Data is currently the holy grail when it comes to business of any kind. Not only do we have so much data at our disposal in our current technologically-driven world, but perusing the numbers is actually crucial for making smart decisions. But here’s the challenge: with so much data from different sources, having a holistic and accurate view of your numbers can get messy, fast. This is especially true when you make use of more than one tool to automate your financial processes.
Even with data in NetSuite, there’s more to the story. That’s where external data integration comes in. One of the first things our CPAs advise is pulling all your data in to live under one roof. In this article, we’re looking at practical ways in which to bring in outside data, and how to deal with the challenges it brings. We know that once businesses get this right they are set to have a clear and complete view of profitability in NetSuite.
External data beneficial to profitability reporting
Because there is so much data out there, businesses need to hone in on their key metrics. Our CPAs consider external data sources on the following to be important to get a handle on profitability.
- Market trends: By incorporating market trends into profitability analysis, you can align strategies with market demands, to ensure sustained financial health.
- Competitor data: Keeping an eye on competitors provides valuable benchmarking insights. Analyzing their performance helps identify areas for improvement and potential market opportunities.
- Economic indicators: Studying economic indicators as part of your profitability reporting can help your business anticipate and navigate financial challenges. It helps to give context to why profits may be low at certain points.
- Customer behavior: Looking at customer trends will enable your business to tailor products and services; and optimize seasonal high points, for enhanced profitability.
- Regulatory changes: Monitoring regulatory data as part of your financial analysis will help your business stay compliant and adaptable to safeguard your profitability.
Tapping into these data sources will give you a multifaceted understanding of your financial landscape. This will not only give you the confidence to make informed decisions swiftly, but it will also encourage profitability. Having a holistic picture including all the data allows you to anticipate opportunities and threats so that you can protect your profits at all costs.
Integrating external data into NetSuite
As we have noted previously, data in its silos mean nothing to the bigger picture for your business. Fortunately with NetSuite accounting, integration with external data sources is effortless. From expense tracking software to linking Microsoft Power BI for in-depth data analysis, you can easily connect the dots with accuracy thanks to NetSuite.
But, while the benefits of integrating external data into NetSuite are substantial, it’s crucial to tread carefully when doing so. Incorrect integration can have far-reaching consequences that affect the accuracy and reliability of your financial reports. Any misstep in the process can lead to skewed insights. Which can cause a ripple effect on strategic decision-making. To navigate this complexity, it is greatly recommended that you consult with a NetSuite-certified CPA. At Fusion we have seen how software set-ups can upset the whole apple cart when it comes to bookkeeping. Ensuring accurate initial integration is crucial, but maintaining the integration is also important. This way you have peace of mind that your data is regularly verified. More than half of our clients had messy accounting records because of integration issues.
At Fusion, our CPAs specialize in the nuances of NetSuite accounting integration. We prioritize that external data seamlessly aligns with your financial framework. Additionally, we also offer monthly maintenance services to check that data is being recorded correctly. Our NetSuite CPAs have helped our clients build bespoke integrations where there were no NetSuite-supported integrations for their data. Contact us for assistance today!
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This blog article is not intended to be the rendering of legal, accounting, tax advice, or other professional services. We base articles on current or proposed tax rules at the time of writing and do not update older posts for tax rule changes. We expressly disclaim all liability regarding actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided on this website is not all-inclusive and such information should not be relied upon as being all-inclusive.
