At a glance
Industry
Manufacturing
Location
United Kingdom
Challenge
Support a global business and finance transformation across 28 countries, including the consolidation of two legacy finance systems onto Oracle Cloud Applications.
Success Highlights
- Business-critical global Oracle rollout delivered on time and without issues
- 50% faster month-end close
- Two-day acceleration in local GAAP reporting
Our approach
This major global transformation project involved implementing a new system and migrating historical data into it, as well as incorporating significant changes to AVEVA's business model. AVEVA's SAP license was also coming up for renewal, giving a non-negotiable deadline for the move to Oracle.
For AVEVA, the objectives of the project were clear. It wanted to standardize on Oracle Cloud Applications across its 28 operating countries using a shared services model for maximum efficiency. Streamlined statutory reporting at both the group and individual entity level was a must and would involve rationalizing AVEVA's legal entity landscape. Lastly, the company's new modes of revenue recognition—primarily projects and subscriptions—had to be reflected in the Oracle implementation.
Delivering a complex global transformation
Cognizant assembled an expert onshore-offshore team to deliver this complex global finance transformation on time and with zero escalations. Key highlights of our project approach were:
Multi-pillar implementation
We consolidated AVEVA's legacy finance systems onto a suite of Oracle Cloud Applications, including Oracle Revenue and Subscription Management. The implementation involved the consolidation of legal entities from 91 to 52, as well as a change of fiscal calendar for multiple countries.
Multi-wave rollout
The move to Oracle was rolled out in six geographical waves over a three-year period.
Global process standardization
To create a foundation for efficiency, we used a global template to implement standardized business processes and made 651 required localizations across 28 countries.
Subscription model support
AVEVA was an early adopter of Oracle Subscription Management, a revenue management module for subscription-based businesses. We configured the module to match AVEVA's business processes and migrated the company’s 4,000 subscription contracts into it, ensuring no impact to revenue during the transition.
Automated invoice handling
We implemented ReadSoft's invoice scanning solution and matching process for increased accounts payable (AP) efficiency.
Automated GAAP reporting
We automated local in-country Generally Accepted Accounting Principles (GAAP) reporting through the deployment of secondary ledgers, replacing a manual, spreadsheet-based approach.
Tax portal integration
For efficiency in accounts receivable (AR), we integrated the Oracle platform with relevant government tax portals in ten countries. This enables the automatic capture or updating of inbound statuses and authority number on AR invoices.
Data migration
We were responsible for migrating master data and transaction data from the legacy systems. We automated the entire Extract, Analyze, Transform and Load (EATL) process to support the project's multiple geographical waves. We also delivered some of the more complex migration components like Oracle Projects and Oracle Subscription Management
Business outcomes
This was a complex, business-critical project involving 1,600 business users, 28 countries and 52 legal entities, with oversight at the most senior levels within AVEVA. Despite these challenges, the Cognizant team delivered the entire project on time, with zero deviation and zero escalations.
Since go-live, AVEVA has gained significant benefits from the transformation, including:
- 50% faster month-end close: The single Oracle platform and harmonized close processes have reduced month-end close times from 15 to seven days.
- 2-day acceleration in local GAAP reporting: Custom-built reports for GAAP reporting have reduced local reporting timescales by two days.
- Time savings for financial controllers: Faster group-level reporting, due to a streamlined Chart of Accounts across legal entities, has freed up senior finance personnel for other value-added tasks.
- Future-proofed finance platform: The new Oracle platform will support future legal entity merger programs and further business acquisitions.
- 25% lower IT support costs: Migrating to cloud and database maintenance has delivered a 25% savings in year-on-year support costs.
Cognizant (Nasdaq-100: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how at www.cognizant.com or @cognizant.
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