Today technologies like ERP have taken over the way organizations such as schools and colleges operate. Every task from teaching to communicating is done online nowadays. And one of the most crucial tasks that make the operations of schools possible is finances. Managing finance is crucial for the smooth functioning of school management so that it can provide the best to its students and staff. That’s why today every school is choosing school ERP for their financial management. It has modules like a fee management system, payroll system, and accounting system which makes keeping finances in check much easier than the traditional way.
There are several drawbacks too in the traditional finance management system of schools, that persuade schools to change how they handle their finances. Some of the major drawbacks are:
- Time-Consuming: Traditional method of maintaining records and book-keeping was too time-consuming for the accountants. And doing this task daily made their work tiresome.
- Errors: As accountants do their work carefully, there is always a chance of making common human errors, which might cost later. To avoid any error schools can use ERP for finance management.
- Less Access: Manual way of book-keeping gives less accessibility to authorized people in case of emergencies. However, in ERP there are no such issues.
- Security: Traditional ways of filling accounts and keeping financial records in the storeroom cannot be considered safe and secure.
Now, we know why the manual way of financial management cannot function in today’s time; let’s see how the ERP system helps schools in finance management.
Streamlined: Just as mentioned earlier, the manual system of keeping financial records, collecting fees, and maintaining files can be time-consuming for the staff. However, if schools have an ERP system all their tasks will be streamlined. This will save a lot of their time, as major tasks like maintaining records and sorting files will be done automatically by the ERP software.
Accurate Data: Accuracy in sensitive data like the school’s financial statements and fee records is cardinal for building a good rapport with external and internal parties, including those involved in financing for contractors.
The finance module of school ERP helps the schools in maintaining accuracy in their data. As the work is done automatically by the software it is near to impossible to make any mistakes. This way all the information is stored accurately, which will help the school management in making the right decisions whenever needed.
Accessibility: The school ERP system provided greater accessibility to the necessary party than the traditional management system. As the data in the ERP system is stored online and can be accessed with a few simple clicks, it makes it easier for administrators and teachers to look up any information anytime without going through every file individually. This feature comes in handy in case of emergencies when there is less time and more work to do.
Online Fee Collection: This is one of the best features of the school ERP system. Traditionally, parents had to visit school premises physically, wait in a long line in front of the fee collection counter to get receipts, etc. However, since the fee management software has come, parents do not have to go through all these worries. They can pay their child’s fees online just by logging into the school’s ERP system. Not only this, but the fee management system also generates e-receipt of the fees, so that parents can check every detail regarding fees.
Payroll Management: The task of school accountants is not just to handle the fee collection, but also to look through the payroll of every teacher and staff. The school ERP system makes this task easier too, it stores the attendance details of every staff and teacher based on which it calculates their salary. After which the pay slip of every staff member is generated online and payments are made.
Tax Report Generation: The school ERP system helps in calculating taxes during tax filing. It calculates every receipt and payment and generates the financial system which helps the school management in getting information on their spending and earnings.
Security: The ERP is secured with security systems like cloud security and two-factor authentication, making financing and payment safe & secure.