Using SAP BPC to Deliver Financial Consolidation Capabilities

Diligent Global is a key partner to global companies implementing SAP BPC solutions. For over ten years, we have successfully completed scores of projects encompassing every business process, overcoming many domain challenges to do so. This client story outlines how we delivered financial consolidation capabilities to a leading financial and legal organization.

Navigating complex business requirements

Our client required the implementation of financial consolidation, budgeting & forecasting, and disclosure management processes. They also needed their consolidation process to be automated, delivering financial statements from their disclosure management systems, together with the collection of trial balance data for non‑SAP companies using their standard template. Among the challenges faced were key concerns around converting foreign currencies to the reporting currency, eliminating intercompany transactions, equity accounting for associates, and NPT proofing.

Developing an integrated SAP BPC solution

The solution had to fetch actuals from SAP ECC to SAP BPC for the holding company, while using a standard template approach for non‑SAP companies. The Diligent team updated the exchange rates and ownership structure for the subsidiaries and associates. We also automated the carrying forward of closing balances from previous data to derive opening balances data for the current year.

Diligent Sofware Services implemented powerful business process flow features with guided workflow functionality, which integrated with SAP ECC and SAP BPC, extracting trial balance data in order to generate financial reports from BPC and Disclosure Management.

Quantifiable outcomes from accurate financial consolidation

The integrated system automatically imported data from SAP ECC to SAP BPC and Disclosure Management. Structured templates for non‑SAP subsidiaries and associates were designed to capture trial balance data for automated data upload to SAP BPC. Detailed intercompany elimination and COI reports were generated at company level, together with the addition of proofing reports for associates and join ventures. The application automated the elimination of intercompany transactions as well as seamless equity accounting for associates.

The project was successfully delivered on time and within budget, with no disruption to existing teams or business processes.