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Multi-Entity Consolidation

ActiveTier 1
Last reviewed: Jan 28, 2026 · Owner: Finance Ops Engine
SOP Document
View SOP
Purpose
  • Roll up subsidiary trial balances with currency conversion and intercompany elimination.
Process Steps
  • Pull trial balances from 4 entities in NetSuite (US, UK, Singapore, Germany).
  • Cross-reference non-GL data via the data warehouse (revenue, headcount, contractor spend).
  • Convert all entities to USD using month-end rates per policy FX-001.
  • Identify intercompany eliminations and flag variances for review.
  • Generate consolidated trial balance, elimination schedule, and supporting schedules.
  • Produce flux analysis for material variances (>5% or >$10K).
Outputs
  • NetSuite upload for consolidated journal entries and eliminations.
  • Google Sheets backup for consolidation output and flux analysis.
Escalation & Audit
  • Intercompany variances and confidence below 85% require human review.
  • All GL exports, FX rates, and elimination logic are logged for audit.
Extracted Rules
Month-End FX Rates
Use central bank month-end FX rates for consolidation.
Review if < 85%
Conditions
  • Entity currency differs from USD
  • Month-end consolidation run
Actions
  • Pull month-end FX rates from central bank feeds
  • Apply rates to entity trial balances
Escalation

Escalate when confidence falls below 85% or rate anomalies are detected.

Systems
DW
Review Unmatched IC Amounts
Flag intercompany eliminations with unmatched amounts for review.
Review if < 85%
Conditions
  • Intercompany transaction variance detected across entities
Actions
  • Auto-match eliminations where possible
  • Recommend FX adjustment for timing variances
Escalation

Human review required for any unmatched IC amounts.

Systems
NS
Recent Audit Trail
NS
Multi-Entity Consolidation executed
Auto-resolved
98%
Jan 28, 2026 · 10:12am
DW
Multi-Entity Consolidation exception flagged
Routed for review
81%
Jan 27, 2026 · 4:36pm
NS
Multi-Entity Consolidation audit export generated
Audit log stored
—
Jan 26, 2026 · 9:02am
Version History
v1.2Jan 28, 2026
Reviewed escalation thresholds and audit checkpoints.
v1.1Jan 12, 2026
Expanded system mappings and exception handling.
v1.0Dec 18, 2025
Initial SOP release from core library.
Escalation Chain
Step 1
Finance Ops Lead
Trigger: Confidence < 85% or variance > $10K
SLA: 4 hrs
Step 2
Controller
Trigger: No response within SLA
SLA: 12 hrs
Step 3
CFO
Trigger: Materiality > $50K
SLA: 24 hrs