Category: articles

Microsoft Dynamics 365 Business Central licensing model

Post author By Maksymilian Śniegocki
Post date March 7, 2024
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Spis treści

License types and entitlements in Microsoft Dynamics 365 Business Central
Essential license
Premium License
Team Members license
Integration with Microsoft Outlook

The Microsoft Dynamics 365 Business Central licensing model is mainly based on a flexible monthly subscription-oriented approach that provides companies with comprehensive ERP solutions under personalized plans. This option allows you to scale your resources based on your company’s needs while ensuring cost control.

A perpetual usage plan is also available based on the right to use the system license in perpetuity. The fee for this solution is divided into two components- a license depending on the number of modules and users and an annual subscription called Enhancement Plan.

The third solution is the on-cloud model (Software as a Service), in which all the basic infrastructure, middleware, and application data reside in a Microsoft Azure database. This option allows customers to get up and running quickly with minimal upfront cost.

License types and entitlements in Microsoft Dynamics 365 Business Central

Licensing within Microsoft Dynamics 365 Business Central includes a variety of entitlement types to suit the diverse needs of organizations. The primary license categories are Full Users and Team Members. At no additional charge within the license, Microsoft also grants one administrative user and one user for so-called external accounting.

We can divide the Full User license into two additional categories, but note that they cannot be combined within the same environment. These licenses are Essentials- providing access to financial, supply chain, project management, or sales and marketing functionalities. Premium- This allows you to perform all the functions of the Essentials category, further extending the capabilities to include service and production management.

A Team Members license user is a partial Dynamics 365 Business Central user. Its license privileges allow it to read any data in the system while significantly limiting its writing capabilities.

The Device license associated with a device is also worth mentioning. It allows you to assign a license to a specific device instead of a user. This is particularly useful when several employees use the same device (a terminal) in manufacturing plants or warehouses.

Essential license

A primary type of license designed for companies requiring access to most areas.

It allows access to such areas as Reports, Finance, CRM, Sales, Warehouse, etc. Users with this license can create and manage sales and purchase documents, track financial transactions, plan budgets, and generate reports.

It is more affordable than the Premium license, making it a fitting option for companies not deeply involved in intensive business operations but still needs access to the system’s vital information.

Premium License

A license with access to the full range of features included in the Essentials license is extended with additional capabilities, allowing you to take full advantage of the ERP system’s potential.

In addition to managing finances, sales, and purchases, it allows access to service management or production functions, such as planning and process tracking.

The Premium license is designed for companies that want to use the full potential of Microsoft Dynamics 365 Business Central.

Team Members license

It is designed for users who only require access to essential information and reports.

It allows viewing data, approving tasks, or generating reports but does not provide full editing capabilities or create transactions.

It provides a cost-effective option for employees who are not involved in intensive business operations but require access to the information contained in Dynamics 365 Business Central.

Integration with Microsoft Outlook

It is possible to easily combine access to Microsoft Dynamics 365 Business Central with a Microsoft Outlook account through an add-in that allows you to manage business interactions with customers and suppliers directly in Microsoft Outlook. The Business Central add-on for Outlook will enable you to view financial data related to customers and suppliers and create and send financial documents such as quotes or invoices.

Summary

Microsoft Dynamics 365 Business Central offers a variety of licensing options, enabling companies to customize their ERP system and support business growth. The licensing model is based on a flexible subscription, perpetual licensing, or an on-cloud solution. With Essential, Premium, and Team Member categories, enterprises can customize licenses to meet their business’s different needs and responsibilities. In addition, per-device and third-party accountant licenses enable simplified system use internally.

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What is Microsoft Power Apps?

Post author By Maksymilian Śniegocki
Post date February 29, 2024
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Spis treści

How does the Power Apps platform work?

Description of the key components of Microsoft Power Apps

Usage of Microsoft Power Apps in business

Advantages and disadvantages of Microsoft Power Apps

Microsoft Power Apps is a tool created by Microsoft that allows you to create customized business applications. With this platform, even people without advanced programming experience can quickly and easily develop applications, tailored to the unique needs of their organization.

It’s worth noting that Microsoft Power Apps provides a simple interface that allows you to use ready-made templates, while offering you the ability to customize the features and appearance of your applications. As a result, efficiency depends mainly on the user’s creativity and needs.

