ICAEW Accreditation Scheme Software Evaluation

Transcription

1 ICAEW Accreditation Scheme Software Evaluation Vertical Market Client Accounting Software CFPwinMan v3.20 CFP Software Limited Evaluation carried out by: Kevin Salter FCA CTA (Fellow) BBS Computing Ltd Date completed: May 2008 Signed: K Salter The Institute of Chartered Accountants in England and Wales has accredited CFPwinMan under the terms of the ICAEW Accreditation Scheme. Purchasers should ensure that the software, its security features and related support, meet their own specific requirements, as the Institute will not be liable for any damage whatsoever, incurred by any person, occasioned by the use of the software, or any related products or services howsoever caused. (c) ICAEW Version 0704

2 Content Section Page 1 Summary 1.1 Introduction 1,2 Concept of software under evaluation 2 Approach to evaluation 2.1 Objective 2.2 Approach, including work performed 2.3 Software/hardware utilised 2.4 Report structure 3 Matters to consider before purchase 3.1 General overview 3.2 Supplier background 3.3 Product background and Suitability for user 3.4 Typical implementation 3.5 Vertical applications 3.6 Software and hardware specifications Development environment Server platforms Databases Protocols Minimum client PC specification 3.7 Software installation and support 3.8 Partner network and related accreditation process 3.9 Limitations 4 Evaluation conclusion 5 Technical Evaluation Questionnaire Functional Requirements 5.1 Security & continuity of processing Input of transactions Value Added Tax File maintenance Processing Reports Performance of requisite accounting functions Sales Order Processing and Invoice Production Purchase Order Processing Stock Control User documentation Efficiency Integration facilities Support & maintenance 56 (c) ICAEW Version 0704

3 1 Summary 1.1 Introduction The suitability of accounting software for each particular user will always be dependent upon that user's individual requirements. These requirements should therefore always be fully considered before software is acquired. The quality of the software developers or suppliers should also be considered at the onset. 1.2 Fundamentally good accounting software should: be capable of supporting the accounting functions for which it was designed. provide facilities to ensure the completeness, accuracy and continued integrity of these accounting functions. be effectively supported and maintained. It is also desirable that good accounting software should: be easy to learn, understand and operate. make best practical use of available resources. accommodate limited changes to reflect specific user requirements. It is essential, when software is implemented, for appropriate support and training to be available. 2 Approach to evaluation 2.1 Objective To evaluate CFPwinMan v3.20 against a set of criteria developed by the ICAEW to ensure that the software meets the requirements of Good Accounting Software, as laid down in the summary. 2.2 Approach and Work performed In order to effectively evaluate CFPwinMan v3.20, a product specialist from the CFP Software Limited completed the detailed questionnaire and provided it to the evaluator to examine. The evaluator then visited the CFP Software head office in Redruth, Cornwall, and in conjunction with the operation of the various aspects of the system assisted by a member of CFP Software s technical staff checked the answers to confirm their validity. The questions were individually reviewed and commented on and the majority of assessments were confirmed. The evaluator discussed the assessments with a member of CFP Software staff in order to clarify certain points. In the event of disagreement between CFP Software and the evaluator, the evaluator's decision was taken as final and the response changed accordingly. CFPwinMan v3.20 was used throughout the evaluation. The evaluation covered the client cash based accounting system which deals with rental, deposits and associated income, property expenses and payments to clients, contractors and management fees. There are add on modules for internet upload and legal documentation, brochure generation and landlords online. None of these modules have been covered by this evaluation process. When the evaluation had been completed, the responses were typeset by the evaluator and draft copies sent to the ICAEW for review before completion of the final report. 3

4 2.3 Software/hardware utilised A Dell Inspiron Laptop running at 1.73Ghz with 760mb ram and 60gb hard disk running Windows XP with Service Pack 2 was used for the evaluation. 2.4 Report structure The report has been broken down into its main constituents in the contents page. The evaluation questionnaire was provided by the ICAEW and has been used without alteration or amendment. 3 Matters to consider before purchase 3.1 General CFP Software states that it is a market leader in providing software to the property industry. It has over 1600 clients and in excess of 5000 users in the UK. The ICAEW Accreditation exercise has been developed to cover a wide range of accounts software and there may be areas in the evaluation which show up possible weaknesses in CFPwinMan v Supplier background CFP Software Limited was established in 1989 and currently has over 70 staff providing training, support and assistance. The company is a Microsoft Certified Partner. 3.3 Product Background and Suitability for User CFPwinMan v3.20 is the latest version of the software and is designed for comprehensive Property Management. It comprises an Organiser, a complete double entry client accounting system (stated to be compliant with RICS and ARLA), facility for Deposit, Overseas and multiple client accounts, bank reconciliation, multiple payments facility when paying landlords and contractors by BACS, a full audit trail and automatic cheque printing. 3.4 Typical implementations Implementations range from single screen to 35+ screens. An average installation would have 4-5 users, managed properties, and a rental turnover of 2.5m. 3.5 Vertical applications This is a vertical application in providing specialist accounting software 4

