Forty five years ago Stanley Milgram mailed out parcels to one hundred people in Omaha, NE working on his “six degrees of separation”. His whimsical method gave him the theory but not the proof. That changed in 2011 when the scale of Facebook proved that he was right: 99.6% of accounts were connected by six steps or less. Network theory manages data sets enabled by technology. It’s the ability to highlight trends, sort, and filter new information from seemingly random data.
This concept also applies to ERP/accounting systems. The ability to see around corners, pursue unique opportunities is dependent on information retained by ERP/accounting systems that can leverage data real time, like Sage Intacct. Using statistical accounts in Sage Intacct can enhance reporting ability and increase creativity in reporting. For example, using statistical accounts can generate average sales per customer, average sales per sales rep, days sales outstanding, and other non-financial insights. These new kind of metrics in Sage Intacct will enable firms to branch out and carve out unique value adds to their business.