The platform also offers integrations with other Microsoft tools and services, making it a frequent choice for companies using the manufacturer’s solutions.

How does the Power Apps platform work?

Learn about some key elements that describe how this platform works:

ready-made templates that users can use as a starting point to create their applications. These templates cover different types of applications, such as project management, sales tracking or data collection.
customization of functions and design: through a simple drag-and-drop system, you can add data fields, create interactive forms or define the logic behind the application.
Formulas allow you to define various functions and behaviors. They are easy to understand even for people without programming experience.
Integrations with other Microsoft tools and services, such as SharePoint or Azure. This enables the use of different data sources and increases flexibility in creating personalized applications.
working in the cloud: applications are stored in the cloud, allowing easy access to them from different devices. This also makes it easier to manage and update applications.
speed of deployment: with a simple interface and ready-to-use components, Power Apps enables quick deployment of applications without a lengthy development process.

Description of the key components of Microsoft Power Apps

Applications: The applications in Power Apps are interactive tools that allow you to collect, analyze and present data in a way that is tailored to your specific needs. They can range from simple information gathering tools to more sophisticated business applications that support complex processes.
Cards: Cards in Power Apps are forms that collect data within the application. Users can customize cards by adding data fields, images, buttons or other interface elements to create personalized forms.
Data sets: is where data used by Power Apps is stored. This can be data from a variety of sources, such as databases, spreadsheets or cloud services that store information.
Connections: Power Apps allows integration with different data sources and platforms. This means that apps can use data stored in other Microsoft applications, such as SharePoint or Dynamics 365, as well as external sources such as cloud data or web services.
Formulas: allow you to define the logic behind your applications. Formulas are easy to understand even for people without deep programming knowledge, allowing you to quickly define various functions within the application.
Speed of implementation: With a simple interface, ready-made templates and flexibility in customization, application development can be quick and efficient. These elements work together to create a complete platform that allows you to create personalized business solutions.

Usage of Microsoft Power Apps in business

Microsoft Power Apps is used in various business areas to automate processes, collect data, create interactive reports or customize tools to meet specific enterprise needs. While it has its limitations, especially for advanced developers, it is an effective tool for most users to quickly deploy personalized applications without the need for programming resources.

Power Apps finds application in:

Advantages and disadvantages of Microsoft Power Apps

Advantages:

Disadvantages:

articles

What software facilitates the company’s work?

Post author By Maksymilian Śniegocki
Post date February 22, 2024
No Comments on What software facilitates the company’s work?

Spis treści

Learn about ERP software
How does Business Intelligence software work?
What programs can still be useful for running a business?

In today’s dynamic business environment, effective business management requires the use of appropriate software. Business management programs play a key role in optimizing operations, increasing productivity and enabling faster decision-making. The popular Microsoft 365 (previously Microsoft Office) suite is a solid foundation for many businesses. Word, Excel, PowerPoint, Outlook and Teams are tools that enable comprehensive word processing, spreadsheet creation, presentations, email management and team collaboration capabilities.

In addition to Microsoft 365, it’s also worth noting specialized solutions such as ERP systems, business intelligence and other programs that greatly facilitate daily work.

Learn about ERP software

ERP (Enterprise Resource Planning) systems are an essential part of modern business management. They offer comprehensive solutions that integrate different departments of a company into a coherent platform. This allows for more efficient management of resources, finances, production and logistics. It is worthwhile to familiarize yourself with the solutions available on the market and consult with experts to find the most suitable tool for your company’s specifics.

One of Microsoft’s main ERP systems is Microsoft Dynamics 365, an advanced solution that integrates business processes and enables close cooperation between different departments in your company. Microsoft Dynamics 365 offers a wide range of capabilities, including customer relationship management, enterprise resource planning, data analysis and much more. This allows companies to optimize processes and respond quickly to changing market conditions.

Another tool worth mentioning in Microsoft’s ERP portfolio is Microsoft Dynamics Business Central. This solution is aimed primarily at small and medium-sized businesses. Dynamics Business Central allows you to manage finance, sales, customer service and operations on a global scale. With its flexibility and cloud-based availability, the tool allows companies to grow and adapt to changing business needs.

Both platforms offer cloud-based solutions that allow for easy scalability, flexible access and continuous updates. Depending on the size, specifics and business goals of your company, you may want to consider using these solutions.

How does Business Intelligence software work?

