Challenge
- An Organization composed of investments in diverse, stand-alone businesses
- Each subsidiary operates independently, with their own COA
- Manufacturing and Service businesses, in unrelated industries, need to use one COA
- Need a model COA that can be used for businesses yet to be acquired in unknown industries
Solution
- Create one common chart of accounts, combining elements of Service and Manufacturing, to accommodate all business holdings
- Facilitate Product/Service reporting for all business holdings
- Incorporate common reporting parent levels, combining the Service and Manufacturing, for consolidated reporting
- Provide enough detail for each type of industry to perform management reporting
The solution has been running in production since 2013
Benefits
- One version of the truth – all businesses can speak to each other the same language
- Flexibility to view reporting by Product/Service line or geography for management reporting
- Common reporting levels for the Corporate parent and the subsidiaries
- Flexible for future acquisitions