Managing school funds requires a level of efficiency, accuracy, & not forgetting, operational transparency. With these, schools are better able to plan their budgets, monitor & control their daily expenses and run projections of upcoming school years as well as ensure accountability. Noticeably as time goes on, new technologies that save both money and time spent in cumbersome administration are taking the place of traditional method of school financial management, and many schools have begun to make that transition.
School Finance Management At A Glance
Each year, schools prepare a budget that covers anything from daily expenses to salaries paid at the end of each month. The process involved isn’t as easy as it sounds (especially in schools that have massive budgets planned for daily spending to match the size of the school), keeping track of inventory and not to mention the amount of bank tellers from school fee payments that come through.
Having a healthy financial system in place allows for evaluation of the financial performance of the school, proper use of the school budget to control the operations, revenues, costs, and also see the persons responsible for the operations and related revenues and expenditures. As I mentioned earlier, it’s all about efficiency, accuracy and operational transparency.
A school ERP software (sometimes referred to as an Accounting software in some traditional tech spheres) allows for just that (then again, any kind of technology makes things a whole lot better, doesn’t it?)
Now to the really good stuff.
So How Does An ERP Software Help Streamline Your School’s Financial Processes?
For those of you reading this who don’t know, ERP stands for Enterprise Resource Planning which is a resource management system that tracks tangible/intangible assets, materials, human resources, and financial resources. Some ERPs have taken over the functionality of an Accounting software, allowing them to offer financial services such as financial management, planning, and budgeting. In a nutshell, the ERP helps streamline all business & financial operations –anything from petty cash to budgeting and financial forecast.
For instance, some School Management Software like SAFSMS, come integrated with an ERP Software to give a transparent view of the school’s financial health, with little room for error. The Expense Management feature on SAFSMS allows for easy input, record & tracking of all items paid for which can be grouped into several expense categories and viewed on a report. Moreover, it gives the school administrators granular information so they see exactly how their budget is being spent and respond to areas that require attention.
That last point is pretty important. Monitoring and supervising the school budget or tracking school fee payments makes it impossible to camouflage operations in the books. Again, maintaining that level of transparency is key not only to evaluating the financial performance of the school, but also to hold people accountable which can enhance the school’s quality.