Customized Approval Workflow for multi-approval level across diverse subsidiary structure

Overview

About the Client

The client is a leading multi-brand digital subscription service dedicated to providing self-directed investors with premium financial research, software, educational resources, and tools. Their comprehensive offerings cover a diverse range of investments, including commodities, equities, distressed debt, and cryptocurrencies. The company’s product portfolio has expanded to encompass a wide array of diversified investment research products and solutions sourced from reputable financial research companies. The organization’s strategic initiatives are focused on acquisitions, product expansion, and enhanced marketing efficiency, with the overarching goal of establishing itself as a premier platform for financial wellness solutions for investors.

The Challenge           

The client processes large transactions daily across multiple subsidiary groups with diverse structures, making default approval flows inadequate for their needs.

They need an approval flow for standard journal entries and intercompany journal entries. The flow will include approval and approver based on subsidiary, hierarchy level, and roles.

In the standard journal approval process, only one level of approval is required. This includes approval from the involved subsidiary group approver, or the approver from the main subsidiary group with a higher approval level than the creator.

Intercompany journal entries are approved based on whether they involve a single subsidiary group or multiple subsidiary groups: entries within a single group require approval from a higher-level approver within that group, while entries involving multiple groups necessitate approval from all groups involved, including a higher-level approver from the main subsidiary group if applicable.

Our Solution

Blueflame Labs has developed a customized workflow for approval flow that caters to client approval processes for standard journal entries, intercompany journal entries, and advanced intercompany journal entries. We facilitated the client with:

• Customized two individual workflows for approval routing: one applies to a journal entry, and another applies to an intercompany journal entry and advanced intercompany journal entry.
• Customized standard journal entry approval workflow is specifically designed for standard journal entry approval. It employs a workflow action script to present approval options to the user. The script verifies the user details and, upon confirmation of the user’s qualifications, allows them to either approve or reject the entry.
• Designed intercompany journal approval workflow for both intercompany journal entries and advanced intercompany journal entries. This workflow includes a workflow action script that identifies the type of journal entry and subsidiary group type, records the involved subsidiary for approval, and provides value based on user details. Upon approval, it manages the approval stage, and after all subsidiary approvals, it marks the journal entry as approved.

Technology & tools used

Customized two separate approval workflows in NetSuite to enhance intercompany management and revenue recognition.

• Built user role-based control using workflow action script.
• Created subsidiary relationships and automated transactions using approval workflows.

Results

The Impact                  

After implementing the solution:

• Clients will benefit from a streamlined and efficient approval process tailored for both standard journal entries and intercompany journal entries, accommodating their diverse subsidiary group structures and transaction volumes.
• They will have easy access to a detailed approval hierarchy for standard and intercompany journal entries, facilitating transparency and accountability in the approval process.
• Enhanced control over access permissions ensures that users can only approve transactions within their authorized scope, thereby maintaining security and compliance.
• The approval workflows will incorporate specific criteria such as subsidiary group affiliation, role, and approval level, enabling precise identification of approvers and ensuring that transactions are routed to the appropriate individuals efficiently.