5 3.6 Software and Hardware specifications The minimum recommended specification for workstations is:- 512mb memory Windows 2000, XP or Vista 10Gb hard disk (at least 2gb free) Monitor display 1024*768 CD Rom Drive 3.7 Software installation and support A typical installation is 6 hours on site which includes first training and installation. Additional training is recommended (4-5 sessions over the first 6-8 weeks). Support is provided from the head office in Redruth by a dedicated support team. 3.8 Partner Network and related accreditation process The company markets direct management and letting agents and as such currently has no sales partners, agents or dealers. 3.9 Limitations The ICAEW software evaluation exercise has been developed to cover a wide range of software and there may be areas in the evaluation which show up possible weaknesses in CFPwinMan v3.20. These weaknesses should be taken into context with the potential market for this product, and in most cases would therefore not be applicable. Attention should be drawn to the following limitations of CFPwinMan v3.20 as per the ICAEW questionnaire:- Whilst this is a full double entry system it is designed specifically for the niche market of lettings and property management and is not suitable for general office accounting. The software is single currency only No system log of error messages or security violations No audit trails of changes to tables or account master files but there is limited data in these static fields in this vertical market software in any event. There is no import facility from other packages or banks (but this is under development) The system cannot produce output in XML format Invoices can be reprinted and are not clearly marked as duplicates 5

6 Evaluation conclusion There were no areas in the evaluation that gave concern given the highly specific target marketplace for the product. CFPwinMan 3.20 is well designed, adequately fulfils the needs for end users in this type of business and is sufficiently specified. Disclaimer Any organisation considering the purchase of CFPwinMan v3.20 should consider their requirements in the light of proposals from CFP Software Limited or its dealers and potential suppliers of other similarly specified products. Whilst the contents of this document are presented in good faith, ICAEW cannot accept liability for actions taken as a result of comments made herein. 6

7 5.1 Security and continuity of processing 1 i) Are different levels of passwords provided to control access? ii) Is this level of security appropriate for the expected level of business using the software? 2 i) Is each user required to have a personal password? ii) Can a report be produced detailing all current users and their authority levels? 3 Do the security features cover: i) System access? ii) Company access? iii) Menu access (ledgers)? iv) Sub menu access (ledger facility)? v) Field access? 4 Does security allow for read and read/write access to be specified separately? 5 Can the menus be tailored by the software house or an educated user so that an individual user can only access those functions they are authorised to access? 6 Does the system provide specific levels of password control to authorise master file amendments? 7

8 7 Are there specific security procedures (by passwords or warnings) over the: i) Update of ledgers? ii) Closing of accounting periods? iii) Deletion or archiving of transactions 8 Is there a clear indication in the system or manuals as to how the data is backed-up and recovered? 9 How is this provided: Not applicable as client accounting software Deletion / archiving not permitted so not necessary covered as part of training procedure and auto backup on exit. iii) i) Within the software application? ii) Within the operating system? Are any of these procedures automatic? iv) Is the user forced or prompted to back-up at certain intervals? instructions are provided as to how to back up the database e.g to an external source prompted on exit to backup on exit if using Access database fully automatic if using SQL version v) Can the intervals be customised? vi) Do the recovery procedures work? No on exit prompt 10 Does the system facilitate recovery procedures in the event of system failure? (Eg Roll back to the last completed transaction). saving as it goes 8

9 11 If system failure occurs part way through a batch or transaction, will the operator have to re-input the batch or only the transaction being input at the time of the failure? 12 Are there any features provided with the software to help track down processing problems? Re-input batch Reconcile Balances Report can be run at any time and a tick indicates underlying balances agree between cash book and cash tables 13 Are system messages clear and are user responses properly structured to ensure that erroneous key strikes do not lead to inappropriate actions? 14 Is there a system log which details: i) User activity? ii) Error messages? iii) Security violations? What are the procedures for handling dates? (E.g. 2 digit, 4 digit). i) In the case of two digits what is the break point for the century? ii) Are dates handled consistently throughout the software? 16 Economic and Monetary Union. No in Access in SQL No 4 digits 2029 a software component is used every time a date is entered and assures consistency 9

10 What approach will the supplier take towards handling the EURO? Consider requirements: - before the UK joins the EMU; - transition period, i.e dual currency in the UK; - post the transition period. Our system is a single currency system. The currency defaults to Sterling, but Regional Settings can be used to process in alternative currencies. 10

11 5.2 Input of transactions The following sections in Input of transactions, File maintenance, Processing and Reports are primarily aimed at the three main accounting ledgers (General Ledger, Sales Ledger and Purchase Ledger). Where there are other modules (eg Sales Order Processing, generating invoices, Purchase Order Processing and Stock Control) questions, where applicable, need to be related to these modules. 1 Is data input controlled by self-explanatory menu options (and are these menus application-specific)? 2 i) Does the system provide input validation checks such as account code validation, reasonableness (limits, VAT or discount checking) and validity checks? ii) Can the user amend data on an input screen prior to update? 3 What are the control features which ensure completeness and accuracy of data input eg, batch control, matching, review of audit trail; are all input transactions subject to this control? 4 Does the system allow for batch control totals? If so: i) Are batches automatically numbered? ii) Are batches forced to balance before ledger update? choice of tabs or icons VAT. Also reasonableness checks on receipts where they differ from open items On receipts a batch total needs to be entered manually and the allocated individual receipts must agree before update is permitted. Other areas require matching of discrete items where relevant e.g paying in slips and bank reconciliations 11

