Software Alone Isn't a Strategy
Accounting software can meaningfully streamline processes, but the value depends on whether the organization understands the underlying requirements the software is implementing. This matters most for standards-driven work like GASB 87 and GASB 96, where the technical accounting judgments shape what the software needs to do.
What Software Does Well
Accounting solutions can:
- Automate recurring tasks
- Eliminate manual errors
- Enable real-time data access
- Simplify reporting and compliance
But relying on software without grounding in the standards themselves leads to configuration errors and mis-measurement that surface later — usually under audit.
Why Understanding the Requirements Comes First
Successful implementation depends on a clear picture of the organization's needs, existing processes, and goals. Only with those pieces defined can the software be configured appropriately. Knowledge of the underlying accounting principles and regulatory requirements ensures accurate input and reliable output. Understanding also helps organizations plan, allocate resources, and establish controls that keep the software aligned with objectives rather than drifting into workarounds.
GASB 87 and GASB 96
These two standards from the Governmental Accounting Standards Board deal with:
- GASB 87 — Leases
- GASB 96 — Subscription-Based Information Technology Arrangements (SBITAs)
Both have significant implications for financial statements and disclosures at state and local governments. Software tailored to these standards can simplify classification, measurement, and presentation — but only if practitioners understand the standards well enough to catch judgment calls the software will not make for them.
Implications
For government finance teams, the practical rule is simple: buy software after you understand the accounting, not before. Implementations driven entirely by vendor-led configuration tend to produce clean outputs built on questionable judgments — the worst combination under audit.