
Ask HN: What is complex about accounting systems? - freeman478
I don&#x27;t know much about accounting but it seems conceptually quite simple.<p>However in the enterprise every evolution to the accounting systems is met with huge costs estimation and suggestion to use horrendously expensive vendor packages whose technology stacks seems very outdated.<p>Why is that ? Is there a good and modern open source software for this purpose ?
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exanimo_sai
The complexities arise from handling multiple standards, costing requirements,
depreciation treatments, taxation, cost centers, profit centers, endless
libraries of relationships between invoices and amortization, recurring
payments ... I could go on for another two pages without even touching on
consolidation and ownership rules.

The double ledger system visualised as a simple T is accounting’s irreducible
component. But the system necessary to maintain not just a ledger of record,
but to do it with accuracy, ease and maintain the ability to extrapolate
necessary reporting for management and decision making is a far more complex
and often needs custom design. Multiple overlapping requirement from
compliance, audit and m&d also add complexities.

Edited to answer your question: unfortunately I am not aware of an open source
solution. Depending on the size of your organization, you may need to look at
designing a custom solution that integrates consolidation, ledger entry and
reporting. Most small to medium enterprises can however get by with out of the
box solutions from SAP or Oracle. Microstrategy is also useful.

Source: former systems analyst

