Dating back to when it was a product of Great Plains Software. Microsoft Dynamics GP has served the healthcare community well.
However, it's fallen behind in many areas that have a lot of financial management value for both for-profit and non-profit healthcare organizations. This has led us to vetting out new software applications and, for the last five years, we've found Sage Intacct to be a much better fit for our healthcare clients.
This blog explains why: below are the Top 5 reasons to switch from Dynamics GP to Sage Intacct financial management software.
1. True Cloud
Healthcare organizations using a financial management solution that is true multi-tenant cloud software will have no hardware to purchase or maintain and will benefit from automatic and seamless upgrades, easily administered, user access, and lower costs than older, on-premise software when you factor in the original purchase price and annual maintenance.
Microsoft GP can be hosted on a server, so you can access it remotely via VPN but it has to be upgraded and patched by whoever is hosting it, which is not Microsoft. As such, GP is neither multi-tenant nor a true cloud solution.
A dimensional chart of accounts allows for crazy good reporting, and lets you keep your chart of accounts and general ledger codes simple—you only need to set up primary account codes and then apply them to each location, department, physician, and patient via drop-down menus. As your organization navigates additions and changes, there's no need to add hard-coded segment combinations. Dimensions also allow you to track revenues, expenses and other performance metrics for location, department, physician, patient, project, and fund through real-time reporting. This is especially useful for adhering to Financial Accounting Standards (FAS) 116 and 117 if you're a nonprofit.
With this flexible financial foundation, you gain insights that measure progress toward your goals that may not be possible with a linear chart of accounts.
Dynamics GP uses a hard-coded, linear and somewhat antiquated structure for the chart of accounts. This requires users to create a separate general ledger classification for each location, department, physician, patient, project, and fund (nonprofits) – even when those general ledger codes are the same.
Using dimensions fundamentally improves your reporting when integrated with your software’s financial reporting module, making it easier for you to get fast answers to questions about your organization. You can quickly view performance from any new angle you need. As you create reports, simply use drop-down lists to filter, group and organize your data by dimensions. For example, you can go from a standard income statement to profitability by location or physician with a few clicks of the mouse.
Without dimensions, customized reporting requires a programmer specially trained by your financial management software vendor, often costing over $300 per hour. Based on 30 years of working with healthcare organizations, we've seen this level of reporting save at least 12 hours per month spent preparing financials and trustee reports, and allow our clients to slice and dice financial data coming from their electronic medical record (EMR), payroll and practice management software – to their heart’s content.
This reporting capability is not possible in Dynamics GP.
4. Multi-Entity Management
For growing healthcare organizations, the complexity of financial management across multiple locations can quickly escalate into a resource-consuming matter of unnecessarily complicated financial logistics.
There are also decentralized payments, inter-entity transactions and possibly different currencies to contend with. Healthcare financial managers with multiple locations need a single, financial management system that can help them close their books more efficiently while remaining compliant. They also need an affordable system that provides easy accessibility and real-time visibility.
With Dynamics GP, you have to create customized reports to understand the P&L for each entity, and you either need your IT department or an external GP programmer to set this up for you – every time.
5. Automated Workflows
Workflow automation streamlines key financial processes, so that healthcare finance departments become more efficient, particularly with monthly closes, allocations and the entire procure-to-pay process from purchasing through accounts payable.
Automation also helps capture and centralize financial data for insight into what's happening at each location as well as in the overall organization. Additionally, automation within a cloud-based solution reduces the needs for IT support so the organization can grow without having to grow the IT department.
All of the above can lead to increased productivity, which can save the cost of having to hire an additional 1.5-2 full-time employees – equating to $80,000 to $100,000 per year.
Dynamic GP's Workflow module allows you to create alerts to facilitate the approval process, but is not customizable beyond that.
Your GP to Sage Intacct Migration Guide
We've been a Dynamics GP partner for over 30 years. It has served us well but we've come to believe that our healthcare clients are better served with Sage Intacct because of the five reasons above just for starters – there are many more reasons from being AICPA preferred to more effective spend management to integration with other best-of-breed software like Salesforce and much more. And what better migration guide can you have than one that knows both worlds intimately?