Intrachain — the solution to problems any firm faces today
We from Intrachain are very proud to have developed a product which solves the three most significant problems every firm faces in today’s world.
The aforementioned problems that every corporation faces today are: Inefficiency, human error, and inaccurate data.
Inefficiency
Firstly, in today’s business world, 90% of companies manually reconcile using MS Excel spreadsheets, a technique that is considered highly inefficient. To highlight this inefficiency problem, EY estimated, that within finance teams at banks and insurers, between 50 and 100 working days are lost each month reconciling differences (EY, 2016). Consider the following example: A corporate group can have up to hundreds of subsidiaries. Furthermore, it is estimated that accountants of these corporate groups spend 75 working days a month with reconciliation. Therefore, the corporate group has to invest double-digit millions in personnel costs each years to hire accountants that reconcile differences.
Human error
The next problem companies face, is human error. Manual reconciliation is a technique that has also proven to be prone to human error. As management calls for faster closure, finance teams are facing a trade-off between speed and accuracy, leading to accounting errors and certain open or unreconciled items being carried forward (TATA Consultancy Services, 2017). The cost of correcting these mistakes is usually several multiples of the cost of initially completing them correctly (AccountingTools, 2017).
Inaccurate data
Finally, subsidiaries and business divisions are often separate legal entities operating with a high degree of autonomy across dispersed geographies, sometimes operating in multiple currencies, in different time-zones, and using different accounting systems (financier worldwide, 2013). As complexity increases, collecting accurate data becomes more challenging. Insufficient Intercompany Accounting (ICA) practices can have financial costs due to inaccurate reporting, or because strategic or operational decisions were based on inaccurate data.
Intrachain’s solution: The first process mining software with an integrated blockchain
After having revealed the probelms which — without exception — every firm faces, let me now explain how Intrachain will revolutionize intercompany accounting.
To solve the aformentioned problems, Intrachain has developed the first process mining software with an integrated blockchain for intragroup cost allocation and transactions, which can avoid the flaws of manual reconciliation processes as performed by many large corporations to date and can satisfy the demand for automation.
Integrating blockchain technology into this process mining engine is the pivotal solution for companies to keep track of their cost transaction accuracy. With the Intrachain Token, they can from now on guarantee save, transparent and accurate cost allocations and transactions within their subsidiaries.
Intrachain’s process mining engine is thereby collecting all needed data and transactions at its source from the operative provider IT system of the customer. Then, the relevant data are transformed automatically into smart contracts on the blockchain. In a next step, these smart contracts are executing account keeping, booking and payments via the Intrachain Token.
How will big corporations benefit from Intrachain?
Due to the decentralized storage of information, all parties now have the same information. This leads to manual reconciliation becoming obsolete, saving companies valuable time and money. The automation process furthermore helps to erase human errors, leading to a better quality of data and eliminating common problems and risks associated with reconciliation.
We strongly believe that Intrachain helps companies to optimize their processes and maximize their revenue.
