Practus’ assisted the manufacturers in carrying out a logical reconciliation exercise and conducting audits and analyses of records and intercompany transactions.
| Client Name | Industry | Ownership | Management | No. of Employees | ROI On Fee | Size | Project Duration |
| A Manufacturing Space | Containers & Packaging | Private | Professional | 1200 | 6.9x | $150 million | 5 months |
About The Company
The Diana Group, based in Nigeria (Africa), was established in 1965 and has a market capitalization of $150 million. It is an African manufacturing cluster made up of many group enterprises.
Practus’ Role
- Intercompany receivables and payables balances are reconciled using accounting principles.
- For 5 to 7 years, intercompany receivables and payables accounts were not reconciled.
- The task was exceedingly time-consuming, given that there were 49 group firms with unreconciled balances.
- The departures and resignations of several process owners and accountants from their organizations during the selected period for reconciliation hampered the entire endeavor.
Impact Role
- Obtaining complete data from all of the group firms’ books of accounts/records of intercompany transactions for the previous 5 to 7 years.
- Extensive auditing and study of documents and intercompany transactions.
- Executing a logical reconciliation exercise.
- At each milestone, regular communication with the client accounting teams is required for query resolution and validation of the reconciliation procedure.
- Weekly and monthly structured evaluations with key stakeholders and management.