Case Study: Enabling DCAA-Compliant Project Accounting with Microsoft Dynamics 365 Finance
- Luke Caldwell
- 1 day ago
- 2 min read
About the Organization
A mid-sized U.S. Government Contractor providing mission-critical services to Federal and Defense agencies needed an ERP platform that could withstand DCAA scrutiny while scaling to handle a mixed portfolio of cost-plus, time-and-material, and fixed-price contracts. The engagement required DCAA-compliant project accounting and timekeeping for over a hundred employees—both exempt and non-exempt—across multiple jurisdictions.
Technology Used
ERP Platform:Â Microsoft Dynamics 365 Finance
Accelerator:Â Turnkey GovCon Solution for DCAA Compliance
Key Capabilities:Â Cost Pools, Indirect Rates, Native Timekeeping, CLIN-Driven Reporting
Business Challenge
The organization required an ERP system that could:
Deliver DCAA-aligned accounting natively within its core ERP (no bolt-ons or manual spreadsheets)
Maintain consistent labor-rate and indirect-cost application across estimates, actuals, and invoices
Support mixed contract types (Cost-Plus, T&M, Fixed-Price) within a single instance of Microsoft Dynamics 365 Finance
Provide real-time project visibility for finance, operations, and contract managers
Solution
The contractor partnered with Turnkey Technologies to implement Microsoft Dynamics 365 Finance enhanced with the Turnkey GovCon Solution Accelerator, purpose-built for Government Contractors.
Following a detailed discovery and mapping workshop, Turnkey:
Configured cost pools, indirect rates, and payroll codes to align with the client’s chart of accounts and CLIN structure
Enabled the CostPlus switch at the project/sub-project level
Deployed native D365 timesheets with audit-ready approval workflows
Delivered a CLIN-led pilot blueprint for implementation and scaling
Provided knowledge transfer and runbooks empowering superusers to manage pools, rates, CLINs, and timesheet operations independently
Results
Streamlined DCAA compliance with audit-ready cost segregation and rate automation
Achieved real-time visibility into project financials and indirect costs
Eliminated dependency on external timekeeping or cost-pool tools
Empowered internal teams to maintain compliance continuity without consultant dependency
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About Turnkey Technologies
Turnkey Technologies helps Government Contractors modernize and maintain DCAA-compliant ERP environments inside Microsoft Dynamics 365 Finance. Our GovCon Solution Accelerator delivers full FAR/DCAA traceability, automated indirect-cost pools, and native timekeeping—all within the Microsoft ecosystem.