12 iii) Does the system allow the temporary halting of input of a batch to allow for queries or other activities to take priority (eg set up a new account) iv) Is the user forced to confirm batch totals? 5 Is attempted posting of unbalanced journals rejected? (G/L). 6 Are input errors highlighted? Are they: i) Rejected and reported on screen? ii) Rejected and error reports generated? iii) Accepted and posted to suspense? 7 Is a detailed audit trail of all input data generated? i) Are transactions allocated a unique reference number by the system? ii) Is this trail adequately protected from deletion? 8 i) What are the controls to ensure the internal integrity of the ledger(s) or the accounting information, eg, control of accounts. except for one posting screen relating to bulk cash received. where applicable No No not applicable client accounting system Reconcile Balances Report can be run at any time and a tick indicates underlying balances agree between cash book and cash tables ii) Is it impossible to there are no control 12

13 allocate input values directly to ledger control accounts? (G/L). iii) Is there a mechanism to allow the user to establish that the total balances on individual accounts agree to a respective control account? eg System Integrity Check. 9 i) Can automatic accruals or prepayments be generated? ii) Will these automatically be reversed after the period end? (G/L) 10 Is the ledger open item, rather than balance forward (or capable of being maintained as either)? (S/L, P/L, G/L). 11 Does the system permit multi debit/credit journals? 12 Are all transactions adequately identified on screen as to type and as to debit or credit? 13 Can separate nominal analysis codes be input for each invoice line? (S/L, P/L, stock) 14 Can cash receipts and payments be matched to accounts as such this is a client cash accounting package and bank balances agree to sums due to clients The Reconcile Balances Report is the key control for this CFPwinMan is a client cash accounting system as required by RICS and therefore accruals and prepayments are irrelevant. (see above) Open Item client accounting only Each expense can be allocated to a user defined analysis code. -all transactions have to be so matched 13

14 specific invoices? 15 Will the system permit part payments? 16 i) Will the system accept credit notes in the purchase ledger? ii) Will the system generate credit notes in the sales ledger? 17 i) Does the system provide for early settlement? ii) Can these be automatically generated? iii) Are there controls over accepting settlement discounts (eg time limits)? iv) Is VAT treated correctly on early settlement discounts? 18 i) Will the system permit the posting of unallocated cash to the ledgers? (S/L, P/L) ii) Are unallocated cash/credit notes specifically reported for follow up? 19 Are outstanding transactions displayed for allocation? (S/L, P/L) No not really applicable expenses in this vertical market not usually part paid. A workaround is available if absolutely necessary. there is no conventional purchase ledger there is no conventional sales ledger Not relevant Unallocated cash receipts are permitted. a specific report is available Open item system - all displayed 14

15 20 Is it possible for new accounts to be created during sales invoicing or input of purchase invoices? 21 Is there control over the creation of new accounts? 22 Is the user prevented or warned from overriding credit limits or discounts? (S/L). 23 If the system enables transactions to be posted to the ledgers whilst performing a bank reconciliation (eg standing charges, bank charges etc) are these adequately reported? 24 i) Does the system accept input files from other computer packages? In this vertical market system a new tenant/property can be created at any time. if appropriate permissions have been set. In this vertical market system there is no sales ledger/credit sale but there are warnings where payments due exceed funds available Not at present but currently development is being undertaken to import bank produced files ii) What are the controls in place over the interface? 25 Does the system have a facility for calculating interest on late payments? 15

16 5.3 Value Added Tax The following sections detail the general requirements/features of an accounting package in handling VAT. It cannot cover all eventualities or all users and where necessary members should contact their local VAT offices for detailed guidance. The overall objective is to accurately record the accounting for VAT in order to support VAT returns to Customs & Excise. N.B Cash accounting: VAT is based on cash payments or receipts for which tax invoices, or equivalent documents are held or issued (for goods or services). Payments in advance are not allowable to input VAT claim until the tax document is received. Receipts in advance or unallocated cash are subject to VAT at the standard rate. On invoice entry the VAT amount should be posted to a general ledger balance sheet input VAT suspense account to be reduced on payment or receipt of the VAT amount with the equal entry to the general ledger balance sheet VAT control account. Reconciliation or VAT analysis should be available for the General Ledger VAT suspense accounts (input and output) to invoices received/issued and the outstanding creditors and debtors listings. (i.e the amount of VAT in and out should reconcile to the invoices issued, received and expected). System features 1. Features required for the recording of VAT: UK VAT registration number EC VAT registration numbers (10) for letting agent No VAT rate (nn.nn) rounding, to be applied consistently (up or down to the nearest penny but not to zero VAT) 2. Security, by password and/or audit trail to control changes to: general ledger VAT control accounts this is a client accounting package for the 16

