In an EPM context, we normally think of Statutory Reporting as being the production of the group consolidated accounts for external publication, usually half-yearly or, in some cases, quarterly. This tends to be a key deliverable from a Financial Consolidation system such as HFM.
In more complex groups, the challenge is compounded due to there being reporting sub-groups. This brings with it particular challenges in the design of a consolidation system. We've experienced this in many organisations so can help you with the potential pitfalls.
Further, some organisations, particularly in the Financial Services sector, have specific Regulatory reporting requirements that are, effectively, alternate versions of the consolidation process, usually with a healthy dose of specific additional data capture requirements, most of which don't drop neatly out of the submitting financial ledgers. We've been there too.
An often forgotten element of Statutory Reporting is the practical task of submitting filed accounts for each legal entity in the organisation. This is often a disparate task dealt with by teams from different sub-groups and, in particular, different countries, given the highly specialised local knowledge and expertise needed.
It is very important to understand the Legal Entity Reporting processes across the group as these can affect, or be affected by, the design of the EPM systems, in particular the close process, late adjustments in the ledger and/or the consolidation system, timing and posting of group-wide cost allocations etc.
If it sounds like we're speaking your language, Please contact Nigel Dahl through LinkedIn using the button below, or call him now on +44 (0)7799 664165.
Managing Director of epmgurus, brings 30 years of diverse experience to bear in helping organisations and teams through change – of size, structure, systems, management or ownership.
Nigel has run, advised, supported or worked with Finance functions from one-person operations up to globally dispersed Finance departments of several thousand people. He knows what good (and bad!) looks like.
Enterprise Performance Management (EPM) is a broad term covering any business process that seeks to improve performance through a continuous loop of data collection, reporting, analysis and, most importantly, informed and targeted action.
In practice, Finance EPM is generally considered to cover at least Strategic, Financial and Operational Planning, Budgeting and Forecasting, Management Reporting (MI), Financial Consolidation, Statutory Reporting, Profitability and Cost Management, including Cost Allocation.