Financial statement close process assessment
Think of your finance function as a high-performance unit of your business. Are you getting the information that you and your investors need in a timely and cost-effective manner? Does your close process effectively support your decision-making?
What EY can do for you
With the insights gained from EY’s financial statement close process assessment, you can move forward with more confidence in your close process. It helps you understand whether, where and why mistakes are made or bottlenecks happen or extra effort is expended. It can also point you toward improvements in reliability, accuracy, speed and cycle time, and efficiency needed by the company you’re running today, or the one you expect to run tomorrow. Based on the assessment, our findings can help you:
- Compare current performance against leading practices
- Improve the quality of data captured through your closing process to limit the number of adjustments
- Identify improvements for reducing the number of days to close the books
- Help point the way to better content for KPIs, management reporting and dashboards
- Identify opportunities to reduce finance function costs
How the EY assessment works
Your EY audit teams can use a combination of qualitative and quantitative methods to evaluate your financial statement close process. We conduct the following five-step assessment and report our findings and recommendations back to you:
- Benchmark analysis
Using an independent, high-quality database of metrics, our teams can evaluate your company’s financial statement close process performance against leading practices.
- Maturity assessment
Our maturity assessment tool allows you to self-assess the current performance for each of the key finance sub-processes (i.e., process and policy, reporting and management performance, organization, data, people and technology) as compared to leading practices and determine the expected future state.
- Detailed review of the financial statement close process activities
For each key sub-process, our teams assess the quality of procedures in place and the execution timing and velocity; investigate risks and controls in place; and provide you with gap analyses, insights and recommendations. We can also review your current close process and identify issues that slow the process down. As a result, we can provide you with findings and recommendation that can help you spend less time producing financial reporting and achieve a more robust and well-documented process.
- Review of dashboards, KPIs and monthly reporting packages
Our team assesses the quality and relevance of your dashboards, KPIs and monthly reporting packages. We review objectives, processes, computations and frequencies. Based on our review, we can provide improvement recommendations for your KPIs to harmonize with the other materials and for your dashboards and monthly reporting packages to increase their relevance and effectiveness.
- Findings and recommendations report
This report includes all results of the diagnostic and also outlines findings and recommendations to help you build a more effective finance function.