CFO/CIO guide to event-based accounting & subledgers

A simplified, agile, and compliant accounting ecosystem

The banking industry is at a pivotal juncture as regulatory changes, economic uncertainties, and rapid business changes put pressure on finance functions. CFOs and CIOs can respond by transforming finance into a more strategic role by modernizing finance technology, integrating data, and optimizing processes using event-based accounting and subledgers.

Event-based accounting–also called transaction-based accounting–records and reports financial transactions when they occur, regardless of when funds are paid or received. It focuses on managing the finances of specific products to provide detailed insights into profitability and performance. This approach enhances strategic decision-making, visibility, flexibility, compliance, and risk management in banking.

But capturing transactions at the event level is also a significant departure from traditional pass-through accounting. Before making the transition, bank CFOs and CIOs should answer difficult questions, such as:

• How can event-based accounting and subledgers be relevant for their organization?
• When to transition to a digital finance platform?
• What’s the most fitting deployment strategy?
• Which technologies equip banks to keep pace with evolving business and regulatory demands?
• How to manage change, stakeholder engagement, and training for a successful transition?

Deloitte and Oracle work together to deliver the solutions and insights banks need to smoothly transition to event-based accounting.

Potential improvements with Oracle’s integrated architecture for banking

Oracle’s end-to-end platform supports the transition to event-based accounting. Potential improvements of this integrated architecture include: