For organisations with multiple entities, jurisdictions, or complex group structures, financial consolidation isn’t just a statutory requirement — it’s a critical pillar of financial control and strategic insight. Yet, many finance teams still struggle with time-consuming, error-prone processes, particularly when relying on spreadsheets or outdated systems.
At HAYNE Solutions, we support finance leaders in transforming their consolidation process through best-in-class platforms like CCH Tagetik and IBM Controller. Below, we’ve answered the most common questions from CFOs, Financial Controllers, and Group Accountants looking to enhance their consolidation capabilities.
Why replace spreadsheets for financial consolidation?
While Excel offers flexibility, it’s not built for complex, multi-entity consolidation. As group structures grow and regulatory expectations increase, spreadsheets introduce too much risk. Modern consolidation tools automate calculations, enforce governance, and provide clear audit trails — all of which significantly reduce the close cycle and free up time for analysis.
How do modern tools handle intercompany eliminations?
Leading platforms automate intercompany eliminations using predefined logic and configurable rules. Discrepancies are flagged early, with built-in workflows for resolution. This not only speeds up reconciliation but improves visibility and accountability across entities.
Can a consolidation platform support IFRS, UK GAAP, and local statutory requirements?
Yes — systems such as Tagetik and IBM Controller are designed to manage multi-GAAP reporting. You can apply adjustments and mapping logic to generate consolidated outputs for IFRS, FRS 102, or local standards, supporting both statutory and management reporting.
How are foreign currencies and translation adjustments managed?
Currency translation is automated using your defined rates (e.g., closing, average, historical). The system calculates translation differences and posts to the CTA (Cumulative Translation Adjustment) account, in compliance with IAS 21. You retain full transparency over all FX impacts at entity and group level.
What about complex ownership and partial holdings?
Modern tools are built for complexity — whether that’s joint ventures, partial ownership, or acquisitions. They apply the correct consolidation method (full, proportional, or equity) and calculate non-controlling interest (NCI) in accordance with IFRS 10 and IFRS 11.
How does IFRS 16 lease accounting integrate with consolidation?
Solutions like Tagetik provide native IFRS 16 modules that automatically feed into the consolidated accounts. Adjustments for right-of-use assets, lease liabilities, and depreciation are generated and mapped seamlessly into group reporting, reducing the need for offline calculations.
Is there an audit trail?
Yes. These platforms are designed with audit in mind — featuring role-based workflows, version control, timestamped submissions, and the ability to drill down from consolidated figures to the source data, journal entries, or commentary.
Can we integrate our ERP or trial balance data automatically?
Absolutely. Integration with ERP systems or data warehouses is straightforward, whether via APIs, connectors, or flat-file uploads. This ensures consistency, reduces manual intervention, and supports faster close processes.
How do these tools manage the group close process?
Consolidation platforms include task management tools that provide full visibility across entities. You can assign responsibilities, track status, manage dependencies, and ensure all group submissions are validated and certified on time.
What reporting and analysis capabilities are available?
Standard outputs include consolidated P&L, balance sheet, cash flow, and equity movement statements. Many solutions also offer embedded dashboards, dynamic reports, and integration with BI tools like Power BI — enabling drill-downs, variance analysis, and faster board reporting.
Need Help with Your Consolidation Process?
Whether you’re transitioning from spreadsheets or enhancing an existing system, our team of consolidation experts can help. We’ve delivered tailored solutions for businesses across sectors — aligning technology, processes, and controls to support accurate, compliant, and efficient consolidation.
→ Contact us today to discuss your consolidation goals.