17 administration of letting income and expenses. VAT tables tolerance levels (if applicable) invoice number table changes on VAT code on customer and/product files VAT calculated on sales invoices or credit notes 3. Method of operation a) VAT basis. Can the system handle: invoice (standard) accounting for VAT cash accounting for VAT? b) Where systems can handle both invoice (standard) and cash methods of accounting for VAT, is the basis clearly identified during set up? c) Is the ability to change a basis of accounting clearly flagged, i.e users warned etc. and supported by audit trails to ensure proper VAT treatment of only VAT report is management fees charged to customers client accounting software only client accounting software only 17

18 all transactions. 4. Input VAT (purchases) a) Are there sufficient VAT codes to analyse input VAT: UK VAT chargeable (10 codes) EC acquisition tax No VAT Exempt VAT inclusive reverse charge tax b) The following invoice details will be required to be input: supplier reference invoice tax date invoice gross total invoice VAT amount individual invoice lines: CFPwinMan is a client cash accounting system. This input section is not relevant to our Client Accounting Software net amount VAT rate (optional from VAT code, product supplier c) The system should 18

19 validate individual invoice line VAT amounts against the total invoice of VAT (less early settlement at discount) and accept or reject the amount subject to a tolerance. Where the amount is within the tolerance it is the amount on the suppliers invoice which must be used to derive the amount recoverable. d) Where a system allows VAT to be reclaimed on the basis of registered but unposted invoices, the system must allow for the VAT status of invoices to be flagged as: VAT not yet reclaimed or VAT claimed 5. Output VAT (sales) a) Are there sufficient VAT analysis codes to identify the following: UK chargeable EC VAT: goods and related services services only Not Relevant 19

20 process triangulation Exempt export to a third country UK sale zero rate by certificate/treasury distance selling (supply to an unregistered EC customer) outside scope b) For each invoice generated: unique invoice reference supplier, name, address, EC country code and VAT number All except EC Country code but given vertical market this product is aimed for this is not an issue date of invoice tax point (the date the supply takes place, the date of issue of a tax invoice or receipt of payment if before supply) the date of the tax invoice issued (if within 14 days of the date of supply) 20

21 customer, name, address, EC country code and VAT number (if EC) type of goods supplied, quantity, description, net value, rate of VAT. total net charge rate of cash discount. total invoice and VAT value for each rate of VAT type of supply c) Pro forma invoices should be clearly identified as this is not a tax invoice. 6. Reporting The following reports should be available: a) VAT return by report period (three monthly, monthly or by other month ends if agreed with the local VAT office) b) summary of data included in VAT reports in this vertical market application CFPwinMan is a client cash accounting system. This section is, in the main, not relevant to our Client Accounting Software Summary of Fees and VAT charged is produced by the system 21

22 c) detailed analysis of data included in each return sorted by VAT code and transaction type. Totals of outputs and inputs required for boxes 6 and 7 of the VAT return, to be derived from the net amount totals from the appropriate VAT codes. d) total of EC supplies and acquisitions required for boxes 8 and 9 of the VAT return, to be derived from the net amount totals from the appropriate VAT codes. e) Audit trails, where appropriate to identify amendments to: VAT tables Not in Access - in SQL version tolerance parameters invoice VAT calculations customer/supplier/ product masterfiles f) full audit trail of details of all VAT postings with variances by report period and country code showing: No customer VAT 22

23 number, customer, reference number (invoice), invoice value ESL indicator. g) Exception reports or audit trail of all VAT postings where the computer generated VAT or calculated VAT has been overridden. h) EC sales list (ESL) reconciliation analysis including: i) INTRASTAT reports where applicable. 7. Potential problem areas Can the system correctly handle the following circumstances: a) VAT control or Suspense accounts, are these protected from direct update by journals? b) How are errors on VAT accounts corrected? c) VAT treatment of purchase and sales ledger contras A warning message appears on data entry when overridden but this is not flagged as such in the audit trails/reports can be developed if required CFPwinMan is a client cash accounting system. This section is not relevant to our Client Accounting Software both items VATable supplier is non VAT 23

24 registered d) Reimbursable expenditure, eg. Electric charge received and partly recovered from a sub tenant. e) Partially allowable expenditure, eg VAT on petrol invoices where employees are provided with petrol (adjustment required for own use) f) Can the system handle cheque refunds to customers? i.e unusual transactions under cash accounting. g) Can the system handle invoices with multiple rates of VAT? h) Can the system handle write off of bad debts and the VAT consequences? 24

