Whitepaper:

The Irresistible Business Case for Automating Reconciliations

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The Irresistible Business Case for Automating Reconciliations

www.autorek.com +44 (0) 845 603 3613

Introduction

Reconciliations are vital to the financial stability and control of all organisations but are so often paid too little

attention both in the design and in the operation. Many organisations have suffered disastrous consequences of

failing to perform their reconciliations properly, ranging from huge regulatory fines to complete financial collapse.

Yet the art of reconciliations (or is it a science?) has moved on dramatically in recent years. The level of expertise

in the market has risen exponentially and the quality of technology solutions, and their affordability, has opened

up dramatic performance improvement opportunities for what, is on the face of it, a very unglamourous part of the

finance and operations’ routines!

Many organisations cannot afford not to investigate the increased stability, the cost reduction and the growth

capability that these solutions offer.

What’s wrong with carrying on doing reconciliations in excel?

There are some outstanding features in excel and some excellent uses to which it has been put including many

quite sophisticated reconciliations. But today’s best of breed reconciliation solutions offer complete exception

management solutions including advanced matching capabilities, the power to alert stakeholders automatically

when something requires attention, communications capability with stakeholders internally and externally as well

as instance management information on everything from root cause to the status of repair.

In many organisations the lack of robustness and consistency in the way that manual (or excel based)

reconciliations are performed almost creates an additional exposure rather than a reduced one. How many

reconciliations are done “because they were always done that way” or “because audit / risk / compliance said they

should”. The cost pressures faced by business often mean choices have to be made on processes’ and controls’

value without the requisite level of understanding of value-add or risk mitigation afforded by them.

With horror stories emerging of layers of supervision being stripped out of dealing rooms and finance functions

alike and “rogue” personnel performing several steps in a process, businesses need to optimise the cost of

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The Irresistible Business Case for Automating Reconciliations

www.autorek.com +44 (0) 845 603 3613

controls and the visibility of their effectiveness. This cannot be done on a variety of worksheets in varying formats

performed by single individuals with no narration of purpose or validation. It’s simply too expensive and too risky.

So what’s on offer?

Today’s leading solutions bring consistency and visibility to all reconciliation processes from general ledger

reconciliation to bank reconciliations; from intercompany reconciliations to supplier statement reconciliations. Multi

user real time packages which automate matching of up to 99% (and sometimes beyond!) offer cost reductions in

processing of 75% (typically) and, importantly, provide organisations with the comfort (fully auditable) that control

mechanisms are working exactly as they should independent of the operators’ whims and availability.

The sheer volume of many reconciliations’ volumes of transactions can mean that these are done manually on

“best endeavours” yet the capability of the leading tools to load and match hundreds of millions of transactions per

hour can really focus the organisation on the real exceptions and resolving them (such as rejected payments or

failed trades).

The business case on so many levels for automation is irresistible. With the 75% direct saving in manpower,

reduction in losses and audit costs, organisations should expect to see the payback from implementation in

months rather than years. And with some providers focusing on delivering the capability to the organisation to be

fully self-sufficient in the furtherance of the use of the software, the investment will actually deliver increasing

returns as time passes.

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The Irresistible Business Case for Automating Reconciliations

www.autorek.com +44 (0) 845 603 3613

What AutoRek can do for you?

AutoRek is one of the leading reconciliation solutions in the market. With the ability to source data in any format

from anywhere, the speed to implement is dramatic and businesses can see the results of automation within days

rather than months. Coming complete with its own management information tools and its own escalation work

flow, the end-to-end reconciliation, reporting and remediation cycle is managed comprehensively and consistently

in one place.

Whether the need is driven by a cost reduction agenda, a fast close programme or a distressed reconciliation

(possibly under scrutiny from auditors or regulators), the investment returns and internalised capabilities afforded

by AutoRek are compelling.

We will focus on delivering business benefits as quickly as they can be realised. We will focus on having your

experts trained by our experts.

Find Out More

For more information or to arrange a demonstration of AutoRek contact:

Graeme McKee

AutoRek

Email: graeme.mckee@autorek.com

Tel: +44 (0) 845 603 3613

193-197 Bath Street Glasgow G2 4HU +44 (0) 845 603 3613 www.autorek.com

About AutoRek

AutoRek is a leading global provider of expert financial data management software. Our solutions are purpose built to improve the quality and efficiency of data management, and incorporate high performance reconciliation software, cash applications and compliance products. Using AutoRek, up to 99.9% of transactions can be reconciled automatically, at a rate of tens of thousands of records per second. Our client base comprises many of the world’s largest corporations. For them, AutoRek helps increase their control and visibility over the entire financial process, enable reduced costs and improve adherence to financial legislation.