Business Intelligence (BI) software is another important part of the suite of tools that make running a business easier. BI allows you to collect, analyze and present business data in a way that is easy to understand and relevant to decision-making. It is worth mentioning that BI systems can generate reports, forecasts and analysis, which are invaluable in planning a company’s growth strategy. This allows managers to make more informed decisions based on reliable information.

Power BI, developed by Microsoft, is one of the leading data analysis and visualization tools in the business intelligence field. The tool allows users to effectively integrate, analyze and display data from various sources in one place. With an intuitive user interface, the Power BI service allows users to create dynamic reports and interactive dashboards, making important information easier to understand.

In addition, the Power BI service can generate forecasts, trends and advanced analysis to help manage data more effectively. Thanks to integration with Microsoft Azure cloud, Microsoft Dynamics 365, Microsoft Dynamics Business Central and other advanced features, Power BI helps harness the full potential of data to make informed business decisions instantly.

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What programs can still be useful for running a business?

In addition to ERP and Business Intelligence systems, there are many other programs that make running a business much easier. For example, accounting programs are important tools in the financial field. They automate the process of invoicing, tracking payments and monitoring account balances. It’s also worth thinking about project management tools to help organize teamwork and monitor project progress.

Licensing issues related to the use of software are also important. Carefully check the types of licenses offered by your vendor before purchasing. Licensing includes various models, including one-time licenses, subscription licenses and free open-source software.

articles

ERP system, what is it?

Table of contents

ERP – what is the acronym?
ERP system – everything you need to know.
Benefits of implementing an ERP system.
ERP systems examples – implementations

ERP system, or Enterprise Resource Planning, is advanced ERP software that integrates various aspects of a company’s operations. An ERP system enables effective management of company resources, automating and simplifying many business processes. In an era of rapid market changes, ERP systems are becoming indispensable in managing any enterprise, regardless of size.

ERP - what is the acronym?

ERP is an acronym for Enterprise Resource Planning, translated as “enterprise resource planning.” This term perfectly captures the primary function of an ERP system, which is to integrate various departments and business processes into a single, coherent system. Thanks to this, information is processed and shared in real-time, which significantly facilitates decision-making and business management.

ERP-class systems - everything you need to know

ERP systems are designed to increase a company’s operational efficiency. ERP software integrates various company departments, such as finance, HR, production, logistics, purchasing, or customer relationship management (CRM). As a result, it provides a unified platform to manage all aspects of business operations. ERP software is scalable and can be customized to meet the needs of small, medium, and large enterprises.

Benefits of implementing an ERP system

Implementing an ERP system brings several benefits, including:

process automation and data centralization allow for faster and more efficient management,
better control over finances: enables better management of financial flows and budgeting,
improved data quality: integration of data from different departments ensures consistency and timeliness,
increased transparency: facilitates access to information and enables better monitoring of business operations.

ERP systems examples - implementations

Microsoft Dynamics 365 is an excellent example of an ERP system that integrates ERP and CRM functionalities. It provides comprehensive business management tools, combining business operations, finance, sales, and customer service.

Key features of Microsoft Dynamics 365:

Versatility: offers a wide range of modules and features that can be customized to meet specific business needs, from financial management to supply chain operations,
Integration with other Microsoft products: Dynamics 365 easily integrates with other Microsoft applications, such as Office 365, to facilitate collaboration and information flow,
Deployment flexibility: you can choose to deploy in the cloud, on local servers, or as a hybrid solution,
Data analysis and reporting: includes advanced analytics and reporting tools for deep data analysis and business decision support,
Scalability: the solution grows with the company, quickly adapting to changing business and operational requirements.

Examples of Microsoft Dynamics 365 applications:

Financial management: enables automation of accounting processes, cash flow management and budgeting,
Supply chain management: optimization of purchasing processes, inventory management and production planning,
Human resource management: automate HR processes, from recruiting to managing employee compensation and career paths,
CRM: customer relationship management, from sales to after-sales service.

Microsoft Dynamics 365 thus provides a comprehensive solution for companies looking for an effective and flexible ERP system that is easy to integrate with existing IT infrastructure and tailored to specific business needs.

