Since 1985, Cranel Inc. has developed Information Technology (IT) solutions and services through its distribution network of Value Added Resellers (VARs). With its four business units, Adexis, Cranel Imaging, ISOdx, and Versitec, the company offers a complete suite of expertise, service and innovative solutions that align IT investments with business goals. From computing and data storage infrastructure solutions, change isolation software systems and digital document imaging equipment to software, and support for all product and service offerings, Cranel’s comprehensive business solutions are unmatched by competitors in the industry.

With more than 150 employees and annual revenues exceeding $120 million, Cranel has doubled sales every three years since the company was founded. For the past two decades, Cranel has evolved from a single user PC accounting system to an expansive business generating over 3,200 invoices per month with four locations across the United States and Canada.

Over 20 years ago Cranel realized they needed a comprehensive business management solution that provided value and performance in sync with its swift growth objectives. At the time, they selected AccountMate due to its superior scalability, open architecture and full set of functionalities and capabilities to keep pace with their expansive growth goals right out-of-the-box.

The Challenge

For over 20 years AccountMate software provided the business management feature-set the company needed. With the company’s growth and extensive business process complexity, Cranel continually needed more and more from their accounting system. One difficulty that taxed their resources was the time it took to reconcile their sub-ledgers with their General Ledger at period-end closing. To handle account discrepancies at critical period-end closing timeframe required extensive transactional drill-down and reconciliation by employees. This was compounded when inventory values did not match the inventory General Ledger account balance and manual adjustments had to be made.

As a result, Cranel did not have effective control and management over these accounting transactions and employees tended to blame the accounting system for its poor performance.

The Solution

Because of the long-term professional relationship with their AccountMate reseller and the reseller’s employees, Cranel again looked for consulting input from Tamlin Software Developers, Inc. Cranel knew they could count on Tamlin, an Elite AccountMate Business Partner with a solution-driven approach for solving multifaceted business challenges to partner with them to solve the issues. Tamlin worked with Cranel to discuss their business processes and leveraged its expertise of AccountMate to work out sound business processes and system changes. By utilizing the AccountMate source code, Tamlin was able to apply some strict processing controls and to automate several aspects of Cranel’s transactions.

After an extensive in-house analysis, Cranel management realized that AccountMate continued to be a powerful, robust business management system that wasn’t properly being used by its employees. “When we peeled back the onion and looked at it, we realized that we were using it [AccountMate] wrong,” explains Michael Tracy, Cranel CFO. “After we changed our internal company procedures, we discovered that we had a strong system that just needed to run right.” As a result in early 2000, Cranel embarked on an extensive procedural and technological journey to revolutionize their internal business processes.

The first step of Cranel’s business overhaul involved establishing company-wide policies and procedures to streamline transactional processing. Internal procedures were developed where it was obvious that there was a lack of accounting control and system processes such as fostering out-of-balance inventory conditions in AccountMate. Cranel established company-wide standards that govern how employees use the accounting system at the transactional level. With clearly defined internal processes and AccountMate’s award-winning program design, the company has fewer system adjustments, has improved out-of-balance conditions and has gained a greater control over their accounting activities.

Another company hurdle had involved the handling of inventory assets. Previously, inventory was accounted for in the General Ledger when vendor invoices were received and paid for. This could take months after the inventory was actually received and caused significant accounting ramifications. With over 26,000 part numbers to manage, Cranel needed to account for inventory values when they were received versus paid for. To solve this business challenge, Tamlin assisted Cranel with implementing the AccountMate Accrued Received Goods feature of AccountMate. Tamlin also performed some modifications to apply stricter business rules to the Accrued Received Goods reconciliation process. By automating this process within AccountMate, Cranel is able to report accurate, up-to-date financials in real-time.

The Results

After working with Tamlin to establish company-wide controls and procedures in combination with AccountMate’s full suite of award-winning features, capabilities and design, Cranel has a comprehensive financial accounting powerhouse at their fingertips. The company reduced significant year-end audit adjustments to zero within two years, and has audit-ready, closed books within five days of each month end. By automating inventory valuation capability, Cranel improved financial accuracy, eliminated double-paying vendor invoices and significantly reduced the number of account reconciliation adjustments to solve out-of-balance transactions.

With the integration of governing company-wide procedures, highlytrained employees and AccountMate’s financial system, Cranel has a dynamic business management solution. “We’ve migrated through many business steps over the last 20 years and have a highly controlled, very effective accounting process using a combination of the system, people and processes,” says Tracey. “If you ignore the people and processes, then you’ll break.”

About Tamlin Software Developers, Inc.

Tamlin Software Developers, Inc. has provided Enterprise Resource Planning and Shop Floor Control solutions to small to mid-range manufacturers and distributors since 1991. An Elite AccountMate Business Partner and value added reseller, was selected by Accounting Technology as a Killer VAR in 2007. Tamlin can be reached at (214) 739-6576 or at www.tamlinsoftware.com.

About Cranel, Inc.

Founded in 1985, Cranel, Inc. develops IT solutions and services that fit short-term needs and long-term goals. Each Cranel business unit helps deliver strategic IT solutions that enhance business performance and improve overall results. Cranel can be reached at (800) 288-3475 or at www.cranel.com.

About AccountMate

Founded in 1984, AccountMate develops and markets fully modifiable business accounting software. Systems range from single user versions to those that support hundreds of users simultaneously. AccountMate software is distributed exclusively through a worldwide channel of authorized solution providers. AccountMate can be reached at (800) 877-8896 or at www.accountmate.com