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Going live with Business Central in between fiscal years

Jun Wang Profile Picture Jun Wang 4,088 Super User

 Going live with a new financial system like Business Central in between fiscal years presents some unique challenges and considerations. Here are key points and strategies to effectively manage this transition:

1. Timing of Go-Live

  • Choosing the Right Date: Opting for a go-live date just before the start of a new fiscal year can simplify the transition. However, if it's necessary to go live mid-year, it's crucial to ensure comprehensive data migration and system testing without disrupting the ongoing fiscal period.

2. Data Migration

  • Historical Data: Decide how much historical data needs to be migrated to the new system. For a mid-year go-live, you might need to import data for part of the year to ensure that financial reports can be consolidated for the entire fiscal year.
  • Opening Balances: As with a new fiscal year start, opening balances need to be set as of the last closed period before the go-live date. If going live mid-year, this might be the end of the previous month or quarter, depending on the last reconciled financial statements.

3. Testing and Validation

  • Parallel Running: Consider running the new system in parallel with the old one. This helps validate the outputs of the new system (like financial statements and operational reports) against the old system to ensure accuracy.
  • System Adjustments: Mid-year transitions may require more frequent adjustments and reconciliations to ensure that the data aligns correctly across systems.

4. Training and Support

  • User Training: Ensure that all users are well-trained on the new system before going live. This includes understanding how to input transactions, generate reports, and troubleshoot common issues.
  • Technical Support: Have robust technical support in place around the go-live date to address any immediate issues that may arise with the system.

5. Financial Reporting

  • Reporting Consistency: Ensure that financial reporting remains consistent and compliant with regulatory requirements. This might involve additional reporting measures to bridge the old and new systems' outputs during the transition year.

6. Communication

  • Stakeholder Engagement: Keep all stakeholders (management, finance team, IT department, external advisors) informed about the transition plan and timelines. Clear communication helps in managing expectations and responsibilities.

Going live with a new system between fiscal years requires meticulous planning and execution to ensure financial integrity and operational continuity. Properly managing the data migration, system testing, and user training can mitigate many of the risks associated with such transitions.

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