Solve the 3 most common intercompany transaction challenges with automation

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Many companies struggle to handle the sheer number of intercompany transaction challenges involved in doing business today. Transactions between related companies have become an inevitable part of commerce, and those that fail to meet the challenges presented by the complexity of handling them will get left behind. This blog aims to paint a clear picture of why automation might be the answer to the bottlenecks and wasted resources these types of transactions often result in. 

Challenge one | Resource draining, time-consuming processes  

Companies without adequate software spend a lot of time manually tracking, settling, eliminating, and reconciling intercompany transactions. Automation solves this by simply putting many of these transactions on autopilot and freeing your team to worry about strategic initiatives.

Challenge two | Complications due to inconsistent accounting policies  

Documentation and training are crucial components for the success of intercompany accounting policies. Teams need to be equipped with automation tools that streamline processes, and there then needs to be cohesive communication of how each team will use these tools to ensure consistency in reporting.

Challenge three | Researching discrepancies and rectifying errors across various entities 

Correcting errors is perhaps the most significant drain on resources caused by handling intercompany transactions. Often parent companies need to speak to multiple departments in a subsidiary to get to the bottom of a simple error and make adjustments in the system. Automation within a centralized ERP makes it much easier to solve discrepancies and rectify mistakes by providing an accessible, auditable source of truth.

If you’d like to get more in-depth insights into mastering intercompany transactions, check out the full blog here. 

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