Great Plains Accounting: A Comprehensive Guide to Microsoft Dynamics GP – In today’s fast-evolving business environment, accounting software plays a crucial role in managing financial operations effectively. Among the many options available, Great Plains Accounting, now known as Microsoft Dynamics GP, stands out as one of the most robust and widely used enterprise resource planning (ERP) solutions for financial management.
Microsoft Dynamics GP, initially developed by Great Plains Software, has become a staple for businesses seeking a probustaccounting system. Whether you’re a small or mid-sized business, understanding Great Plains Accounting can help streamline your financial management, improve accuracy, and drive efficiency.
This article explores Great Plains Accounting (Microsoft Dynamics GP), its features, benefits, drawbacks, and why it remains a preferred accounting solution for many businesses.
What is Great Plains Accounting?
Great Plains Accounting was initially developed by Great Plains Software, a company founded in 1981. It gained popularity in the 1990s as one of the first Windows-based accounting solutions that provided businesses with a user-friendly interface and extensive accounting features.
In 2001, Microsoft acquired Great Plains Software and rebranded the solution as Microsoft Dynamics GP (Great Plains). Since then, Microsoft has continued to enhance the software, integrating it with modern ERP functionalities while retaining its strong accounting core.
Microsoft Dynamics GP is a mid-market accounting and ERP software that helps businesses manage financials, inventory, payroll, human resources, and customer relationships. It is widely used by small and medium-sized businesses (SMBs) looking for an on-premise accounting system with powerful features.
Key Features of Great Plains Accounting (Microsoft Dynamics GP)
1. General Ledger & Financial Management
At its core, Great Plains Accounting provides an advanced general ledger system that allows businesses to track and manage financial transactions efficiently. The financial management tools include:
- Multi-currency capabilities
- Financial statement generation
- Bank reconciliation
- Intercompany transactions
- Fixed asset management
- These features ensure that businesses have a clear view of their financial health at all times.
2. Accounts Payable & Receivable
Great Plains Accounting automates the accounts payable (AP) and accounts receivable (AR) processes, helping businesses manage vendor payments and customer invoices with ease. Key features include:
- Automated invoice processing
- Payment scheduling
- Vendor and customer management
- Tax compliance tracking
- With Microsoft Dynamics GP, businesses can efficiently track outstanding invoices and manage cash flow effectively.
3. Payroll & Human Resources Management
For businesses that handle payroll in-house, Microsoft Dynamics GP offers a robust payroll and human resources (HR) module. It includes:
- Automated payroll processing
- Employee records management
- Time tracking and attendance
- Compliance with tax regulations
- This module ensures accurate payroll calculations while helping HR departments manage workforce-related data efficiently.
4. Inventory & Supply Chain Management
For businesses that deal with inventory, Great Plains Accounting provides powerful inventory management tools. These include:
- Inventory tracking and forecasting
- Order fulfillment and warehouse management
- Supply chain optimization
- Lot and serial number tracking
- With these tools, businesses can reduce inventory shrinkage, improve order accuracy, and ensure smooth supply chain operations.
5. Business Intelligence & Reporting
Data-driven decision-making is crucial for businesses, and Microsoft Dynamics GP provides strong business intelligence (BI) and reporting tools. Some of the key reporting capabilities include:
- Financial performance dashboards
- Customizable reports
- Predictive analytics using AI
- Real-time data analysis
- By using the reporting tools in Great Plains Accounting, businesses can gain insights into their financial health and operational efficiency.
6. Multi-Company & Multi-Currency Support
For businesses operating in multiple locations or handling international transactions, Microsoft Dynamics GP offers multi-company and multi-currency support. Features include:
- Consolidated financial statements
- Automatic currency conversion
- Localized tax and compliance reporting
- Intercompany transactions handling
- This feature makes Great Plains Accounting an excellent solution for businesses with global operations.
7. Integration with Microsoft Products
One of the most significant advantages of Microsoft Dynamics GP is its seamless integration with other Microsoft products, including:
- Microsoft Excel for financial data analysis
- Microsoft Power BI for advanced analytics
- Microsoft Outlook for email and task management
- Microsoft Teams for collaboration
- This ensures that businesses using Microsoft’s ecosystem can fully leverage their existing tools.
Benefits of Great Plains Accounting
- Scalability & Flexibility
One of the main reasons businesses choose Great Plains Accounting is its ability to scale with the company. Whether you’re a small business or a growing enterprise, Microsoft Dynamics GP offers flexible modules that can be added or removed as needed. - Strong Financial & Compliance Features
Microsoft Dynamics GP is highly reliable for financial management, offering built-in compliance tools that help businesses adhere to tax laws and financial regulations. - Customization & Industry-Specific Solutions
Unlike one-size-fits-all accounting solutions, Great Plains Accounting allows for customization and industry-specific modifications. Businesses in manufacturing, healthcare, retail, and distribution can tailor the software to meet their unique needs. - Strong Community & Support
As a Microsoft product, Microsoft Dynamics GP has a large user community and strong support from Microsoft partners, providing businesses with access to:
- Regular updates
- Extensive documentation
- Professional training and implementation services
- On-Premise & Cloud Deployment Options
While Microsoft Dynamics GP is traditionally on-premise, businesses can integrate it with Microsoft Azure for cloud functionality, ensuring secure remote access and improved performance.
Challenges of Great Plains Accounting
While Great Plains Accounting is a robust accounting solution, it also has some challenges:
- Complex Implementation
Setting up Microsoft Dynamics GP requires expert configuration and customization, making the implementation process time-consuming and costly. - High Maintenance Costs
Since Microsoft Dynamics GP is primarily an on-premise solution, businesses must invest in IT support, software updates, and system maintenance. - Limited Cloud Capabilities
While some cloud integrations exist, Microsoft Dynamics GP is not an accurate cloud-based ERP system like NetSuite or Microsoft Dynamics 365 Business Central. - Transition to Microsoft Dynamics 365
Microsoft is shifting focus to cloud ERP solutions like Dynamics 365, leading to concerns about long-term support for Microsoft Dynamics GP.
Great Plains Accounting vs. Modern Cloud-Based Accounting Solutions
With cloud ERP systems becoming the new industry standard, many businesses are considering alternatives to Microsoft Dynamics GP. Here’s how Great Plains Accounting compares to modern cloud-based ERP solutions:
- Feature Microsoft Dynamics GP Cloud-Based ERP (e.g., NetSuite, Dynamics 365)
- Deployment On-premise or Hybrid Fully Cloud-Based
- Scalability is High but requires manual upgrades. Automatically scales with business growth
- Cost Higher upfront costs (licenses, servers, IT staff) Subscription-based pricing, lower upfront costs
- Maintenance Requires internal IT support Handled by the provider (automatic updates)
- Integration Strong integration with Microsoft tools Broader cloud-based integrations
- For businesses looking for modern cloud-based alternatives, Microsoft Dynamics 365 Business Central is a strong option.
Conclusion
Great Plains Accounting (Microsoft Dynamics GP) remains a powerful, feature-rich accounting solution for businesses that need an on-premise ERP with strong financial management capabilities. It provides robust accounting, payroll, inventory, and reporting features tailored for mid-sized businesses.
However, with Microsoft pushing cloud-based solutions, businesses should carefully consider whether to continue using Microsoft Dynamics GP or transition to Microsoft Dynamics 365 Business Central for future-proofing their accounting systems.
If your business relies on Great Plains Accounting, now is the time to evaluate your ERP needs and explore whether Microsoft Dynamics GP or a cloud-based ERP solution is the right choice moving forward.