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Introduction
McKinsey & Company is a global management consulting firm advising the top management of leading companies and institutions on issues of strategy, organization, technology and operations. McKinsey advises the world's most prominent organizations - large multinationals, national governments and other public institutions - as well as some mid-size businesses, such as high-tech and high-growth companies, offering and implementing recommendations based on deep analysis, unique resources and broad international experience.
With the fast development of business in mainland, McKinsey China has decided to follow the blueprint of headquarter to use Oracle system, which fulfills the internal management requirement, however, there existed a lot of compliance issue when it came to PRC accounting specific requirement, which led to the contradiction between internal management and external requirement. After several rounds of study and analysis, McKinsey decided to adopt HBS Financial Localization Solutions to help them better meet the compliance requirements in China.
Key Challenges
1.Incapable of generating PRC statutory accounting books from Oracle system due to GAAP difference.
2.Pass the golden audit check and obtain the approval certification for Oracle system in order to obviate potential risk.
3.Difference depreciation of fixed assets due to different GAAPs.
Project Target
1.Obtain Oracle approval certification in the soonest date.
2.Generate complete PRC accounting books without double-work but few button-clicks.
3.Manage the asset in different depreciation and output analysis report for decision.
Our Solutions
1.Multi-COA (Chart of Account) mapping to achieve US-GAAP to PRC-GAAP.
2.Drill down function from general-ledger to sub-ledger, sub-ledger to voucher by crystal report.
3.Manage separately and generate asset report by different GAAP.
Main Benefits
1.Smoothly and safely obtain government certificate, obviate penalty risk from local government and easier local financing by higher credit grade.
2.Generate China statutory accounting book in 30 minutes after monthly Oracle closing.
3.Little workload to meet multi-GAAPs, smart GAAP difference adjustment and reconciliation.
4.Accurate management of assets record, keep pace with the government laws to strengthen finance management.
Highlight in implementation
1.HBS arranged a brain storm with McKinsey and come up with the solution of managing fixed asset localization issue.
2.Centralize implementation and shorten the working man-day sharply.
HBS Solution
Our Client
