Smart consollidation at JAJO

Ease of consolidation, what exactly does that mean? And what benefits can you achieve and experience as a (group) controller?

These are questions answered by Alex Halsema, Group Controller at JAJO. This organization is among the top 15 construction companies in the Netherlands and collaborates internationally with subsidiaries in the Caribbean and Poland. Alex explains why they use Exsion Corporate in this case study.

Challenges of a group controller

In the construction industry, a controller encounters various challenges during consolidations, such as harmonizing the financial reporting structures of various subsidiaries. They also have to consider increasingly complex regulations, including those related to sustainability and risk management in a sector with often long project cycles. "Identifying and resolving internal control issues within the consolidated entity is therefore a responsible and challenging task," Alex explains.

The origins of the collaboration

The search for a new consolidation solution for JAJO was urgent after another vendor's software was discontinued. As a result, the software could no longer be maintained. The lack of security updates forced the team to conduct market research. The old system struggled to process complex financial data and keep up with changes in accounting standards, jeopardizing the accuracy and timeliness of consolidated financial reporting. "I had already had good experiences with Exsion Corporate at another employer in the building materials industry."

According to Alex, the main advantages of Exsion Corporate are:

• The very simple design Alex draws a comparison with large (often expensive) ERP systems: "It's incredibly convenient that everything in Exsion Corporate resembles Excel. That's familiar to financial controllers like me. Everyone can get started right away. Many other consolidation tools require expensive technical consultants because they're the only ones who understand the structure of how it works."
• Convenience for the decentralized user The financial data, which must be provided by the various subsidiaries, can be easily entered on an Excel-like input sheet. It is understandable for every user, and only after completing the required fields can the entire data be sent to the database. This has another advantage: if you work directly from the database and have a slow internet connection, submitting financial data takes much longer (long download times). Moreover, you run the risk of having to re-enter everything in the event of a malfunction. "Decentralized, entering everything first and synchronizing it all at once is much more effective for our users, especially because we work from many different parts of the world."
• Flexible structure of administrative rights What Alex particularly appreciates is that he can track everything that needs to be done in terms of financial reporting. In other words: who recorded what, when, and what adjustments were made. But he's also pleased that, as an administrator, he can modify the structure and implement any specific adjustments he desires. He gives the following example: "If a figure is given for 'revenue,' I can create breakdowns myself in just a few minutes. For example, what the contribution to turnover is from social housing or the construction of detached villas."

Alex concludes that Exsion Corporate offers significant cost benefits due to its simplicity, transparency, and flexibility. "If you don't need expensive technical consultants for adjustments, your total costs are always considerably lower. So it pays to be well-informed about simplifying consolidations."

About JAJO