For many finance teams, the first two weeks of every month disappear into closing the books and producing management reports. By the time the pack reaches the board, the numbers are already old and there has been little time to explain them. The good news is that most of the delay comes from a small number of fixable problems. Here are practical steps to speed up month-end reporting.
Why month-end reporting takes so long
- Data is exported from the ERP and other systems and pasted into spreadsheets by hand.
- Reports are rebuilt or reformatted every month.
- Numbers have to be reconciled between different files and versions.
- Information arrives late from other departments or entities.
- Commentary is written at the last minute because preparing the data takes all the time.
If this sounds familiar, our article is your financial reporting stuck in the 90s? is worth a read.
10 ways to speed up month-end reporting
1. Map the current process
Write down every step from the last transaction posted to the board pack being sent, with who does it and how long it takes. You will quickly see where the time goes and which steps are waiting on others.
2. Agree a close calendar
Set clear deadlines for each task and each contributor, such as accruals by day two and intercompany agreed by day three. Publish it and track it every month.
3. Standardise the chart of accounts and mappings
Inconsistent account structures across entities create endless manual mapping. Agree one reporting structure and maintain the mappings centrally.
4. Automate data loads
Replace manual exports with scheduled, automated data loads from your ERP and other systems. This single change often saves the most time. See ERP integration for FP&A.
5. Reconcile continuously, not at month-end
Reconcile key balances and intercompany positions during the month so there are fewer surprises at close.
6. Use materiality
Agree thresholds so the team does not spend hours chasing immaterial differences or perfecting small accruals.
7. Build reports once
Design the management pack once in a reporting tool connected to your data, so it refreshes automatically rather than being rebuilt. This is the heart of financial reporting automation.
8. Automate consolidation
For groups, automate currency translation, intercompany eliminations and consolidation rather than doing them in spreadsheets. See financial consolidation software.
9. Report by exception
Focus the pack and commentary on significant variances rather than every line. Good variance analysis highlights what matters.
10. Give managers self-service access
Dashboards with drill-down let managers answer their own questions, so finance spends less time on ad hoc requests during close.
What good looks like
Organisations that automate reporting see substantial gains. Construction Forms reduced its close from three weeks to seven days, Novoferm saved 98% of the time spent creating some reports, and Harbour Hotels saved 3.5 weeks of reporting a year. Read the stories:
- Construction Forms: close cut from 3 weeks to 7 days
- Novoferm: 98% time saved creating reports
- Harbour Hotels: 3.5 weeks of reporting saved each year
Where to start
Begin with the steps that cost nothing: a close calendar, clear ownership and materiality. Then tackle automation, starting with data loads and the management pack. If you want help assessing your current process, book a discovery call with one of our accountancy-qualified consultants.
Frequently asked questions
How long should month-end close take?
It varies by size and complexity, but many organisations aim to close and report within five working days. Automating data loads, consolidation and reporting is usually the biggest lever.
What is the fastest way to speed up month-end reporting?
Automating data loads from your ERP and building reports that refresh automatically usually saves the most time, because it removes the manual export, paste and reformat steps.
What is a close calendar?
A close calendar is a schedule of every month-end task, who owns it and when it must be done. It makes dependencies visible and helps the team hit deadlines.
Do we need new software to speed up month-end?
Not necessarily for every step. Process changes help straight away, but reporting and consolidation software is usually needed to remove manual data handling at scale.
About Kybos
Kybos is a dedicated UK & Ireland Jedox Platinum partner. We build planning and analysis solutions that deliver value fast using accountancy qualified consultants. Whether you want a fully customised application or to build upon an existing solution, Kybos consultants are here to help.