Search for ERP software for Government Contractors, and you will find many software publishers who claim their software is DCAA compliant. But beware of such claims. The truth is, no software right out of the box can be DCAA compliant. Furthermore, the DCAA does not support, endorse or approve accounting software, period. Rather, they perform audits to assess a contractor’s compliance with the Federal Acquisition Regulations. That audit will look at how the accounting software is set up, and how records are maintained. So if someone is telling you their software as published is DCAA compliant, ask them to provide proof of their certification. The reality is, they will not be able to provide proof as DCAA requirements follow a regimented business process, not a software requirement.
DCAA compliance involves taking important steps to have documented procedures and policies in place, and internal controls to ensure those policies are strictly followed. Costs need to be collected and accumulated in different areas such as direct and indirect costs, billing costs, and employee resource costs, for instance. You must document all these costs so that your company can account for all cash spent, and you must generate reports at least monthly. You must make sure that all timecards are properly signed by approved Supervisors, and that all procedures are followed as far as documenting time.
Microsoft Dynamics SL can help comply with FAR, CAS, and DCAA requirements. Dynamics SL makes it easy to track overhead rates, indirect cost pools, and general and administrative expenses. Dynamics SL also features the Government Contractor Report Pack, which can help you quickly generate the reports you will need for DCAA purposes. To learn more, contact Intellitec Solutions at 866-504-4357.
By Intellitec Solutions, Microsoft Dynamics SL Partner serving Pennsylvania
Other Microsoft Sites
I'm a Customer
I'm a Partner
Use the official Twitter tags:
#MSDYNCOMM | #CONV13