An ERP system is crucial for effectively managing all aspects of a company’s operations. By integrating various departments and business processes into a single system, ERP contributes to increased efficiency, improved data quality, and increased transparency of business operations.

articles

ERP system implementation

Post author By Maksymilian Śniegocki
Post date February 8, 2024
No Comments on ERP system implementation

Table of contents

ERP systems in Poland versus the world – the differences
The proper definition of ERP implementation requirements and goals
ERP vendor and system selection
ERP system and vendor selection – questions for the process:

An ERP (Enterprise Resource Planning) system is a comprehensive software that integrates and manages various business processes in a single platform. It includes finance, warehouse, production, sales, CRM, and human resources modules. The main benefits are integration of operations, automation of processes, ease of data analysis, improved efficiency, scalability, regulatory compliance, and ease of reporting. ERP implementation requires analysis, software customization, and staff training, representing a strategic step in improving business management.

ERP implementation is a process that aims to configure and run the system in a company to meet its unique business needs. Here are some of the main steps involved in implementing an ERP system:

ERP systems are often customized for specific industries and company needs, enabling more efficient management of resources and achievement of strategic business goals. Implementing an ERP system is a process that requires the cooperation of various areas of the company. The effectiveness of the implementation is crucial to achieving the intended benefits.

ERP systems in Poland versus the world - the differences

ERP systems in Poland are often tailored to the specifics of the local market and legal requirements. Nevertheless, many global ERP systems are also used in Poland. Below are the differences and similarities between ERP systems in Poland and the world:

In Poland:

Adaptation to Polish law. Polish ERP systems must meet specific requirements of Polish law regarding accounting and personnel management.
Tax and accounting localization. Polish ERP systems must support local tax and accounting regulations, which include VAT, PIT, CIT settlements, and financial reporting consistent with Polish standards.
Polish language support. The user interface and system documentation must be available in Polish.

Worldwide:

Global compatibility. ERP systems in the worldwide market are typically designed to be compatible with various tax, legal, and language systems worldwide.
Industry diversity. Global systems are often more generic, allowing customization for different industries worldwide.
International integrations with other systems and platforms used in the global marketplace.
Multilingualism.
Global partnerships.
Technological innovation.

The final choice between local and global ERP systems depends on a company’s specific business, its international reach, and adaptation to local requirements. Companies often opt for systems that combine global standards with local customization.

The proper definition of ERP implementation requirements and goals

Properly defining the requirements and objectives of an ERP implementation is crucial to a successful implementation process. Here are some steps that can help in this regard:

ERP vendor and system selection

Selecting the right ERP system provider is crucial for several important reasons:

A vendor's flexibility in tailoring the system to the company's specific needs and processes.
A vendor with industry-specific experience who knows the unique challenges and requirements of the sector.
Robust technical support is crucial for problems or the need to customize the system.
Assurance of system security against cyber threats and regulatory compliance.
Selection of a vendor with a solid financial foundation to ensure long-term system availability and growth.
The ability to expand the system as the company grows and the flexibility to adapt to organizational changes.
Transparent and fair financial terms in line with the budget, taking into account the costs of maintaining the system.
Positive feedback, customer references, and a good reputation of the supplier on the market
practical training to help users adapt to the new system.
The prospect of long-term cooperation ensures that the system is updated and adapted to the company's needs.

ERP system and vendor selection - questions for the process:

What are the steps in implementing an ERP system, and how long will the entire process take? What are the post-implementation steps, and what support does the supplier offer after implementation?
Does the supplier support the processes in transforming the organizational culture associated with ERP implementation?
What tools does the vendor offer to facilitate the end user's system use?
What are the vendor's plans for future updates and product development?

articles

What are the types of ERP systems?

Post author By Maksymilian Śniegocki
Post date February 1, 2024
No Comments on What are the types of ERP systems?

Table of contents

What criteria should you consider when choosing an ERP system?
What are user opinions on various ERP systems?
What are the costs of implementing and maintaining an ERP system?

ERP (Enterprise Resource Planning) systems are crucial for effective business management. They allow different business processes and departments to be integrated into one cohesive environment, helping to streamline operations and make better decisions. There are many types of ERP systems, each of which can be tailored to the specific needs and size of the enterprise.

In this article, we will focus mainly on two types of ERP systems from Microsoft: Microsoft Dynamics 365 and Microsoft Dynamics Business Central.

