Linkedin
Facebook
Email
more
Entering the Singapore market poses considerable challenges, particularly for clients unfamiliar with the local regulatory landscape. Singapore’s unique regulatory environment requires a deep understanding of local laws, compliance requirements, and market dynamics. Without this knowledge, the process can be overwhelming.
Moreover, acquired companies often face inefficiencies caused by system limitations and undefined processes, particularly during integration with the global parent company. These issues, coupled with incomplete financial information, hinder the timely delivery of accurate, audit-ready financial reports.
In this case study, we examine how our comprehensive managed services have helped our US-based client successfully navigate these challenges and achieve their M&A expansion goals.
Background
Founded in 1955, our client is a diverse global organisation with USD50 billion in annual sale projected for 2024. The company has made aggressive strides in expanding its healthcare business.
In 2021, they acquired their first Singapore-based group of clinics and hospitals, comprising 9 entities.
Our client faced significant challenges, including the following pain points:
- Disparate accounting systems and different Chart of Accounts (CoA)
- Limited capacity and lack of qualified staff within the acquired group
- Cash basis accounting that is not audit-ready
- Absence of proper workflows and standard operating procedures (SOPs)
- Disorganised paperwork
- Outdated or unavailable management reports
How we helped:
Our team worked closely with the client to understand their unique challenges and proposed the A.I.M Integral Approach. This strategy involved:
- Advise and Identify: Assessing the business needs and pain points, then developing and streamlining SOPs to address them.
- Implement Smart Solutions: Introducing smart, effective, and consistent actions aligned with the business goals, adopting best practices and proven methodologies to manage business needs and maintain relevance.
- Continuous Improvement: Managing the accounting processes through ongoing improvements and simplification of business policies to ensure compliance and safety.
Key outcomes:
- From Cash basis to Audit-ready
We restructured the accounts of the 9 acquired entities, transitioning them from cash-based to accrual-based accounting, ensuring full compliance with International Financial Reporting Standards (IFRS). - Chart of Accounts (CoA) Harmonisation
We streamlined and unified the Chart of Accounts, providing a consistent and clear view of financial performance across all entities within the group. - Outsource Accounting
We took on full responsibility for accounting and reporting, while allowing the client to retain control over Financial Planning & Analysis (FP&A). This division of labour enabled the client to focus on strategic financial planning, while we managed day-to-day accounting and reporting functions. - Reporting
We collaborated with the client to establish a clear reporting timeline and cutoffs for each function, ensuring alignment with the tight reporting deadlines set by HQ in the US. - Cloud Accounting Implementation:
To address immediate needs while planning for long-term goals, we implemented a flexible cloud accounting system. This system minimised initial investment costs and allowed for easy transition, setting the foundation for eventual integration with the client’s global cloud ERP system within a year. - Digitisation
We addressed staffing shortages by taking over digitisation tasks at the clinics, helping them transition from paper-based to paperless operations. - Project Management
After setting up the cloud accounting system, we worked closely with the client and their system integrator to implement the global cloud ERP system. Our team managed the project from pre-implementation through UAT to post-implementation, providing training to ensure the client’s team could become experts in managing accounting tasks. - Workflow and Process improvements
We supported the integration of technological tools, including accounts payable management platforms, robotic process automation (RPA), bank integration, and Intelligent Document Recognition (IDR), to enhance efficiency. - Audit Support
Recognising the complexities of compliance regulations, we provided comprehensive technical audit support, particularly during the first-year audit for the acquired group. - Regional Expansion Advisory – Legal Entity Management
As the client expanded regionally, we ensured consistency, efficiency, and compliance across all locations. Leveraging our in-country expertise, we helped the portfolio companies meet statutory obligations in each jurisdiction while streamlining cross-regional processes.
Results
We achieved key improvements in the client’s financial operations:
- Accuracy and Quality: Management reporting accuracy was enhanced, resulting in more reliable financial data for decision-making.
- Real-Time Financials: Timely reporting offered transparency, giving stakeholders a clear view of the company’s financial health and allowing for quicker responses to market changes.
- Automation: Repetitive tasks like data entry and reconciliations were automated, reducing time and effort while scaling to handle increased transaction volumes.
- Process Improvements: Regular process reviews and refinements allowed us to adapt to the business growth and changing needs.
These improvements transformed the client’s financial operations, positioning them for future growth and strengthening their competitive position. This case study demonstrates the effectiveness of our AIM Integral Approach, which included cloud accounting, project management and financial reporting.
