If you are running any business or small, medium sized company, then you know that the Revenue recognition system and its management is very much important and significant. This is so because it can get complicated within a short span of the time. And with changing business finance benchmarks and the standards, the running of business gets much more complicated than before. So what should we do at this time? Well, NetSuite has come up with its own revenue management and recognition system called NetSuite Advanced Revenue Management. So what is this NetSuite Advanced Revenue Management? And what are its modules? Let us see in this post.
What is NetSuite Advanced Revenue Management?
There are companies which are using the NetSuite for handling their present ERP system. And they are facing the problem of revenue recognition. Then here is an updated and latest module for those companies which can help them recover. NetSuite Advanced Revenue Management (NetSuite ARM) is the latest module in the sector of business from NetSuite. It is used to automate your revenue management and recognition procedures. And then it will automatically update those revenue reports. This is so that your company can keep the pace with all the latest compliance standards.
How can the NetSuite ARM Module help you in streamlining your revenue management and process?
As we all know and are familiar with, NetSuite ranks on the top when it comes to Cloud-ERP solutions for all the small to medium businesses (SMBs). This NetSuite ARM module can support all the compliance standards. It can even handle compliance standards like ASC 606, ASC 605, and the IFRS 15. It can also support scalability. It will automate revenue forecasting, recognition, reclassification. Also all the allocation, and auditing with the help of a framework based on the rule books are done with this tool.
As we all know that ASC 606 (Accounting Standard Codification 606) has given a new standard in revenue recognition. And it is for both the public companies and private companies. In addition with new NetSuite ARM Module and the Multi-Book Solutions which is also a new tool from NetSuite, the companies can take their companies to a new standard by supporting these new transitions. These tools can support the dimensional and the date- driven SSP (Stand alone Selling Price) for all the allocations related to revenue. It will also handle the month-end close procedures and automates them. These new tools have the support of dealing with the foreign currencies and all the unbilled adjustments.
NetSuite ARM Modules
There are 4 NetSuite Advanced Revenue Management Modules. They are
- Revenue Arrangements: This module deals with the record of all the details of the customer performances. And also for its obligations to revenue allocation and the recognition. This NetSuite Advanced Revenue Management Module can automatically create revenue arrangements. it can also read from all of the earlier approved sales transactions.
- Revenue Elements: This NetSuite Advanced Revenue Module stores the revenue recognition information. It corresponds to the revenue of individual lines in the sources.
- Revenue Recognition Rules: This NetSuite Advanced Revenue Management Module is used to store the information how the revenue stream is recognised. It is per single number of that item in the store or the business. This module includes the recognition method, start and end data sources, and the amount source.
- Revenue Recognition Plans: This NetSuite Advanced Revenue Module is derived from the revenue recognition rules module. This NetSuite ARM Module is used to forecast and supply the revenue recognition information for all the journal entries.
Also NetSuite ARM Modules can support the sales and transactions that can occur in a single point of time. This can also come in any of the different occasional milestones.
Your NetSuite is based on the Oracle financials, R/3 SAP, or any of the third party Enterprise Resource Planning (ERP) systems. If this is so then you can integrate this NetSuite ARM Module without any heavy effort. You can also add on these NetSuite ARM Modules if you are already having a suitable NetSuite ERP.
It is obvious, with no doubt that the companies and businesses were in need of a revenue recognition system which is efficient, economic and reliable. With all the features and advanced modules, NetSuite Advanced Revenue Management can be very helpful. All the businesses can use this for their self growth and a stronghold in the market sector.
If you are looking for the best NetSuite ARM related Service then, you can talk to our NetSuite Customer Service team. We have the professional team of NetSuite Developer.