Microsoft Dynamics 365 is an advanced ERP system that offers a comprehensive range of tools and features that can be customized for different industries and business needs. This flexible ERP software allows you to manage many aspects of your business, such as sales, customer service, project management, marketing, finance, and more. With online and cloud access, Microsoft Dynamics 365 allows employees to access data from any location and device, making it much easier to manage your business.

Microsoft Dynamics Business Central is an ERP system for small and medium-sized businesses. It is a financial, sales, purchasing, inventory, and production management solution that integrates with other Microsoft applications such as Microsoft 365 – Word, Excel, Outlook, and Teams. Dynamics Business Central provides tools to streamline business operations and helps make data-driven decisions.

What criteria should you consider when choosing an ERP system?

In the context of Microsoft ERP systems, namely Microsoft Dynamics 365 and Microsoft Dynamics Business Central, several criteria are worth considering when choosing the right solution. Here are the main aspects to pay attention to:

the first criterion in selecting an ERP system is its functional scope. ERP software must meet the unique needs of the company. Microsoft ERP systems offer many functions, including sales, marketing, customer service, finance, and operations management,
it is essential that the ERP system grows with the business. Both Dynamics 365 and Business Central enable scalable solutions, which means they can be adapted to the changing needs of the organization,
the ERP system must be able to connect with other existing systems in the company. In the case of Microsoft Dynamics solutions, they can be easily integrated with other Microsoft products, such as Microsoft 365 or Microsoft Azure,
Microsoft Dynamics offers a cloud-based option, which means you can access the system from anywhere, which is especially important in today's remote working environment,
Microsoft is known for regular updates and technical support. The ERP system is easy to implement but also provides continuity of service and comes with new features,
it is helpful to understand the total cost of implementing and maintaining an ERP system. Microsoft Dynamics 365 and Business Central have different pricing models, so it's essential to choose the model that best fits your business budget,
some industries require specialized ERP modules. Microsoft Dynamics offers several industry-specific applications that can make it easier to customize the system to meet specific needs,
data security and compliance are essential in an increasingly stringent data protection regulation era. Microsoft products are compliant with the latest regulations.
pay attention to reviews of other companies using these systems and check with the vendor to see what references it can provide,
finally, a key factor is the availability of training and technical support. Companies should ensure adequate support when implementing and using the system.

What are user opinions on various ERP systems?

User opinions on available ERP systems vary and depend on industry, company size, and individual needs. However, the differences in user opinions on ERP systems are mainly due to respective companies’ unique needs and expectations. Some users may be satisfied with the features and performance of Microsoft Dynamics Business Central, while others may prefer the features offered by the more extensive Microsoft Dynamics 365 ERP system.

ERP systems are highly valued for their ability to increase productivity and streamline operations. However, choosing the right ERP system depends on a company’s needs, budget, and growth strategy. Therefore, please carefully review the available options before deciding and consulting with ERP experts.

What are the costs of implementing and maintaining an ERP system?

Implementing and maintaining an ERP system is integral to many companies’ business strategy. However, before deciding to implement such a system, you must familiarize yourself with the implementation costs.

Implementation costs

purchasing a license for an ERP system such as Microsoft Dynamics 365 or Business Central is one of the most significant investments. Costs can vary depending on the system and type of license,
ERP system implementation requires advanced knowledge and experience. Hiring a consultant or company specializing in implementing ERP systems is essential. Consulting costs include salaries and possible travel expenses,
companies often need to customize their ERP systems to meet their unique needs. This may require the development of custom modules and incur additional costs for,
employee training.

Maintenance costs

regular payment of ERP software license fees. These fees can be monthly or annual, depending on the option chosen,
technical support from the ERP software vendor,
the ERP system is constantly being developed and updated. Companies should invest in system upgrades and expansions as their business grows,
for on-premises systems, companies incur costs related to servers, hardware, and secure IT infrastructure.

articles

KSeF – what is it?

Table of contents

KSeF – since when?
KSeF – how does it work?
How do we prepare for the implementation of the KSeF system?

The National e-Invoicing System (KSeF) is a modern response to the growing demand for electronic document exchange in Poland. It’s an official system that collects, processes, and provides invoices electronically. The introduction of KSeF aims to simplify the settlement process, enhance transaction efficiency, and improve control over document flow.

Companies can issue invoices electronically within the system, leading to time and cost savings. Invoices are stored in a central database, facilitating archiving and making them easily accessible for both the issuer and the recipient. The introduction of KSeF also aims to combat tax fraud since electronic invoices are more difficult to falsify than their paper counterparts.

