Noting the importance of Transaction In Companies

Each company has always had a wide range of activities where these activities will affect the performance of the company.

One such activity is the activities that commonly called the transaction. We need to know, the transaction is an activity of the company that are related to and influence on a company’s financial position.

business-transaction

These transactions can be encountered in every aspect of the company. Examples of such transactions are sale and purchase transactions, payroll, or pay for a wide variety of other charges.

Type of Transaction in Company

In general, the company’s transaction activities are divided into two types:

  1. Internal transaction
    This type of transaction that occurs where the activity only involves part that contained in the company. These transactions emphasize changes in financial position that occurred between the existing sections of the company.For more precisely, it can also be said that internal transactions are the types of transactions that created and issued by the company itself or it can also be interpreted as evidence of registration of an event that occurred in the company itself such as the elimination of accounts receivable, the allocation of the burden, and so forth.
  2. External transactions
    This type of transaction is of course the reverse sense of the kind of internal transactions. External transactions is the type of transactions that involve parties from outside the company. Examples of this type of external transactions are sales, purchases, payment of accounts payable, and so forth.

In this case, it is very important for any company to record every transaction that occurs. Most companies only focused on how to increase their profits without noticing the various transactions that occurred at the company. This is not good because they will lose direction and will not know whether the company actually manage to have a profit or even a loss.

That’s why the recording or bookkeeping is one important factor that needs attention if we want our company to continue to grow. In addition, there are several reasons why this is very important transaction records

  1. Controlling the financial condition of the company
  2. Can be used as a tool to help us in making the company’s decision
  3. A barometer of success in any decision-making of the company. And so forth.

Although the recording in the company is very important, but not everyone can make a good recording, so that this becomes an obstacle for the company. Especially if the recording is only done manually. Struggling with the use of paper, calculator, create and fill in the form of transactions, and also must be meticulous in recording the transaction in which the process would be very time consuming and labor intensive. Not to mention if there was an error in recording typically caused by humans (human error).

The best solution for us in overcoming the problem of recording the transaction is to use business software such as SAP Business One. SAP Business One is able to assist us in processing the data and presents the data quickly and accurately.