25 5.4 File maintenance 1 Is the creation or amendment of standing data (eg customer account details) controlled by menu options and are these menus application-specific? 2 Does the system provide input validation checks? (eg account number validation by displaying the underlying information relating to the account codes such as the description, completeness checks and format checks, i.e. checking that the information has been keyed in correctly). 3 Are input errors highlighted? Are they: i) Rejected and reported on screen? ii) Rejected and error reports generated? iii) Accepted and posted to suspense? 4 Does the system prevent an account from being deleted whilst it is still active? Are there other constraints over the deletion of accounts? (eg movement during the year, associated input screens for invoices and receipts show the landlord, address and tenant names each record has a unique identifier which cannot be duplicated Not in Access in SQL cannot be deleted cannot delete properties if there are any transactions, cannot delete properties if there are tenancies and cannot delete 25

26 sub-accounts). 5 i) What is the length and scope of reference numbers GL/SL/PL? ii) Is it adequate to permit sufficient depth of analysis? 6 i) Are reports available for users to identify all master file changes? ii) Can reports be invoked which identify the fields which have been modified? iii) Would it be possible to show that these reports provide a complete record of all such changes? iv) Do the reports show how the fields have been modified? (eg before and after). 7 If the system uses a lot of standing information which changes frequently or regularly, does the system allow for such changes to be effected through the use of parameters or tables? 8 If so, is the use of such parameters or tables landlords if there are associated properties 8 digit alphanumeric throughout for properties, landlords and tenancies Access version - Whilst there are no standard reports available for the end users to track all the master file changes, these can be obtained if required via our technical support desk. SQL version will be tracked automatically., as above., as above., available on request. As relevant and appropriate As relevant and appropriate SQL would record any changes 26

27 adequately reported? 9 Is proper control to be exercised over changes to such parameters? (If so, how? For example, through the use of system facilities such as passwords or by inspection of appropriate reports). 10 i) Does the system allow selective archiving of old data on a user-defined basis? ii) Can this data still be used by the report generator? iii) Can archived data be restored? iv) Are there password controls over the handling (retrieval/saving etc) of archived data? via password protection No status can be set to Archived but this in effect a filter to prevent information displaying in reports. No data is archived off of the system. 27

28 5.5 Processing 1 Does the system ensure that menu options or programs are executed in the correct sequence (eg ensure outstanding transactions are processed before month end procedures run)? 2 i) After an external document (eg sales invoice or cheque payment) has been generated and posted to the accounts is it impossible to amend this data? ii) Is there an audit trail of all changes to transactions which have updated the ledgers? 3 Can the system calculate prices or values by reference to master file data? 4 Does the system provide automatic recalculation, where appropriate, of data input? (eg VAT) 5 i) Does the system warn the user when the system is out of balance? ii) Is this check done on switching on or on ledger update? 6 Does the system include routines for recovery from abnormal termination (eg power cuts)? e.g. default setting is that contractors cannot be paid if there are insufficient client funds, landlords cannot be paid unless there are funds available as relevant to the function of the program Reconcile Balance Reporting function Manually running Reconcile Balances reporting No would need to restore from backups (but only if there was a error reported on logging in) as is common with any system. 28

29 i) Are these automated? No ii) Do they rollback to the last completed transaction? No 29

30 5.6 Reports 1 Are all reports adequately titled and dated? (eg report name, client name, data, period, batch, last entry number, period end, pages, numbers etc.) 2 i) Do the reports provide totals where applicable? ii) Are these totals calculated or taken from a control file? 3 Is it clear when the report has ended? (totals or end markers) 4 Can reports be saved in electronic format (as distinct from just printing)? ii) Are such files adequately protected from deletion or amendment? 5 i) Is a report generator provided as part of the software or as an option associated with it? ii) What level of knowledge is required to use the report generator, eg beginner, regular user, expert? iii) Can the report generating facility make use of user-defined fields - considered to be adequate Calculated e.g. page xx of xx or totals e.g. CSV files or RTF The whole point of exporting to CSV or RTF is for end users to tailor or manipulate as required Custom report writer provided as part of the software Regular user (but not external fields) 30

31 (including external fields)? 6 Does the report writer cover all ledgers (transactions) files and balance (all value fields eg prior year etc.) files? 7 i) Are all the parameters or selection criteria used on reports reported? ii) Is there an option for reports to exclude nil balances? 8 Can screen layouts, reports and transaction formats be easily adapted to users requirements? 9 Can a hard copy be produced of all screen enquiries? 10 Can transaction files for all previous periods of the year be retained in the system to permit enquiries and reports? 11 Can all reports [transaction listings (G/L), Day books (S/L, P/L)] be reproduced after the period end? 12 Are reports of all master file changes automatically generated or stored for later printing? Automatically on Reconciled Balances report option in other reports screen layouts and reports are user definable for each user and the settings are retained for future use no closedowns no closedowns Whilst there are no standard reports available for the end users to track all the master file changes, these can be obtained if required via our technical support desk. Facility exists in SQL version 31

