Efficiency and Control: How Invercolsa Transformed its Financial Management with Oracle EPM Cloud

Invercolsa, an economic group made up of six companies, sought to improve its financial consolidation process and eliminate operational inefficiencies by automating the loading of financial statements. The project involved the parameterization of flat files that standardize, validate and check the consistency of the information to be integrated into the consolidation model. Through Oracle Financial Consolidation and Close Cloud, advanced processes for eliminating intercompany transactions, calculations of non-controlling interests and a robust framework of key performance indicators (KPI) were implemented.

The project also included the creation of dynamic worksheets and notes to financial statements using Smart View for Office, which allowed for greater flexibility and efficiency in the analysis and presentation of financial information. In addition, an approval flow aligned to the roles and responsibilities matrix was set up, ensuring compliance with corporate control processes.

The implementation of Oracle Financial Consolidation and Close Cloud at Invercolsa has generated significant results that have transformed its financial processes. Through the automation and centralization of information, the group has managed not only to optimize its accounting and operational management, but also to improve the accuracy and efficiency in the consolidation of its financial statements. The main achievements during this project are highlighted below:

• Elimination of intercompany transactions : Processes were implemented to eliminate accounts receivable (AR), accounts payable (AP) and investments vs. equity, ensuring accurate consolidation of the group's financial results.

  
  

• Non-controlling interest calculation and MPP eliminations : Automatic calculations were set up to accurately reflect non-controlling interests, improving visibility and accuracy of the consolidated financial statements.

  
  

• Advanced management of key indicators (KPIs) : Customized indicators were developed that allow a comprehensive analysis of the financial statements before and after consolidation, supporting strategic decision-making.

  
  

• Smart View for Office integration for financial analysis : A solution was created that allows users to work with information from the Oracle Financial Consolidation and Close database and apply their own Excel formulas, achieving flexibility in the construction of reports and financial analysis.

  
  

• Automated approval flow : An approval flow was set up based on a matrix of roles and responsibilities, facilitating the control and monitoring of accounting processes within the group.

  
  

• Export of consolidated financial statements : The consolidated financial statements were exported in flat format to be efficiently loaded into Ecopetrol SA's consolidation model, ensuring seamless integration with the group's systems.

Thanks to this implementation, Invercolsa has optimized its financial processes, achieving greater precision in its consolidated reports and a better capacity to manage its financial operations at group level. The use of advanced tools such as Oracle Financial Consolidation and Close and Smart View for Office has allowed the company not only to streamline its processes, but also to offer its financial team greater autonomy in the preparation and analysis of critical reports for decision-making.