Mastering the Financial Year Transition: Finsys ERP New Year Creation Guide
Indeed, as the financial year comes to a close, every manufacturing unit faces the critical task of opening a new year in their ERP system. Specifically, for Finsys ERP users, this process ensures that your accounts, inventory, and production data transition smoothly into the next period.
In this guide, we explore the step-by-step procedure to create a new financial year and update your balances without disrupting daily operations.
1. How to Perform New Year Creation
Initially, you must log in to your Finsys ERP server with administrative credentials. Because this is a global setting, creating a new year for one branch will automatically apply it to all plants within your organization.
To begin the process:
-
Navigate to System Administration.
-
Select Company Level Masters.
-
Click on the “New Year Creation” option.
Notably, if the year has already been created, the system will prevent a duplicate entry. However, if you are ready to proceed, you will be prompted to enter your authorized password. Once confirmed, the new financial year (e.g., 2024-25) will appear in your login options immediately.
2. Updating Accounts Posting and Balances
Admittedly, simply creating the year is not enough. To ensure your financial statements are accurate, you must update the opening balances from the previous year. Specifically, this includes Post-Dated Cheques (PDCs), EMIs, and pending GST or TDS entries.
Follow these steps for Accounts Update:
-
Go to the Accounts Module.
-
Select Master Files.
-
Click on “Update Account Balance from Last Year.”
Furthermore, we recommend assigning one person the duty of performing this update weekly during the transition period. Consequently, this keeps your bank reconciliation and ledger balances perfectly synced.
3. Inventory and Stores Posting
Similarly, your raw material and finished goods stock must be carried forward correctly. Typically, if a system updates balances after every single transaction, it may become slow. Therefore, Finsys provides a “Click-to-Go” batch update option.
To update Inventory:
-
Navigate to the Inventory Module.
-
Select Inventory Masters.
-
Click on “Update Item Balance on Last Year.”
As a result, the system will pull the closing stock from March and set it as the opening stock for the new April session. Indeed, this ensures that your production planning and material requirement planning (MRP) start on a solid foundation.
4. Key Takeaways for MIS Managers
Ultimately, the success of a year-end transition depends on discipline. Therefore, keep these three points in mind:
-
Authorization: Only authorized personnel should handle the New Year Creation.
-
Frequency: Perform balance updates regularly as March month-end entries continue to be finalized.
-
Verification: Always verify a few random ledger and item balances after the update to ensure data integrity.
Stay Connected for More Technical Tutorials:
-
Official Website: Finsys Infotech Pvt Ltd
-
Watch Step-by-Step: Finsys ERP New Year Creation Video
-
Follow for Updates: Finsys Facebook Page