32 13 Can full lists of master file information be produced? 14 i) Are all transactions on all reports individually identifiable? ii) Do the reports show whether items are debit or credit, and do they give sufficient narrative and coding to enable cross referencing? 15 Can the system produce all requisite reports? (For example trial balance, profit and loss account, balance sheet, cash flow statement and VAT reports, (including VAT return, EC Sales Listings and Intrastat returns (SSD), if applicable, in addition to ledger reporting requirements) 16 i) Do standard reporting options give sufficient flexibility to tailor individual reports? ii) Do these reporting facilities permit multiple key-sorting, variable report intervals and optional selection parameters? 17 Are standard reports always produced, even when they are nil returns? 18 i) Do the standard budget reports provide sufficient For the software s designated purpose yes it does i.e.:- Cash balances and sums due to clients. Reconciled balances, sums due to landlords, sums due to contractors, tenants, arrears lists etc. Full list of reports available on request. Profit and loss and balance sheet are not relevant. Only if required 32

33 analysis of variances? ii) Do such reports provide exception reporting, percentage analysis and comparatives? (G/L, S/L, P/L) 19 Do standard reports show sufficient analysis of trading results? (For example sales analysis by region)? 20 i) Are all movements during each accounting period shown on ledger detail reports? ii) Do these reports show how all partial payments or allocations (unallocated cash) have been treated? 21 Does the trial balance report show balances carried and brought forward and totals of posted transactions? 22 Can the management accounts, profit and loss account and balance sheet be sufficiently analysed by cost centres, company and period? 23 i) Can aged analysis reports be obtained? (sales ledger, purchase ledger, stock). ii) Are the age criteria fixed or user definable? Fees analysis by branch, department, category and fee earner can be produced Trial Balance - Reconciled Balances Report shows totals of all transactions Fees analysis by branch, department, category and fee earner can be produced Income Arrears / outstanding report can be produced. These do not appear on the Reconciled Balances report as this report is a non-cash item. Standard report - Fixed within categories 7, 14, 21, over 21 33

34 days. A further report can be generated of all arrears and sorted by criteria. iii) Can the age analysis reports be in summary and/or detail (for credit control)? 24 What controls are there in place so that the user is aware of partly processed transactions (e.g. unposted invoices or uninvoiced dispatches)? 25 What controls are there in place to ensure that the correct price/discount has been applied to invoices/credit notes? (eg Gross Margin reports) 26 Can the system automatically generate documents for external use? (For example sales invoices and statements, remittance advices and cheques). 27 i) Can the system control duplicated documents eg sales invoices? ii) Are these clearly identified as duplicates? 28 Does the system force the production of month-end reports? The controls are shown on our Organiser report. This includes:- invoices to post, rents to calculate, arrears, contractors to pay etc. Rents charged are based on the Rent per Month field entered on setup and used each subsequent month until it is changed. produces client statements etc Invoices raised are logged in a history log and a PDF copy is stored this can be reprinted as necessary if requested. They are not marked as duplicates on reprinting. Not considered necessary in this software No, not required for client cash accounting 34

35 29 Following a month end can transactions still be viewed and can the reports be rerun as at a previous month end? In particular - is it possible to print out retrospective aged sales and purchase ledger reports that agree back to the month end trial balance control account figures as at the month end. 30 Can the reporting function make use of external datafiles? 31 Does the report generator have the facility to scroll up and down when output to screen? 32 Can all reports be run without the need for periodend procedures to be initiated? 33 Does the report generator allow print previews of all reports? No, not required 35

36 5.7 Performance of requisite accounting functions 1 i) Can the software be used by more than one person at the same time? ii) Can the same function (eg Purchase ledger) be used by more than one person at the same time? 2 i) Can the software support groups of companies, departments, branches? How many such branches or companies can be supported? Can they be consolidated? ii) Can the system consolidate entities with different charts of accounts? 3 Is multi-currency processing available? (What is the maximum number of currencies available?) Is conversion to sterling automatic? (G/L, S/L, P/L, stock) 4 What are the currency capacities? i) What are the maximum and minimum exchange rates ii) What is the maximum number of currencies?, no limit. They can all be consolidated No Single currency only One 5 What currency information None the computer s Regional 36

37 is held? i) Currency code/description Settings are applied throughout the software ii) Country iii) Currency rate table. iv) Date rates effective. v) Previous rates held. 6 User controls? i) Can the base currency be selected? ii) Can the user over ride the exchange rates during a transaction? iii) Can the user change the exchange rates per account? iv) Is there a restriction on accounts to a single selected currency. 7 Currency processing i) Can the user manually over ride the currency calculation? ii) Are gains or losses on currency calculations automatically processed? iii) Can the user over ride the calculation /processing of currency gains and 37

38 losses? iv) Can the user define the treatment of forex gains/losses (e.g. the nominal to write to)? iv) How does the currency treat revaluations relating to:? Ledgers (sales/purchases) Monetary assets/liabilities General ledger accounts v) Can ledger accounts be defined to take invoices/payments in specified currencies/ multiple currencies:? 8 Currency input i) Does the system prevent the deletion of the active currency. ii) Does the system prevent use of duplicate currency codes? iii) Can currency transactions be entered in selected currency and/or base currency? iv) Are transactions held in selected currency and/or base currency? v) Can transactions be entered in multiple 38

