Easing the pain from Finance & Accounting- OUTSOURCE !

Finance and accounting (F&A) is among the very-first back-office processes to be outsourced by companies. Even today, the demand for FAO continues to flourish and grow year-on-year. In a quest for streamlining their FAO processes, corporates are on the lookout for outsourcing novelty in new areas of F&A. Even, new smaller sized companies and industry segments that have not used outsourcing are also trying out F&A Outsourcing.

The primary aim of outsourcing has shifted from cost-reduction to more strategic issues such as efficiency enhancement in technology and processes or even as a consequence in the entire company. The most frequently outsourced services in the F & A domain are accounts receivable, inventory accounting, vendor management and accounts payables etc.

Streamlining, standardizing and simplifying the Finance and accounting function is highly vital to the success of companies, especially large organizations with subsidiaries in order to maintain consistency and centralization across different processes and functions. In the corporate world these days; mergers, acquisitions and other financial transactions have become very frequent and the creation of subsidiaries lead to potential inconsistency and disparate systems and processes.

The easing out of F&A processes helps reduce the turnaround time to close books of accounts. Hence, companies are capable of developing improved benchmarks along with standard financial processes for complying with regulatory requirements.

A broader scope of outsourcing can manifold the benefits as well, owing to the transparency in processes that the outsourcing service provider gains while handling the entire Finance system. This way the provider could optimize and enhance the efficiency of internal process. Hence, these factors finally drive the various process enhancement benefits for any organization which outsources its F & A Function.

Outsourcers have bespoke technology and provide customers with their expertise through skilled Human Resources to simplifying processes irrespective of subsidiaries and/or geographies. Outsourcing providers now days, also understand and try to provision their services in line with customer’s strategic goals.