Consolidating company accounting functions
Consideration of a standardized chart of accounts and standardized accounting policies is important to both reporting consistency and internal control.Some internal control functions may become more necessary with a centralized accounting department.This will help identify inconsistencies and committing to the "XYZ Dealership Group's" way of doing things.It's also a great opportunity to improve internal control and operating efficiency.Since joining Albin, Randall & Bennett in 1996, he has specialized in automobile and motorcycle dealerships. It can do either partial or full ownership, multi currency and nice financial reporting. Once initial setup is done the Monthly consoles are super easy. You might want to watch this free video here on Proformative: "Financial Consolidations and Reporting: The Alignment of People and Technology" https:// Best of Luck... The close process for multi-national companies still takes time (closing the local entity ledgers, including revaluing any multi-currency balances), closing inter-company transactions, elimination entries, and consolidation (I'm assuming FASB 52 compliant) take some time.Start by putting together a chart of existing personnel.The chart should include their tenure, strengths and weaknesses and current capacity.
It's also important for accounting personnel to access information and respond to issues in "real-time".Deciding whether or not to consolidate depends in large part on the geographic location of each dealership.Proximity of the dealerships is important for information flow and also ensures retaining the best people for the office.Some metrics to consider tracking are the ratio of accounting personnel to total personnel, the number of retail units sold per accounting employee, or the ratio of accounting personnel compensation to total sales.Monitoring response times to questions that come into the department, the turnover of receivables and payables, the timeliness of the month-end close and so on are also important.