CIOPages.com Finance Value Streams (also known as Record to Report Value Streams) deliverable captures the end-to-end activity flows in the finance and accounting areas. The record to report value streams offers a structural basis to map and define/redefine a stakeholder experience and technology enable the accounting and finance processes efficiently and optimally. The accounting and finance value streams are a business architecture deliverable useful in representing the “How” to complement the “What” (a Capability). (These finance value streams are not the traditional LEAN value stream maps.)
What does the Finance Value Streams deliverable include?
- Finance Value Streams deliverable includes Level 1 and Level 2 activity flows.
- Each record to report value stream represents an activity flow to accomplish a goal/objective from a stakeholders’ perspective.
- The Finance (Record-to-Report) value streams are in PowerPoint format for ease of consumption.
What it is not and does not include?
- The Finance Value Stream maps do not include Visio or equivalent diagrams.
- The Record to Report value streams deliverable does not follow any structured modeling language or notation such as UML or BPMN etc.
- The accounting and finance value streams are higher-level flows and do not include detailed process maps.
- The value streams represented in this deliverable are not the Lean value stream mapping to reduce process inefficiencies
Which Finance Value Streams does this deliverable include?
|Capture transactions and journal entries||Aggregate financial transactions||Analyze and Adjust transactions||Reconcile the entries|
|Close books for Legal Entity||Consolidate||Report|
- As the CIOPages.com Finance (Record-to-Report) Value Streams Model is a digital product, there are absolutely NO Returns.
- Depending on your industry, the type of Finance and Accounting processes and practices you follow, some of the Value Streams may not be relevant to you.
- If you are a consultant or a consulting company, there is a different pricing, license, and terms.
- Sold on an as-is basis and no warranties
- This sale does not include implementation help or support. If you need professional services assistance, please contact us.
- Please review our standard terms of service.
What are Value Streams?
Business Architecture Value Streams are an end-to-end flow of activities depicted from a stakeholder perspective. Value Streams are the second pillar, alongside Business Capabilities, in the business architecture realm. In essence, if Capabilities are the “What,” the Value Streams are the “How.” Specifically, the Record to Report is a critical value stream in the finance and accounting area.
How should I use Finance and Accounting Value Streams and Processes?
- Leverage the value streams to figure out how an enterprise delivers value to a stakeholder.
- Identify the Flow and Value of a particular stream of activities and re-engineer for enhancing the experience and increasing the value of the outcomes.
- Mapping Value Stream stages to Capabilities on one hand and Applications/Services, on the other hand, helps understand the footprint and coverage of information technology that underpins the value streams and capabilities
- Analyzing the Value Streams and then juxtaposing with Stakeholder Journey Maps and Personas enables in optimizing the omnichannel experience.
But, our Company is Unique – will it fit us?
Of course, each company is slightly different regarding how some Value Streams work. However, while there may be divergence at the edges, there is a lot of convergence at the core. At most enterprises, you need to make journal entries, reconcile, record and report – the differences may be in the relative emphasis on the critical value streams and absence or presence of specific capabilities and competencies based on your unique needs.
Last but not least, we don’t expect our Value Stream Model (or any other model in fact) to fit you 100%. We hope you to take this as a straw model or a base and a springboard to achieve the level customization and specificity you desire.
What is my ROI?
The Value of Time Spent:
Typically, it takes a team of 5-7 to conceptualize and compose Finance and Accounting Record to Report Value Streams:
- A Product Manager
- Business Architect and/or Process Architect
- Enterprise Architect
- Finance and Accounting Functional Experts – 2 or 3 to represent the broad spectrum of F&A functional areas.
Now you can multiply the average hourly cost of the team and the hours spent, and you’ll get the story.
In addition to the time spent and the associated costs of drafting routine Value Streams, you also have an opportunity cost.
The ability to rapidly adding/deleting/modifying the base set of Value Streams will allow you the luxury of spending the balance of your quality time in conceptualizing and crafting different value streams. These new/refined value streams should capture the essence of your company and its practices, principles, and perspectives.
Of course, let’s not forget the “Day Job” each of the SMEs (subject matter experts) could be doing.
Instead of spending countless hours stretched across weeks or months, you can have a baseline of Value Streams in a couple of sittings. That helps you expedite and accelerate the transformation.