KSeF - since when?

The initiative to introduce KSeF in Poland gained popularity in recent years. The system’s launch took place after a series of consultations, tests, and adaptation works. Officially, KSeF started operating in 2023, marking a significant step towards the digitization of the economy and enabling more automated handling of financial transactions. Using KSeF will be mandatory from July 1, 2024, for active VAT taxpayers and from January 1, 2025, for taxpayers exempt from VAT both subjectively and objectively.

KSeF - how does it work?

The core functionality of KSeF is storing invoices electronically in one centralized location. Entrepreneurs want to use the system to register and submit invoices electronically, which are verified and processed.

As a result, state institutions and entrepreneurs have access to up-to-date and complete invoice data. This streamlines settlement processes enables faster transaction verification and ensures better control over fund flows. This happens in a secure environment, maintaining all personal data protection standards.

Critical features of KSeF include:

Issuing an invoice: After logging into the system, entrepreneurs can issue an invoice in a structured form. This means the invoice is created according to a specific schema, facilitating automatic processing.
Sending the invoice: Once issued, the invoice is automatically sent to the recipient through the KSeF system. The recipient is informed about the new invoice and can review and accept it.
Storing the invoice: All invoices issued through the system are stored in a central database, allowing entrepreneurs easy access to their invoices anytime.
Integration with other systems: KSeF allows integration with various accounting and financial systems, automatically automating the invoice booking process.
Security: The system ensures a high level of data security. Invoices are stored securely against unauthorized access, and all communication with the system is encrypted.
Availability: KSeF is available 24/7, meaning entrepreneurs can issue and review invoices anytime.

How do we prepare for the implementation of the KSeF system?

Preparing for the KSeF implementation requires several key steps:

Education and information: It's crucial to understand how the system works, its benefits, and requirements for entrepreneurs. It's worthwhile to attend dedicated trainings and webinars on the topic.
Software update: Many companies use specific accounting or financial software. Ensure your software is compatible with KSeF or plan an update facilitating system integration.
System registration: Before using KSeF, you need to register in it. The process is relatively simple, but preparing all necessary documents in advance is a good idea.
Testing: Before entirely using the system, conducting a series of tests is wise to ensure all processes function correctly and identify potential issues early.
Support for employees: Introducing a new system always involves changes in daily operations. It's essential to organize training for employees responsible for invoice handling and provide them support in the initial stages of using KSeF.

The introduction of KSeF represents a significant advancement in Poland’s digitization of business processes. Therefore, entrepreneurs can expect more efficient and transparent financial document management. Staying updated and adapting to the new system’s requirements is crucial.

Inlogica, known for delivering advanced technological solutions, offers a professional tool for handling the National e-Invoicing System (KSeF), specifically designed for Microsoft Dynamics systems. With this solution, users of the Microsoft Dynamics platform can seamlessly integrate with KSeF, enabling effective management and processing of electronic invoices in line with the latest standards. Not only is this solution efficient but it’s also designed with maximum security and optimization of e-invoice-related processes in mind. Thanks to the innovative technologies that Inlogica has implemented in their product, companies using Microsoft Dynamics systems are now better equipped to meet the requirements of the modern digital economy in Poland.

Check our application: https://inlogica.com/en/products-and-services/ksef-national-system-of-e-invoices/

articles

Payment congestion – what is it and how to avoid it?

Post author By Maksymilian Śniegocki
Post date January 18, 2024
No Comments on Payment congestion – what is it and how to avoid it?

Table of contents

Payment congestion: what is it?
What are the causes of payment congestion?
Payment congestion, what is its threat?
How do we deal with payment congestion?

Payment congestion: what is it?

These are payment delays that can result from various reasons, such as financial difficulties, cash flow problems, inefficient accounting processes, or a deliberate decision by the company.

Avoiding late payments is essential for maintaining healthy business relationships and ensuring the company’s liquidity. This requires accurate payment tracking, effective cash flow management, payment process automation, and a proactive approach to financial risk management.

The Law on Payment Congestion regulates the timing of payment of invoices and financial obligations in business-to-business commercial transactions. Its purpose is to avoid excessive payment delays, protect the interests of suppliers, and promote fair practices. The main elements of such legislation are establishing maximum payment terms, penalties for late payment, rules for extending payment terms, information obligations, and protection of suppliers.