39 currencies? 9 How does the system handle exchange differences? 10 What number of accounting periods are provided by the system? There are no defined accounting periods i) What is the minimum? ii) Can the length/ number of periods be adjusted to suit different user requirements? iii) How many accounting periods can be open at any one time? iv) How many years can be open? v) Can a period or year be re-opened after it has been closed? 11 Are the ends of accounting periods determined by the user rather than being set by the system? 12 i) Can data from all accounting periods be accessed at any given moment? ii) Can previous months be accessed for enquiries or reports? 13 i) Does the system allow posting to more than one accounting period at a time? reports can be produced for any period since this is a client cash accounting system. 39

40 ii) Is it possible to allocate transactions to: a) future periods? any date can be used for posting b) previous closed periods? c) a previously closed year? iii) If the system allows posting to previous or future accounting periods or years, does it: a) Flag/warn the user that it is occurring? b) Revise subsequent periods accordingly? c) Will transactions outside the current period be adequately reported and accounted for (eg on the VAT return)? 14 Does the system permit use of budgets and provide comparisons between budgets and actuals? (G/L, S/L, P/L) 15 i) What is the maximum value of transactions and of totals, that can be handled by the system? Since this is an open item client cash system, this is irrelevant Since this is an open item client cash system, this is irrelevant. There are no close downs This is restricted only by the capacity of the user s system ii) What is the maximum This is restricted only by the 40

41 number of transactions that can be handled by the system? 16 What is the maximum number of accounts on each ledger (eg sales ledger, purchase ledger, nominal ledger)? capacity of the user s system (36 8 ) 17 What is the size and format of account numbers on each ledger? 8 digit alphanumeric 18 Are the control features provided by the software adequate to support effective user controls? i) Transaction sequencing? ii) Automatic dating of posting transactions? iii) Identification of user id or program generating (i.e the source) the transactions? 19 Does the system have a facility for calculating interest on late payments? 20 Does the system allow budgets to be set for: i) GL? ii) Sales? iii) Purchases? iv) Overheads? v) Balance sheet? 21 Can budgets be set by period?, yearly?: defaults to today s date each time No this does not happen in the lettings business could add if requested 41

42 22 Can the system automatically generate budgets if so how (eg by % increase on last year/period or by bringing forward historic data)?: 23 What are the drill down features available on the system? Drill down features are present in many areas of the program 42

43 5.8 Sales Order Processing and Invoice Production 1 Does the system start with a quotation or the sales order? 2 Are recurring or schedule orders handled? This is not relevant for our client cash accounting software. 3 At quotation or initial order state how does the system: i) check stock availability ii) highlight stock alternative iii) check credit status of customer - is this: on receipt of order prior to dispatch 4 Can the system block customer orders deliveries invoice production 5 Where stock is not available is a back order raised and a purchase order issued? 6 Does the system handle forward orders? only when stock is now available to be allocated from 43

44 future planned stock 7 Can multiple addresses be held for each customer (invoice and delivery address). 8 Are the following documents produced: Quotations Order confirmation Picking lists Labels Dispatch/Delivery note Invoices 9 Are the following reports available: Quotes for which orders not received Orders (analysis) received Items placed on backorder and/or purchase orders raised Items dispatched not invoiced Items ordered but not dispatched due to stock out Gross margin (by invoice 44

45 or item) 10 Are invoice details derived from order input? (eg prices, quantity) 11 i) Can picking lists /dispatch notes be amended for non availability of stock? ii) Is this reported? iii) Items dispatched reflect in final invoice? 12 Is there one dispatch note and invoice per order? 13 How does the system ensure all dispatches are invoiced? eg where multiple dispatches are raised per order, or several orders on a single dispatch note. 14 Can manual invoices be raised (i.e without a sales order)? 15 Does the system produce proforma invoices as required? 16 i) Can returned goods be processed to produce credit notes? ii) Are these referenced to the original order/invoice? 17 i) Will the product accept orders from the Web? 45

46 ii) How are Web orders integrated with the sales order processing ledgers? 46

47 5.9 Purchase Order Processing 1 Order generation - i) Does the system generate suggested orders? ii) Can orders be generated by the user? Is the system easy and efficient to use, i.e scroll backwards and forwards in the product file, tagging more than one item per order? Can more than one supplier be allocated to each product? Does the system hold details of substitute products if applicable? 2 Based on automatic and manual order generation (above) does the system produce a list of proposed purchase orders, if so, can these be easily amended? 3 Is stock availability updated for stock on order? 4 Can the system handle partially completed orders and returns? 5 Are receipts checked to 47

48 orders and discrepancies reported? 6 Are purchase invoices checked to purchase orders, confirmed receipts and discrepancies reported? 7 Are the following reports available: i) Purchase Orders raised (analysis)? ii) Purchase Orders not received? iii) Goods discrepancies? received iv) Invoice to goods received discrepancies? v) Goods received not invoiced? 8 Can the system handle back to back ordering? 48

