Finance & Accounting Departments: Boost productivity while reducing cost with Microsoft 365 Copilot

With M365 Copilot the possibilities go far beyond this monthly task and can help your finance & accounting teams streamline day-to-day business processes to reduce costs and focus on what really matters – growing the business.

Managing accounts payable (AP) and accounts receivable (AR) can be labor-intensive, especially when dealing with numerous invoices and payments. Copilot can help by automating the matching of invoices to payments and flagging any discrepancies. For instance, if you have a large batch of supplier invoices, Copilot can quickly match these against payments made, highlighting any unpaid or partially paid invoices. This ensures your AP and AR records are accurate and up-to-date, reducing the time spent on manual checks.

Comparing budgeted figures to actual performance is crucial for financial planning and analysis. Copilot can assist by quickly generating variance reports. By inputting your budget and actual data into Excel, Copilot can calculate variances and provide insights into areas where performance deviates from the budget. For example, if your actual expenses exceed the budget in certain categories, Copilot can highlight these variances and suggest potential reasons based on historical data.

Accurate cash flow forecasting is essential for maintaining liquidity and planning for future expenses. Copilot can analyze historical cash flow data and help you create forecasts with ease. By examining past inflows and outflows, Copilot can predict future cash positions and identify potential shortfalls. This allows you to make informed decisions about managing your cash reserves and planning for upcoming financial obligations.

For businesses with significant inventory, managing stock levels and calculating inventory turnover can be challenging. Copilot can streamline this process by analyzing inventory data and generating key metrics. For example, Copilot can calculate inventory turnover ratios, helping you understand how quickly your inventory is being sold and replaced. It can also assist in identifying slow-moving or obsolete stock, enabling you to make better inventory management decisions.

Tracking and categorizing expenses is another area where Copilot can save time. By importing expense data into Excel, Copilot can automatically categorize expenses based on predefined rules or historical patterns. This makes it easier to generate expense reports and ensure that all costs are accurately recorded. For instance, if you have a large number of travel expenses, Copilot can categorize these by type (e.g., airfare, lodging, meals) and provide a summary report.

For organizations with multiple subsidiaries or business units, consolidating financial statements can be a complex task. Copilot can simplify this by automating the consolidation process. By importing financial data from different entities into Excel, Copilot can combine these into a single consolidated statement, applying necessary adjustments and eliminations. This ensures that your consolidated financials are accurate and compliant with accounting standards.

These examples demonstrate how Microsoft 365 Copilot in Excel can enhance various aspects of the month-end financial close, making it faster and more efficient. By leveraging Copilot's capabilities, finance teams can focus on strategic analysis and decision-making, rather than getting bogged down in manual processes.

Microsoft 365 Copilot in Excel is transforming the finance function by automating tedious tasks and providing advanced data analysis capabilities. From bank reconciliation and fixed asset accounting to cash flow forecasting and financial consolidation, Copilot streamlines processes and enhances accuracy. By leveraging these powerful tools, finance teams can focus on strategic decision-making and drive their business forward with confidence.