The maximum payment term for the 2023 invoice is 60 days from the delivery date. The deadline can be extended, but this must be by the law and fairness to creditors.

What are the causes of payment congestion?

The causes of payment congestion can vary due to many factors.

Here are some of them:

financial difficulties related to the lack of funds to make payments on time
inadequate liquidity management
accounting processes and invoices - errors in accounting processes, incomplete or incorrect documents
conflicts with a customer or supplier
ambiguities in communication between contracting parties
delays in the flow of information
internal problems of the company - changes in structure, layoffs of employees
unpredictable market changes, such as a decline in demand for the company's products or services
excessive payment terms can cause difficulties in settling payments with their suppliers
sudden expenses or investments.

It is worth identifying these causes and taking action to avoid payment congestion and effectively manage payments in the company.

Payment congestion, what is its threat?

Even single payment congestion can be a problem for both companies awaiting their payments and those that delay payments.

Here are some of them:

poor relations with suppliers may cause problems in obtaining products or services in the future
penalties and interest
a deteriorating reputation can create an impression of dishonesty or financial uncertainty
increased financial costs by paying penalties and interest, which affects profitability
the threat of liquidation. In extreme cases, especially for small companies, payment bottlenecks can lead to financial difficulties so severe that the company faces the risk of bankruptcy
liquidity problems make it challenging to settle its financial obligations
loss of customers. If the company is a supplier of products or services, delays in payment can discourage customers and lead them to seek other suppliers
difficulties in planning future investments and expenditures
deterioration of internal relations
legal risks. In some cases, payment congestion can lead to disputes and legal risks related to violations of contracts or payment regulations.

Therefore, it is essential to effectively manage payments to avoid these potential risks and ensure the company’s liquidity.

How do we deal with payment congestion?

Solutions to this problem require several vital steps:

monitor and identify problems - collect information on late payments
negotiate new payment terms with suppliers
focus on effective management of the company's cash flow
use automation of accounting and payment processes to reduce time and errors
find areas where costs can be reduced
develop a plan to repay outstanding payments and follow it
if you are a supplier, consider flexible payment terms for customers
use a loan or credit if necessary
change your company's accounting and payment processes
track progress and report on payment management solutions
seek financial advice in developing strategies to manage payments and avoid payment bottlenecks.

INLOGICA has prepared a modification for the ERP systems Microsoft Dynamics AX 4, 2009, 2012 and Microsoft Dynamics 365, which prevents payment congestions by reporting overdue payments from customers and to suppliers. In case of an audit by the Office of Competition and Consumer Protection, we have full documentation to avoid messy fines.

Check out our application: https://inlogica.com/produkty-i-uslugi/zatory-platnicze/

articles

What is JPK?

Table of contents

Who introduced the JPK?
Who is affected by the JPK?
When JPK is not required?
Standard Audit File – How to submit it and where to send it?
Generation of JPK files in accounting programs

The article refers to the SAF-T (en. Standard Audit File for Tax) file, valid in Poland under JPK (pl. Jednolity Plik Kontrolny). In this article, we will use the phrase JPK to make it easier to understand.

The Standard Audit File, or JPK, is a term that many people, especially those unfamiliar with tax and accounting issues, may need help understanding. However, it is an important concept that plays a crucial role in business in Poland.

A JPK, or Standard Control File, is an electronic document containing information about transactions made by an entrepreneur during his business activities. The most critical JPK is the JPK VAT, which includes detailed value-added tax (VAT) payment information. Value-added tax (VAT) payment information The launch of the JPK is part of a broader initiative to improve tax audits and combat illegal trade.

Who introduced the JPK?

The Ministry of Finance introduced JPK in response to the need to streamline the collection and analysis of tax information. With JPK, businesses can submit VAT data, i.e., the standard VAT Control File (JPK VAT) and other tax returns in a standardized electronic format. This has streamlined the JPK filing process, eliminating the need for manual paper filing.

When was JPK introduced? The first stage of JPK for VAT was introduced on July 1, 2016, for large entities. The second stage applies to small and medium-sized entities as of January 1, 2017, while microenterprises must file JPK as of January 1, 2018. From then on, businesses must send VAT JPK on specific monthly dates. Since then, JPK has become an essential part of the tax settlement process in Poland.

