Document Management in Dynamics GP

Document management in Dynamics GP can help your staff more accurately and efficiently store, manage, and retrieve documents.

Many companies still use email or a paper trail to store AP (Accounts Payable) invoices, purchase order information, contracts, etc. If you are in that situation, you may notice your team tracking down or retrieving paper for approvals.

You can automate document management within GP, creating a system that will reduce frustration and improve efficiency.

Over the past 20 years, I have spoken with CFOs and controllers at many companies in this situation. Below, I will explain the basics of document management.

What is Document Management?

Document management is both the storage of documents and the ability to process the documents accordingly. In the past, paper file cabinets used to be the preferred way of storage. Actual printed copies of documents were stored in this manner for decades. This physical retrieval of documents meant physically retrieving the paper from the cabinet, if the paper had been moved off site, then retrieval was difficult and costly. In the last decade, the cost of electronic storage has declined to the point where it is cost effective to store documents in digital form. Once digitized, the documents can be stored and retrieved directly by users as required.

Digital documents, such as invoices, can then be attached to the transactions these documents drive. This allows easy access to the documents based on the transaction driven by the document. This attachment drives the storage of the documents into the ERP (Enterprise Resource Planning) systems like Dynamics GP.

Once stored in the ERP system, the firm no longer requires the physical document to be kept, reducing the amount of paper stored by the organization either on-premises or off-site.

Create a Workflow for Document Management

You can create a workflow to help you manage AP invoices and other documents in Dynamics GP.

Workflow allows the requestor to enter the information that requires approval and send it electronically to the approver. All backup and information required for this approval is attached and tracked by the system. Once approved, the requestor is notified that the document is ready for processing. If multiple approvals are required, different individuals can be notified, and the document flows to the appropriate approver. Change and rejection can restart this process at any time if there are discrepancies or issues that need to be addressed.

Workflows are commonly used for:

  • Accounts payable
  • Purchasing transactions
  • Sales invoices (credit limit approval)
  • Master records:
    1. New GL (General Ledger) accounts
    2. New Customers
    3. New Vendors

Note that successfully creating the workflow requires careful planning and setup. For instance, large purchases can require multiple approvals by managers, finance and even the Board of Directors depending on the organization. Learn more about setting up and using workflow in Dynamics GP.

Benefits of Document Management

The ability to send documents for approval and retain control of who is responsible can significantly expedite the flow of information. In work-from-home situations, dealing with the movement of actual paper is difficult, if not impossible. The use of document management is paramount in solving this issue.

Reduction of space and cost of storage of paper documents is not an insignificant issue. Invoice and accounting documents are required to be stored for audit purposes (7 years in Canada). By digitizing these documents, the cost of storage will decline moving forward. While some firms have digitized old documents, most firms start this process as of a specific date and allow the older documents to age out of the system.

Limitations of Document Management in Dynamics GP

Digitization of documents has its limitations, and some paper is unavoidable for firms. However, transitioning to a more digital environment facilitates the use of workflows and simplifies retrieval of historical documents.

Storing documents digitally can be a concern due to the large number of documents and the significant space needed on the servers and in the ERP. However, the additonal cost of equipment and space required is typically more than offset by the savings in time and physical space needed for paper.

Note that some documents must be retained in original form for legal purposes (they may also be digitized for copy retrieval purposes).

If you would like tailored advice and support with Dynamics 365 and the rest of the Microsoft business stack, please feel free to contact us. We would love to talk with you.

Dynamics GP Coffee Break | Setting up ACH and EFT in Dynamics GP

This webinar will go through the basics of setting up ACH / EFT for accounts payable and accounts receivable. We'll walk you through the settings and the default setups.

May 21
9:00 am – 9:25 am

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Webinar - Setting up ACH and EFT in GP

May. 21
9:00 am – 9:25 am

Register