Renzo DemartiniCase studies / Control
Month-end close from 21 days to 5, then from 10 to 5.
The reporting and the close rebuilt at two businesses in a row, as CFO of a manufacturer and then Head of Finance of a renewable-energy retailer.
In short
- Two closes rebuilt, and reporting the board used for capital allocation.
- The close went from 21 days to 5 at the manufacturer, and from 10 days to 5 at the retailer. In both, the board used the new reporting for capital allocation.
01 The case · CFO, then Head of Finance
Situation, what I did and the result.
- 21→5Days to close, at the manufacturer
- 10→5Days to close, at the retailer
- 2Boards using the reporting for capital allocation
- SituationA slow month-end close at two businesses in a row: a manufacturer, as CFO, then a renewable-energy retailer, as Head of Finance.
- What I didI rebuilt the reporting and the close process at both. As CFO I also built a rolling-forecast model.
- ResultThe close went from 21 days to 5 at the manufacturer, and from 10 days to 5 at the retailer. In both, the board used the new reporting for capital allocation.
02 For your business
What it means for your business.
A faster close is the means. Decisions on capital allocation are the outcome. Most of the days in a slow close are not work: they are waiting, plus rework. The fix is to remove them in order: cut-offs, reconciliations, accruals, ownership, a close calendar, then automation where it removes waiting.
The full sequence is in How a month-end close went from 21 days to 5. It usually starts with a Diagnostic.
03 Questions
Common questions.
Does a 5-day close mean cutting corners?
It shouldn’t. Track adjustments made after the close, and watch the team. If day 5 needs late nights and heroics, the process isn’t fixed.
Can you get the same result in my business?
Results from past roles aren’t a promise of what will happen in yours. Mapping your current close, task by task with the waits marked, shows where the days go.
Keep reading
Related reading and more case studies.
- Finance operations
How a month-end close went from 21 days to 5
A slow close is rarely one big problem; it is many small waits, and the fix is to remove them in the right order.
Read → - Reporting
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Read the case study → - Case study · Reporting and systemsA$300K
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Read the case study → - Case study · IntegrationA$100K
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Financial due diligence and the post-merger integration, with growth into a new region.
Read the case study →
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