In a significant leap towards enhancing the efficiency and accuracy of intercompany accounting processes, BlackLine, Inc. has introduced a pioneering solution – AI-enabled intercompany accounting capabilities known as ‘Intercompany Predictive Guidance.’ This development underscores BlackLine’s commitment to fostering innovation within the financial industry.
Intercompany transactions have long posed complex challenges for businesses, involving vast numbers of transactions each month, often with a cumulative value several times a company’s reported revenue. These transactions span geographical boundaries, currencies, and various enterprise resource planning (ERP) systems. The complexities of intercompany transactions, exacerbated by data quality issues and omissions, have made transaction failures a pressing concern for organizations. Such failures lead to delays in billing, invoicing, reconciliation, and settlement, causing inefficiencies and frustration in intercompany operations.
Intercompany Predictive Guidance, utilizing artificial intelligence and machine learning, analyzes an organization’s transactional data to preemptively identify potential issues and risks that could impact financial close processes and data accuracy. This innovative solution highlights high-risk transactions, clarifies risk factors, suggests immediate corrective actions, and offers guidance for future transactions. By adopting Intercompany Predictive Guidance, organizations can significantly reduce, and sometimes eliminate, transaction failures, leading to substantial time and cost savings.
BlackLine’s Co-CEO, Therese Tucker, expressed her enthusiasm for this groundbreaking functionality, stating, “Intercompany Predictive Guidance leverages the power of AI to address the real challenges faced by intercompany teams daily. It empowers them to be more proactive and focus on strategic work rather than reacting to issues.”
Don Ryan, Chief Strategy Officer at HFS Research, emphasized the significance of this innovation, noting, “Intercompany reconciliations have long burdened accounting teams with their high volume, frequent data inconsistencies, administrative and manual work, prolonged lead times, and stringent compliance and regulatory risks. Implementing AI solutions like BlackLine’s Intercompany Predictive Guidance can result in cost savings and enhance the reputation of companies of all sizes.”
Initially, Intercompany Predictive Guidance will be available for BlackLine’s Intercompany Non-Trade solution, which manages and automates services-related transactions. This introduction aligns with BlackLine’s overarching strategy to provide comprehensive solutions aimed at delivering tangible value for the office of the CFO.
BlackLine, Inc. continues to be at the forefront of digital finance transformation, striving to improve the efficiency and accuracy of intercompany accounting processes while fostering innovation within the industry.