The Findings

Chapter 02

The Findings

Your department's reality. Everything the FDE found, organized so leadership can absorb it in 2 minutes.

How 280 People Actually Spend Their Time

35%
25%
20%
12%
8%

60% of this department's time goes to work that agents can handle. 12% requires human judgment. 8% is the strategic work you hired these people to do.

Process Maps — SOP vs. Reality

Top 12 AP Exception Types

TypeFreq/moResolutionRepeatableOwner
PO Price Mismatch
85
2.1 daysYesAP Analyst
Missing Goods Receipt
72
1.4 daysYesAP Team Lead
Duplicate Invoice
68
0.5 daysYesAP Analyst
Quantity Variance
55
1.8 daysYesAP Analyst
Missing PO Reference
48
3.2 daysYesAP Specialist
Tax Calculation Error
42
1.1 daysYesAP Analyst
Vendor Master Mismatch
38
2.4 daysYesController
Currency Conversion
35
0.8 daysYesTreasury
Freight Charge Dispute
28
4.5 daysNoAP Team Lead
Payment Terms Mismatch
25
1.6 daysYesAP Analyst
GL Code Misclassification
22
0.9 daysYesAP Analyst
Approval Threshold Exceeded
18
2.8 daysNoController

70% of exceptions follow a repeatable decision pattern. 30% require human judgment. Agents handle the 70% on day one and pre-assemble context for the 30% so human decisions take minutes instead of hours.

Risk Register

Single Point of Failurecritical
Intercompany reconciliation

Depends on one person's personal vendor name mapping across 3 ERPs. When she's out, reconciliation stalls. No backup, no documentation.

Compliance Gapcritical
4% intercompany error rate

Undetected until external audit. No internal validation or automated matching. Potential restatement risk.

Revenue Leakagecritical
Missed early payment discounts

Team misses 2/10 eligible discount terms because invoices aren't processed fast enough. Estimated $3.6M/yr in missed savings.

Data Integrityhigh
No master vendor governance

Same vendor exists under 4 different names across systems. No deduplication, no master record, no cross-system ID mapping.

Process Gaphigh
No close status visibility

No consolidated view across 14 entities until controller manually checks each Excel file. 3 entities consistently miss deadlines.

System Fragmentationhigh
Dual expense systems

Ramp and Concur running in parallel across different entities. Neither integrated with NetSuite. Creates duplicate processes and reconciliation overhead.

Cash Visibilitymedium
Stale daily cash position

Cash position assembled manually every morning, delivered at 10:30am, already shifted from overnight settlements. CFO making decisions on outdated data.

Stale Reportingmedium
30+ day data lag

Leadership decisions based on data that's 30+ days old by the time FP&A delivers the variance package.