Post on 11-Apr-2022
TaylorMade GolfA growing up year: Oracle Financial
Consolidation and Close Cloud and
TaylorMade
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Speakers
Vanessa Koenig
Sr. Financial Analyst
TaylorMade Golf
vanessa.koenig@taylormadegolf.com
Pamela Stone
Manager
Grant Thornton
pamela.stone@us.gt.com
Lakshmi Devulapalli
IT Project Manager
TaylorMade Golf
lakshmi.devulapalli@taylormadegolf.com
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About Grant Thornton
Office locations
Reach
Our services
59 offices spread across 30
states and Washington D.C.
Serve 36% of companies on the
2017 Fortune 500 list and 25% of
companies on the Russell 2000 list
• Assurance • Tax • Advisory
PeopleMore than 8,500
professionals in the U.S.
Partners594 partners serving more
than 8,000 clients in the
nation
RevenueGT U.S. net revenue equals
$1.74 billion
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About TaylorMade Golf
Established: 1979
Employees: 1200 +
Headquarters: Carlsbad, California
Markets: US, Europe, Canada, Japan, Korea, APAC
Customers: Golf distributors, retailers, retail customers
Retail: 89% Wholesale, 11% Direct to Consumer
Distribution: Global, across multiple countries
ERP: EBS R12.1.3+
Leading global golf brand of golf clubs, balls, bags and accessories
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Business needs
2018 was the first full year TaylorMade started doing business on its
own.
The consolidation tool should:
• Assist in the preparation of monthly, quarterly and annual financial
statements
• Allow the addition of new entities as the company grows
• Facilitate intercompany eliminations
• “Out of the Box” application that allows minor customizations per
the company’s business needs
• Flexibility in reporting based on company’s internal attributes
(separate or combined)
TaylorMade was spun off from adidas during Q4 of 2017 and initiated a project to establish
its own consolidation and reporting application as a standalone company.
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Requirements: consolidation & reporting
• Multi-currency application allowing
analysis of legal entities in their
local currency and translated USD
value
• Dimensions that align with the
EBS account fields – accounts,
entities, cost centers, etc.
• Data integration with multiple
sources including Oracle EBS
• Preparation of monthly, quarterly,
and annual financial reports ready
for audit and published to the
leadership team, as well as,
external parties
• TaylorMade needed to maintain the
same level of reporting they had prior to
the separation, i.e. the ability to slice and
dice data by the following company
attributes:
- Brand – multiple brands (i.e. TaylorMade, Ashworth, Adams etc.)
- Cost Centers – need to analyze various overhead costs
- Product Line –multiple product lines (i.e. Metalwoods, Irons, Putters, Golf Balls, etc.)
- Management Business Unit (MBU) –areas of business responsibilities that roll under each legal entity. Today, there are more than 20 different MBU's across the company
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Application selection. Why FCC?
• Global solution
• Integrated platform
• Financial reporting
• Intuitive UI
• Data integration with EBS and flat files
• Cloud infrastructure
• Scalability for company’s future growth
PBCS
PSPBCS
PBCS Enterprise
FCCSEPM
Cloud Platform
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Growing up with FCCKey issue:
During the FCC design session in 2017, it became clear that the standard 2 custom dimensions
application of FCC would not be sufficient for TaylorMade, due to their multiple reporting attributes.
Additionally, TaylorMade needed to be off of the adidas consolidation tool (SAP GRAPE) by mid-2018.
Journey:
• The waiting time (not expected from initial time estimates)
• Commitment of resources
• Realigning expectations to the leadership team
• Start and stop of the implementation
• Deadline rush/Cramming
• Preparing for year-end audit sign-off of historical data (GRAPE & FCC were different)
• GT working on a solution with Oracle
• TaylorMade trusting GT & Oracle to deliver on an application to report
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Growing up with FCC, cont.Decision:
• Participate in the Oracle preview program for Extended dimensionality.
• Continue FCC implementation with 2 custom dimensions in order to go live by mid-2018.
Work-around:
• Cost Center was set up as its own custom dimension
• Brand and Product Line were combined into one custom
dimension
• Product Line populated the attribute dimension
• MBU was rolled into the Entity dimension
• Data matching/validation with prior application account
structure to FCC structure
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Work-around
In preparation for combining Brand and Product
Line into one dimension, we decided which
attribute would be the main outline of the
dimension and which one would populate the
Attribute Dimension. We decided on the brand
dimension because it was more widely and
frequently used.
Step 1: Set up the brand dimension members
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Work-around, cont.
Step 2: Set up the Attribute values
under the Brand's Custom Attribute
Populate the Attribute Dimension
with the Product members
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Work-around, cont.
Finished product
Custom dimension that presents
the combination of TaylorMade
Brands and Product Lines
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Smart View
Using Smart View
Product Line (Attribute
Dimension) is available under
Member Selection. Provides
the same functionality as other
dimensions.
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Smart View, cont.
Like other FCC dimensions, the Product Line works in conjunction with the
other dimensions, including the Brand dimension, to provide additional
analysis.
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Report Writer
Using Attribute Dimension in
Report build
• Brand – selectable by user
• Product Line – part of the
grid and attached to an
account
All feasible due to Attribute
Dimension
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FCC system gainsWith the implementation of FCC, the company has gained savings in their close process by:
• Creating FCC rules to automatically calculate a Key Performance Metric- Previously the process required a manual extraction of data into excel to
perform a calculation within the spreadsheet before being able to book a journal entry
- 3 steps decreased by a rule that generates a value during consolidation
• Using data management mapping to transform an EBS non-intercompany account with the supplied intercompany code to an FCC intercompany account
• Automating loads from on-premise Oracle EBS application by using EPM Automate
• Streamlined and efficient consolidation process - Validation of each entity, followed by the click of a button to translate and
consolidate
- Has shortened the process by approximately 2 days
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Team improvementsThe participation of the TaylorMade team members in the implementation of FCC, allowed
them to see other areas they could leverage with the new consolidation tool:
• Revamping of the chart of accounts for consistency across
the board: Creation of a policy to instruct all legal entities on
what type of activity should be used for each account
• Setting the standard: Regional training on accurate data
submission, allowing the corporate team to spend more time
analyzing results versus making adjustments
• Accountability at the regional level: Education of the regions
on how to use Smart View to validate and analyze their
financials once consolidated
• Overall project implementation allowed the team to identify
and resolve reporting issues to ensure more accurate and
consistent reporting
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Still to come…Due to the timing of when TaylorMade had to be functioning using its "own" consolidation
tool, the FCC implementation focused on going live with an application that would allow
them to report effectively and efficiently.
• We are not done taking advantage of what Oracle EPM has to
offer, the following initiatives are in the works:
• Parallel close in the FCC 4 custom dimension
- Go-live January 2020
• Utilizing task manager and engaging regions by
assigning them tasks
• Fully automating the EBS loads
• Implementation of PBC
- Go-live September 2019
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Questions?