49 5.10 Stock Control 1 What information is held in respect of stock (and are there any limits): Item numbers/description Location(s) Quantity, (available, allocated, on order) Minimum and maximum stock levels Reorder lead times Supplier(s) Prices/cost/discount details Other stock information: Batch/serial number Weights etc. 2 How is stock updated? Dispatch of goods Receipt of goods Adjustments None of this section is applicable to our software package. Transfers locations between 3 Is negative physical stock allowed? 4 Can the system handle sale 49

50 or return stock? 5 Can the system handle variations to a standard pack of products? 6 What methods of stock valuations are allowed? (eg average, FIFO, LIFO, standard, etc). 7 How can stock enquiries be made, i.e by product code, short name/supplier etc. 8 Does the system track orders and enable enquiries by date, eg list of all stock due on a particular day; stock to be dispatched on a set date? 9 Does the system facilitate the regular counting/ inspection of physical stock (e.g. by producing random/defined stock check lists)? 10 Can the system handle more complex situations such as: Bill of Materials Links to CAD/CAM systems Job costings to collate and value WIP. 50

51 5.11 User documentation This section applies to any of; online, hardcopy or other (e.g.www) documentation specify which are applicable. 1 Is the manual clearly laid out and understandable? 2 Is the manual comprehensive and accurate? 3 Is there an index to the manual? 4 Is it easy to locate specific topics in the manual when required? 5 Is it easy to follow through all procedures in the manual? 6 i) Does the manual include: a) A tutorial section? over 300 pages No but there are online helpsheets of commonly asked questions b) A guide to basic functions? c) Pictures of screens? d) Completed examples included in the manual? e) Specific error correction procedures. No 51

52 7 Does the documentation clearly specify the actions to be taken by users at each important stage of processing? 8 i) Are help screens available relating to the task in hand? (context sensitive help). ii) Do they provide on-line instructions on how to use particular features of the software? iii) Can they be edited or prepared by the user? 9 Will the software supplier make the detailed program documentation (eg file definitions for third party links) available to the user, either directly or by deposit with a third party? No own notes can be annotated which are available globally to all users 52

53 5.12 Efficiency 1 Are the various functions of the system menu-driven, or otherwise easy to initiate? Is there a good response time in the initiation of functions? 2 Is data entry easily repeated if similar to previous entry? 3 i) Does the system prevent access to a record while it is being updated? Is the locking at file (eg purchase ledger) or record (eg supplier s account) level? ii) Does the system allow for the running of reports whilst records are being updated? 4 Does the system retain a log of file updates until the next occasion on which the relevant information is reported or the relevant file used in a regular control procedure? 5 Can regular reports be easily duplicated if required? 6 Does the system warn the user when space is becoming short? as far as is practicable The locking is at record level The system has been written for maximum efficiency, so therefore this has been accounted for in the system s architecture. custom reports can be defined and saved No 53

54 5.13 Integration and www facilities 1 i) Are the different accounting applications integrated? ii) Are they integrated on real time basis or batch basis? iii) Can the integration of batches be by batch, weekly or monthly? 2 Is the ledger updating process satisfactorily controlled by the production of control reports? 3 What operating systems does the system run under? 4 Can more than one system function be performed concurrently? 5 i) Can the software be linked to other packages eg word processing, graphics, financial modeling, to provide alternative display and reporting facilities? ii) Can definable links to spreadsheets be created? 6 Does the system integrate with any web trading software? External or suppliers own? 7 With what other business application software will the system link? e g: as applicable to the vertical market Batch basis By batch all controlled by Reconcile Balances Report Microsoft Windows 2000, XP Professional or Vista export to CSV, RTF etc No Any that will import a CSV file. 54

55 Payroll Time/fees MRP Fixed assets Document systems Job costing management 8 Is the software compatible with XML standards? If so in what respect? (input/ output/ other)? CSV, not XML, and for outputting information 55

56 5.14 Support and maintenance 1 Will the supplier or dealer provide corrections to the programs? Are bug fixes free of charge - for how long? 2 Will the supplier or dealer provide general enhancements to the programs? Will these be provided automatically? Will they be given free of charge? 3 Will the supplier, dealer provide hot line support to assist with immediate problem solving? If so, at what cost? At what times will this support be available? 4 Is the supplier or dealer capable of giving sufficient ongoing education and training and other support? 5 Can the supplier, dealer or some other organisation provide all the hardware, software and maintenance requirements of the user? 6 Is there nationwide support: Telephone Modem link/www local dealers/support 7 Is a warranty offered in respect of specification of the system? free of charge if under a current support agreement free of charge if under a current support agreement The cost is calculated on the number of licences etc. Support is provided from 9.00am until 5.30pm, Monday to Friday there are 9 full time training staff available across the country The company can provide all support and maintenance requirements for both hardware and software 90 days from receipt 56

57 8 Will the software supplier/dealer make the program source code available to the user, either directly or by deposit with a third party (Escrow)? 9 Are there any unduly restrictive conditions in the license for the software? 10 Would the software house be prepared to accept the Institute of Purchasing and Supply model contract? in Escrow upon request No 57