MS Dynamics Axapta for Budgeting

Budgets and budget management can be tough and organizations need a solution which can help control, develop and modify budgets. MS Dynamics Axapta is the ERP ideal for Budgeting and Budget Management and supports various types of budgets based on historical transactions, budget transfer, budget encumbrances, fixed asset budgets and project budgets.

With the help of Microsoft Axapta ERP, organizations get to define budget amounts as well as forecast and track budgets to actuals. Budgets can be defined on AX through three approaches mainly, which are the top-down approach, the bottom-up approach and a mix of both approaches. After getting the Budgeting module nicely customized by a Microsoft Dynamics Partner Fiji organizations will be able to define budget approval workflows to send budgets through multiple levels of approval based on important organizational units such as cost center, departments and divisions. Native budget control ensures that spend remains compliant within approved budget limits.

Microsoft Dynamics Axapta offers support for various types of budgets at both the GL level and the Sub-Ledger level. These would be:

1. General Ledger Budgets

2. Project Budgets

3. Fixed Asset Budgets

4. Inventory Forecasts and Budgets

5. Supply Forecasts and Budgets

6. Sales Forecast by Item, Item Group, Customer and Customer Groups

The Microsoft Axapta ERP ensures that companies get to track budgets for revisions and transfers through certain budget types which include:

1. Original Budget

2. Revisions

3. Transfers

4. Pre-Encumbrances

5. Encumbrances

This accounts for granularity and ensures organizations get to track results at multiple levels. An example of this would be that organizations get to compare actuals and forecasts with original budgets and original budgets with revisions and transfers plus revisions.

How can AX help with Budgeting and Budget Management once the company working on it gets the Budgeting module customized by a Microsoft Dynamics Partner Fiji ?

1. It helps companies determine financial components meant to help establish and control budgets.

2. It helps update and review budgets based on economic proceedings.

3. It helps outline workflows and strategies matching organizational requirements.

4. It facilitates a budgeting tool most appropriate for an organization.

As mentioned earlier, there are 3 ways through which budgets can be planned and defined on AX.

1. The top-down approach helps create an organizational budget and subsequently allocate it down to multiple organizational units such as cost centers.

2. The bottom-up approach helps create a budget based on organizational units such as department and cost centers and subsequently upgrade the same to an organizational level budget.

3. The hybrid approach can be used in different simulation models and subsequently used to develop a budget most appropriate for the organization.

As far as planning budgets is concerned, AX has the following components to offer:

1. Responsibility Centers, meant especially for organizational units administering budget components

2. Scenarios, such as historical and top-down and bottom-up all of which can be used for comparisons

3. Stages, each of which has its own importance as far as budget planning is concerned

4. Workflows, meant to link various stages in the budget and owners of respective responsibility centers

5. Templates, for users inclined towards developing budgets in Excel which moreover offers integration with AX

This is what AX has to offer to organizations as far as Budgeting is concerned. It makes the whole task of planning, controlling and modifying easy and ensures companies have it easy when they sit down on the solution to develop a budget which is going to sustain them for the year that lies ahead.