Case studies

Advisory for the governance of reporting

Support for improving corporate governance through the improvement of reporting data and systems

With the requirements for data and management information changing in this era of IT management, simultaneously improving the reliability, timeliness, flexibility, and usefulness of reporting is a way to build the foundation of a resilient organization capable of making appropriate management decisions in an increasingly complex business environment. Such a foundation is also an indispensable part of corporate governance.

Background: The need to improve the reliability, timeliness, flexibility, and usefulness of reporting with a view to achieving IT management

Globalization and the arrival of big data mean that companies are required to collect an immense variety of data in vast amounts. This is accompanied by demand for reporting from management and various stakeholders, with this demand exhibiting increased diversity to account for conditions such as the management environment and strategies, all while what is deemed necessary information is changing. In order for companies to respond to this situation and let management be flexibly and quickly aware of and able to use information required for management decisions, improving reporting governance is essential.

As the process of reporting varies depending on the individual conducting it, and often involves manual editing, the workload of the employees in charge of reporting tends to increase. As a result, valuable human resources supporting business management functions can often not be used to plan an information architecture compatible with the management strategy or to conduct useful information analysis or verification. Because of this, companies are required to improve the efficiency of the process of drafting management information and to reconstruct management systems into organizational forms not dependent on specific individuals.

With data and the requirements for management information changing in this era of IT management, improving the reliability, timeliness, flexibility, and usefulness of reporting is a way to build the foundation of a resilient organization capable of making appropriate management decisions in an increasingly complex business environment. Such a foundation is an indispensable part of corporate governance.

 

Deloitte Tohmatsu Group makes use of its record in supporting business management to support the enhancement of reporting

By constructing an architecture for information required for management decisions, organizing what types of information are of high priority for reporting, and improving data flows in reporting-related processes such as information-gathering, drafting, and editing, this service supports improving the reliability, timeliness, flexibility, and usefulness of reporting. Building on its record in supporting business management, the Deloitte Tohmatsu Group offers practical consulting with a view to improving reporting operations required for both internal reporting necessary for management decision-making and external reporting such as financial and CSR reporting.

 

Four kinds of results can be expected from the construction of reporting governance

  1. Improved reliability
    Data governance is enhanced by managing, standardizing, and sharing information related to important data, improving the accuracy and integrity of data, securing traceability, and improving crisis response capabilities.
  2. Improved timeliness
    Revision of data processing interdivisionally, automation, and improvement of efficiency allows for the avoidance of errors in processes formerly conducted manually and significant reduction in the time required to complete operations, leading to timely reporting.
  3. Improved flexibility
    By designing an information architecture required for the development of management strategy and evaluation of the current state of strategy implementation, and establishing internal controls matching operational processes, it is possible to flexibly and speedily reconstruct reporting processes.
  4. Improved usefulness
    Using KPI/KRI design and a survey of the usefulness of information to select relevant information, we provide indicators that make for important decision-making materials and/or other indicators for which there is a significant reporting need.

Improving the reliability, timeliness, and usefulness of management information and the ability to flexibly satisfy needs related to reporting operations allows for appropriate decision-making and strengthens corporate governance.

*Click on image to enlarge

The construction of reporting governance involves three steps

The construction of reporting governance consists of three steps: design, data preparation, and tool implementation. The service provided by Deloitte Tohmatsu involves comprehensive support, from design of the goals related to the construction of reporting governance to actual operation. Please feel free to use the contact form to ask any questions about the details of the project.

*Click on image to enlarge

Did you find this useful?