Who is affected by the JPK?

This obligation primarily applies to entrepreneurs conducting business activities in Poland subject to VAT and other taxes, such as CIT (corporate income tax) or PIT (personal income tax). In practice, this means that most companies operating in Poland must file JPK regularly. However, the exact requirements may vary depending on the type of business and form of taxation.

When JPK is not required?

First, it is essential to remember that the JPK is only mandatory for VAT taxpayers. This means that individuals running a business, a company, or another entity, not a VAT taxpayer, are not required to report VAT to JPK. The critical criterion is, therefore, VAT taxpayer status.

Another situation in which it is unnecessary to submit a JPK is the period before the company is registered as a VAT taxpayer. This means newly registered entrepreneurs do not have to send JPK until officially registered for VAT. In addition, there is no obligation to file a JPK if the taxpayer has not conducted business activities for a certain period and, therefore, has not earned income subject to VAT. In such a case, sending a JPK VAT is unnecessary.

Standard Audit File - How to submit it and where to send it?

To file JPK, an entrepreneur must prepare documents in a suitable format that meets the technical requirements. It is best to use the JPK generator program, available on the website of the Ministry of Finance. Once the documents are prepared, the entrepreneur must log on to Podatki.gov.pl and submit the JPK to the relevant tax authority.

The VAT JPK file should be sent to the relevant tax authority via the online e-Declarations system on Podatki.gov.pl. To file a JPK, each bidder must have a suitably qualified electronic ID. After sending the document, the system will automatically confirm receipt of the document and any errors in the file.

Generation of JPK files in accounting programs

To create a JPK, one must use appropriate accounting software that meets the requirements of the tax authorities. Accounting software programs can automatically create JPK files based on entered accounting data. Please make sure your software is updated regularly to make sure it complies with the latest regulations.

INLOGICA has prepared a modification for Microsoft Dynamics AX 4, 2009, 2012, and Microsoft Dynamics 365 ERP systems, with which you can quickly generate a JPK file based on data from the system. In addition, it is possible to directly send the file from the system level to the appropriate tax authority and receive an Official Certificate of Receipt (UPO).

Check out our application: https://inlogica.com/en/products-and-services/jpk/

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Letting go of documentation – Mistake 7 – ERP D365 implementations

Post author By Maksymilian Śniegocki
Post date January 4, 2024
No Comments on Letting go of documentation – Mistake 7 – ERP D365 implementations

7
Letting go of documentation

Regardless of the industry or project, you often hear, “Do you have it on email?”

And no wonder. This is essential in any job where we rely on other people’s decisions, especially when money and the time input of an entire team of specialists.

Usually, the obstacle to writing down the arrangements after business, working, and summary meetings is the need for more time. Structures “by word of mouth” prevail. Mutual trust is essential, but there are aspects where you should act according to the principle of limited faith on the road. It is better to be wise before any harm is done and document all project arrangements.

This way, we will avoid misunderstandings, and the work will go according to the previous record. Each time, we can change the record or update the status or scope of tasks.

We know the unwritten rule that a working system is more important than detailed documentation. However, we prefer not to risk “in-your-face” arrangements.

Let’s strive to define acceptance criteria for the task or at least establish a definition of task completion.

Otherwise, we may get something we no longer need, didn’t order in the first place, or not get what we wanted.

An efficient implementation is characterized by design flexibility. However, it is essential to record a common understanding of the purpose and scope of the performance in the contract or other project document. And the so-called “word-of-mouth” arrangements are better documented as a summary in an email or other established communication tool. This will save time and money as a result.

Hiding behind the lack of time to write a summary email is incomprehensible because, in practice, it often does not take more than a quarter of an hour and costs as much as nothing (although de facto, it does cost – and must be part of the recorded work effort in the project).

Thanks to the documentation, we have the assumptions written down in case of a misunderstanding, error, or simply “screwing things up” during implementation. In case of contentious issues, both on the part of the client and the implementation team, there will be something to refer to. Common sense in such a situation often avoids nerves and rising costs. It is worth having everything “in black and white.”

Top tips

Invest time in documenting your assumptions business.
Use process maps, graphics, and diagrams where possible.
Consider the preparation of documentation for end users - it will be helpful when introducing new employees.
Include time and budget for drafting documentation in the work schedule.

This is the last publication. If you want to download them all as a free ebook check out the link.