Published on 18-Sep-2009
"IBM Cognos 8 Controller allows us to create consolidated accounts and reports far faster than before. The Cognos Group Consolidation and Corporate Reporting Blueprint—a preconfigured data and process model—saved a lot of time during the implementation, and has created solid foundations for our consolidation and reporting processes." - Claudia Beermann, CFO, Falkensteiner Michaeler Tourism Group
Travel & Transportation
IBM Business Partner:
Falkensteiner finds a standard solution for international consolidation and reporting
Falkensteiner’s remarkable growth created an increase in the group’s international consolidation and reporting requirements. However, the limited possibilities of the existing tools were restricting the company’s growth, so it became clear that a standard solution was urgently required to manage the company’s continued growth effectively, meet reporting obligations, and comply with corporate governance guidelines.
• IBM® Cognos® 8 Controller • IBM Cognos Blueprint Group Consolidation and Corporate Reporting
• Improvement in consolidation and reporting • Creation of a single reporting standard • General increase in efficiency, including delegation of responsibility from head office to the group’s local companies
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If you want to change something, don’t set yourself any limits. This is particularly true in a dynamic sector such as tourism, and Falkensteiner Michaeler Tourism Group (FMTG) has exceeded limits in several directions. The group has expanded from Alpen-Adria in Austria into Central and Southern Europe, while management has continuously opened up new business sectors. The organisation’s involvement in all areas of the tourist industry is the reason for FMTG’s current success.
If you don’t want to set limits on your growth, you shouldn’t restrict your ideas and visions. True to this philosophy, the company has expanded its operations Study to encompass tourist properties and all kinds of tourist services, operating 23 hotels in five countries.
Leisure has become people’s most precious commodity. The FMTG group recognised this sign of the times at an early stage, and the leisure commodity has been part of its business model for some time. From a small family business, the group has grown to become a multinational operator. FMTG’s aim is to become one of the leading companies in the tourism and leisure economy in Central and Southern Europe while maintaining profitable growth.
Falkensteiner’s remarkable growth, based on the acquisition of new companies, resulted in a corresponding increase in the group’s international consolidation and reporting requirements. However, the limited possibilities of the existing tools, such as Microsoft® Excel® and proprietary systems, were restricting the company’s growth. It soon became clear that a standard and cross-functional consolidation solution was urgently required to manage the company’s continued growth effectively, meet reporting obligations, and comply with corporate governance guidelines.
A new project entitled “Cognos” was launched. On the basis of the company’s existing knowledge of IBM Cognos solutions and positive IBM Cognos references, a more detailed examination was carried out to assess practical implications. During the evaluation phase, the application’s simple operation, data security, and practical consolidation and reporting functionalities, as well as the fact that it’s so quick and easy to learn, convinced FMTG still further. Additional functionalities, such as the integrated Web-based front end and the automated calculation of interim profit, also played a part in the choice of software.
The deciding factor in FMTG’s decision was the IBM Cognos Group Consolidation and Corporate Reporting Blueprint. This preconfigured data and process model contains templates of all the required rules and reports to handle consolidation tasks, including capital consolidation, intercompany settlement, interim profit elimination, and tax calculation, as well as reports for external IFRS reporting. The blueprint provides consolidation and financial reporting business knowledge and links this with the IBM Cognos consolidation technology, resulting in the elimination of time consuming processes. What’s more, IBM Cognos customers receive the blueprint free of charge. FMTG had no doubt that IBM Cognos 8 Controller was the consolidation solution it was looking for.
For FMTG, the main objectives for the use of IBM Cognos 8 Controller were consolidated accounts with monthly reporting as well as controlling and group reporting. The integration partner, etageeins, quickly created interfaces with downstream systems and operational data sources, as well as ensuring the professional mapping of the entire company structure in the application. The IBM Cognos blueprint provided valuable assistance in this respect. The project team used the predefined reporting structures and process models in the blueprint to speed up the implementation and minimise the project risk.
In addition to important reports such as profit and loss, balance sheet, and the associated notes entries, an automated cash flow statement were installed to streamline preparation of the consolidated accounts. Thanks to the professional training provided by etageeins, responsibility for data imports, intercompany reconciliation, and data validation has been delegated to the local companies, removing a significant burden from head office.
The pace of FMTG’s growth shows no signs of slowing down over the next few years, so the IBM Cognos 8 Controller consolidation software is an investment in the future. Thanks to the flexibility of IBM Cognos 8 Controller, FMTG intends to use the solution next year to map a monthly “fast close” consolidation.
A reliable and competent implementation partner was the final piece of the puzzle, and etageeins GmbH (Vienna, Zurich, Stuttgart), a certified IBM Cognos Partner, filled this role, implementing the IBM Cognos 8 Controller consolidation solution quickly and smoothly.
About IBM Cognos BI and Performance Management
IBM Cognos business intelligence (BI) and performance management solutions deliver world-leading enterprise planning, consolidation and BI software, support and services to help companies plan, understand and manage financial and operational performance. IBM Cognos solutions bring together technology, analytical applications, best practices, and a broad network of partners to give customers an open, adaptive and complete performance solution. Over 23,000 customers in more than 135 countries around the world choose IBM Cognos solutions.
Products and services used
IBM products and services that were used in this case study.
Cognos 8 Controller
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