Many businesses have a large amount of transactional data to keep track of, and in order to ensure the accuracy of a company's records, this data must be reconciled on a regular basis - at the end of each day, Data Matching week or month. It can be a long and painstaking process to complete by hand, which is why data match software is so useful; a great deal of time and money can be saved by utilizing these programs to expedite the reconciliation process. The storage of accounting and transactional data is much simpler and more organized due to the increased use of computers in business, and it is the next logical step to utilize this computing power to keep track of financial records and account information.
The speed and ease with which data match software can reconcile account information is remarkable, and it can help to decrease the amount of time required for these tasks, thereby reducing labor costs and giving employees more time to complete other, more demanding tasks. Data match software can be used for a variety of administrative and accounting tasks, including matching payments with invoices, reviewing payments from clients, and organizing transactions.There are a wide variety of data match software programs available, but there are certain features which should be present in any program which is to be used for accounting purposes. The most useful programs are those which utilize the process of deterministic matching. This process allows the user to set the parameters for the matching process, allowing for a high degree of customization. This feature also makes the program useful for a wide variety of accounting tasks and functions.
Deterministic matching works by utilizing three different types of mapping functions, and the user is able to set the rules for two of the three functions. Equal mapping finds matches between data that have equal values - a feature which is extremely useful for accounting applications. This type of mapping requires little customization from the user. The other two types - within mapping and contra mapping - utilize a tolerable variance, which is established by the user, when finding matches between two sets of data. Within mapping finds sets of information with values which fall within a tolerable variance of one another, while contra mapping finds matches between data which, when combined, yield a result that is within a tolerable variance of zero.
It is important, when looking for a data match software program, to find one which does not automatically delete duplicates or matches. Programs which operate in this fashion can be useful for deduplication of data and for reducing storage space, but they are rarely useful for accounting tasks, since these types of functions usually don't involve deleting quantities of data. The best types of programs for these tasks are those which flag duplicates for review, but allow the user to make the decision on which bits of data can be deleted, therefore providing a degree of control over the process.Any of the data match software programs on the market can significantly expedite the process of account reconciliation, reduce labor costs, and save time. They can also increase the accuracy of the accounting process, reducing the potential for costly errors due to human mistakes. By making the process more efficient (and simultaneously improving the accuracy of the results), data match software programs can help a business increase their revenue and save valuable time and money.
