Finance system integration: 7 step checklist

Firstly, what is a third-party system?

A third-party system refers to a software, platform, or service that is developed by a company other than the one using it or the one developing the primary system. In other words, it is a system that is created by a third-party vendor or developer and integrated into an existing system to provide additional functionality or capabilities.

Third-party systems can be used to extend the functionality of an existing system or to integrate with other systems to create a more comprehensive solution. For example, a company may use a third-party accounting software to handle its financial transactions or a third-party customer relationship management (CRM) system to manage customer data.

Benefits of using an integrated finance system

Integrating third-party systems with your finance system can bring significant benefits to your organisation, including automation, efficiency, error reduction, improved visibility, and a better customer experience. By automating processes, reducing errors, and improving data accuracy and integrity, your organisation can save time, reduce costs, and make more informed decisions.

• Automation: Integrating third-party systems with your finance system can help automate processes that were previously manual, such as data entry and reconciliation. This can save time and reduce the risk of errors, as well as free up resources to focus on more valuable tasks.
• Efficiency: Integrating third-party systems with your finance system can improve overall efficiency by reducing the need for manual processes, eliminating duplicate data entry, and providing real-time data. This can help streamline operations, improve decision-making, and reduce costs.
• Error Reduction: Integrating third-party systems with your finance system can help reduce errors that can occur during manual data entry and reconciliation. This can help ensure data accuracy and integrity, which is critical for financial reporting and decision-making.
• Improved Visibility: Integrating third-party systems with your finance system can provide better visibility into your financial data by consolidating data from multiple sources into a single system. This can help you make more informed decisions and identify trends or issues more easily.
• Better Customer Experience: Integrating third-party systems with your finance system can improve the customer experience by providing faster, more accurate invoicing and payment processing. This can help improve customer satisfaction and retention.

Which third-party systems can be integrated with my finance system?

There are various third-party systems that can be integrated with your finance system depending on your business needs and goals. Here are some common ones:

• Payment Gateways: Payment gateways can be integrated with your finance system to facilitate online payments and streamline the invoicing process. This can help you collect payments faster and more efficiently.
• Customer Relationship Management (CRM) Systems: CRM systems can be integrated with your finance system to provide a more complete view of customer interactions and improve invoicing accuracy. This can help you provide better customer service and improve customer retention.
• Inventory Management Systems: Inventory management systems can be integrated with your finance system to provide real-time inventory data and improve inventory management. This can help you reduce stockouts and optimise inventory levels.
• Procurement and Purchasing Systems: Procurement and purchasing systems can be integrated with your finance system to automate the procurement process and improve spend visibility. This can help you reduce costs and improve procurement efficiency.
• Human Resources Management and Payroll Systems: HR and payroll systems can be integrated with your finance system to automate payroll processing and improve HR data accuracy. This can help you save time and reduce errors.
• Digital Tax and VAT returns systems: Digital tax and VAT return systems can integrate with finance software through API integration, file transfer, webhooks, or direct integration. Once the integration is established, the finance software and the digital tax and VAT return systems can exchange data automatically, which helps automate tax and VAT return processes, reduce errors, ensure compliance with regulations and reduce the risk of penalties and fines for non-compliance.
• Microsoft Office: Finance software can integrate with Microsoft Office through plugins or add-ins that allow users to access and manipulate data from the finance software directly within Microsoft Office applications such as Excel, Word, and Outlook. This integration can help streamline financial reporting and analysis, improve data accuracy, and reduce manual data entry. For example, finance software such as Access Financials can automatically pull data into Excel spreadsheets or Word documents, eliminating the need for manual data entry and reducing the risk of errors.

These are only some of the third-party systems that can be integrated with your finance system. If your organisation operates in a specific industry such as the Not For Profit or Care industry, there are also sector-specific systems you can integrate with your finance system such as rostering and scheduling systems, fundraising systems and more.

Finance system integration: 7 step checklist

How do I integrate third-party systems with my finance software?

If you’ve now chosen your new finance system and would like to know how to integrate it with your other systems, here are some general steps you can follow:

Step 1: Identify the third-party systems

The first step in integrating third-party systems with your finance system is to identify the systems that need to be integrated. This can include payment gateways, CRM systems, HR and Payroll systems, and more. Once you have identified the systems, you need to determine which ones are critical to your business processes and should be integrated with your finance system.

Step 2: Determine the integration method

The next step is to determine the integration method. This can vary depending on the systems involved. Some systems may have built-in integration options, while others may require custom development. Consider the costs and resources involved in each integration method to determine which is the best fit for your organisation.

Step 3: Identify the data to be exchanged

Once you have determined the integration method, you need to identify the data that needs to be exchanged between the systems. This could include customer information, transactions, invoices, and more. Ensure that you have a clear understanding of the data that needs to be exchanged to ensure a successful integration.

Step 4: Develop the integration

The next step is to develop the integration. This can involve using APIs, webhooks, or other integration methods to connect the systems and exchange data. It is important to work closely with the third-party system provider to ensure a successful integration.

Step 5: Test the integration

Once the integration is developed, you need to thoroughly test it to ensure that it works as expected and does not introduce any new errors or problems. Create test scenarios to ensure that the integration is functioning correctly, and resolve any issues before going live.

Step 6: Monitor the integration

After the integration is live, it is essential to monitor it regularly to ensure that it continues to function properly. This can involve monitoring data flow, performance, and error logs. Make any necessary updates or adjustments as needed to ensure a smooth integration.

Step 7: Consider security and compliance requirements

It is critical to consider security and compliance requirements when integrating third-party systems with your finance system. Ensure that any data being exchanged is secure and meets regulatory requirements, such as GDPR or PCI DSS. Work with your IT and legal teams to ensure that your integration is compliant with all applicable regulations.

Integrated finance systems summary

In conclusion, an integrated finance system can bring significant benefits to your organisation. By following the steps outlined in this article, you can successfully integrate third-party systems with your finance system and improve your overall operations. Work closely with your third-party system providers and other stakeholders to ensure a smooth and successful integration.

Choosing the right integrated finance system for your organisation

At The Access Group we offer finance and accounting software that integrates with both other Access systems and some third-party systems.

Access Financials integrates with the Microsoft Office suite such as Excel, Word and Outlook, as well as Digital Tax software, HR, CRM, expenses, purchasing, payments, rostering, scheduling, inventory management, and many more. It also connects with Experian for company credit data to support your sales processing by giving you an instant view of your business health. 

If you are unsure about integrating your business systems, we can help. Our consultants can help you determine the best way forward, and if you choose an Access finance and accounting system we will help you through the full implementation process. Contact us or book a demo today and let’s see what is going to work best for your organisation.

Switching to your new integrated finance system

Once you've chosen your finance software, you're likely going to be switching from your current system to your new one. Our switching hub has many resources to guide you through this process.