Imagine a world where you could maintain your chart of accounts at just the basic account number level without having to create a multitude of accounts for department, location, cost center, (etc.), yet still be able to produce detailed financial statements, KPI’s, Dashboards, and Analytics on any combination of those details. How would this be possible? The answer is: Dimensional Accounting.
Welcome to Sage Intacct ERP. An ERP built for finance by finance.
What Are Dimensions?
Dimensions are a powerful feature within Sage Intacct that allows users to track, analyze, and report on financial data across multiple aspects of their business. Unlike traditional accounting systems that rely on a fixed chart of accounts, Sage Intacct uses dimensions to provide a more flexible and detailed approach to financial reporting.
Out of the box, there are eight predefined standard dimensions:
- Location
- Department
- Project
- Employee
- Item(product)
- Vendor
- Customer
- Class
In addition, you can create user-defined dimensions (UDDs) with platform services.
How do Dimensions Work?
Dimensions enable you to “tag” transactions with multiple dimensions allowing for a more granular view of your financial data, allowing you to track performance and profitability across different segments of your business.
What Are the Benefits of Dimensions?
Overall, dimensions offer more meaningful classifications and give more context to transactions. Sage Intacct’s approach gives users the following benefits:
- Simplified Chart of Accounts With dimensions, you can maintain a streamlined chart of accounts. Instead of creating separate accounts for every combination of factors (e.g., sales by region, expenses by project), you use a base set of accounts and apply dimensions at the transactional level. to differentiate and analyze transactions.
- User-defined Dimensions Sage Intacct’s Dimensions are highly customizable. You can define and use custom dimensions that align with the unique needs of your business, ensuring that you can capture and analyze the data that is most important to you without ongoing maintenance or programmers.
- Smarter, More Robust Reporting – Dimensions allow you to create highly customized reports and dashboards. You can easily filter, sort, and group data by different dimensions, providing you with the insights needed to make informed business decisions. For example, you can generate reports to see the performance of a specific product line in a particular region or analyze expenses across different projects.
- Financial Insights to Support Business Decisions – Dimensions enable real-time tracking and reporting. This means you can access up-to-date information on your financial performance and operational metrics, allowing for quicker responses to business changes and more initiative-taking management.
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