Financial consolidation is an essential process for large companies with multiple entities or complex, disparate departments; it becomes even more complicated when working across currencies. Consolidation software offers a comprehensive view of the organization's financial status, enabling informed decision-making and regulatory compliance.
With financial data gathered and managed in one xFP&A software solution, CFOs, CEOs, financial professionals, and key stakeholders have access to the consolidated reporting they need to make timely, strategic decisions to drive company success.
Automating the consolidation process within an xFP&A solution, rather than using tedious manual efforts, error-prone spreadsheets, or ERP software migrations, creates a single source for accurate, up-to-date financial data to enable intelligent decisions.
At the same time, using an xFP&A solution with advanced capabilities unlocks more flexibility, efficiency, and accuracy in data consolidation across businesses managing multiple companies and high levels of complexity. Consolidation is even more essential through M&As, particularly across currencies. IFRS to GAAP adjustments, currency conversions, and even software language can be handled with ease. Fiscal calendars neither need to be aligned nor ERPs reassigned and businesses avoid the need to manage multiple spreadsheets or map local entities to a common consolidation structure. M&As can be modeled before they occur, and subsidiaries easily added to the roster post-acquisition. Automations in eliminations and conversions maintain the integrity of data, so quick decision-making based on accurate data is always possible.
Ultimately, xFP&A software and processes help you collect, report on, and analyze financial data to empower your team to make important decisions to support your goals and business success. The right xFP&A software should support intelligent decisions through a range of benefits:
xFP&A software allows organizations to consolidate all essential financial data into a single, cohesive report. By centralizing all financial information, businesses ensure accuracy and consistency, making it easier to identify trends and anomalies that may require attention. This streamlined approach provides comprehensive insights that are crucial for informed decision-making.
One of the key features of xFP&A software is its ability to implement effective cost-control measures through detailed variance analysis. By comparing budgeted figures to actual performance, organizations can quickly identify discrepancies and assess their impact. This analysis helps maintain financial discipline and also enables proactive adjustments to budgets and spending, ensuring resources are allocated efficiently.
xFP&A software supports a variety of reporting formats, including transaction detail reports, variance reports, ranking analysis, trend reports, and KPIs. This versatility ensures that different stakeholders can access the data they need in a format that is most useful for their specific roles and responsibilities. Report filtering capabilities allow users to slice and dice data based on specific parameters, making it easier to analyze financial performance from different angles to enhance the decision-making process.
The ability to drill through further enhances insights by allowing users to examine the underlying transactions and assumptions, and track data back to its source. This enables deeper insights into the drivers behind performance and allows stakeholders to answer questions on the fly for quick, data-driven decision-making.
xFP&A software empowers users across the organization to generate ad-hoc reports at any time. This self-service approach accelerates decision-making processes, as teams in every department can access the most current data without relying on the finance staff for support. With cloud-based software, all data is consistently updated, ensuring that every user, regardless of location or time zone, has access to real-time information.
Our expert team is ready to help you with all your financial planning, budgeting, forecasting, and reporting needs. Contact Solver today to learn more about how our innovative xFP&A solution can help you achieve your goals and support your company's success. Contact our team
Download our Financial Consolidations Whitepaper that explains how simplify your complex financial consolidations across multiple entities, ERPs, and currencies with Solver.