it applies to all merchandise.
This solution gives reports and a comprehensive audit trail. Starting with accounting an inventory or measuring and continuing to work back to actual documents published in Supply Chain Management.
Currently, Global Inventory Accounting does not support all the built-in features of Supply Chain Management. Therefore, you can check out whether the set of features currently available will meet your requirements or not.
Who can install Global Inventory Accounting Add-in for Dynamics 365?
On-premise deployment of Supply Chain Management does not support Global Inventory Accounting.
Following are the Azure geographic areas that Global Inventory Accounting is available for:
- United States
- South America
Trying to install it from any other area will display a message that it doesn’t support your geographic area.
In case, you have any issue installing Global Inventory Accounting in any of the supported geographic areas listed above, the Global Inventory Accounting team allows you to send an email mentioning your environment ID for verification.
Global Inventory Accounting, in combination with standard cost maintenance features, has a license for Supply Chain Management. So, you don’t need to purchase a separate license to operate Global Inventory Accounting.
By placing a great emphasis on inventory accounting and visibility, Microsoft has introduced many new features, in addition, global inventory accounting and global inventory visibility compliance.
All these new features and capabilities add useful information in global operations- for Dynamics 365 Supply Chain users.
Global Inventory Accounting, add-in for Dynamics 365 Supply Chain Management helps in managing inventory and also comply with international standards.
With Dynamics 365 Supply Chain Management, you can account for your inventory in a safe and secure manner.