Intercompany Process Automation

Eliminate manual reconciliation of intercompany ledgers, which can consume hundreds of FTE hours monthly. A shared, immutable ledger ensures all entities see the same transaction history in real-time, enabling automated settlement via smart contracts. This reduces disputes, closes books faster, and frees finance teams for analysis.

• Real Example: A global manufacturer reduced its intercompany reconciliation time from 15 days to near-instant, cutting operational costs by 65%.

Provide regulators and auditors with a tamper-proof, chronological record of all intercompany transactions. This immutable audit trail simplifies compliance with transfer pricing regulations (like OECD guidelines) and SOX controls. Every entry is timestamped, signed, and linked, drastically reducing the cost and time of financial audits.

• Key Benefit: Creates a single source of truth that is verifiable by all parties, including external auditors, without manual data aggregation.

Unlock trapped cash in intercompany payables and receivables. Smart contracts can enable netting automation and dynamic settlement, settling balances net instead of gross. This reduces transaction fees and optimizes liquidity across the corporate group, improving Days Working Capital (DWC) metrics.

• ROI Driver: A multinational reduced its intercompany transaction volume by 80% through automated netting, freeing millions in working capital annually.

Extend automation to multi-tier supply chains involving subsidiaries. Use tokenized invoices and smart contract-based financing to provide early payment options. This improves cash flow for selling entities and offers yield opportunities for buying entities, all while maintaining full auditability on-chain.

• Strategic Enabler: Transforms the treasury function from a cost center into a profit center by creating new internal financial markets.

Remove the primary causes of intercompany disputes: mismatched data and manual errors. With a single shared ledger, terms, quantities, and prices are agreed upon and executed automatically. The cryptographic nature of transactions drastically reduces the risk of internal fraud or manipulation.

• Business Impact: Reduces legal and administrative overhead spent resolving disagreements between business units, fostering better internal relationships.

Provide the C-suite with verified, real-time financial data across all subsidiaries. This high-integrity data feed enables more accurate forecasting, budgeting, and strategic decision-making. Finance becomes a source of actionable intelligence rather than just a reporting function.

• The Bottom Line: Enables a shift from backward-looking reporting to forward-looking analytics, supporting better capital allocation and M&A integration.

The Pain Point: Monthly reconciliation between subsidiaries is a manual, error-prone nightmare, delaying financial close and requiring costly audit interventions.

The Blockchain Fix: A shared single source of truth records all inter-entity transactions immutably in real-time. Smart contracts enforce transfer pricing rules automatically.

Quantifiable Benefit: Automates reconciliation, reducing the financial close cycle by 30-50% and cutting audit costs by providing regulators with direct, verifiable access to the transaction ledger.

The Pain Point: Competing partners in a JV or consortium (e.g., in energy, pharma R&D) struggle with transparent cost-sharing, IP licensing, and revenue distribution, leading to disputes.

The Blockchain Fix: A neutral, tamper-proof platform manages shared assets, tracks contributions, and automatically distributes profits or royalties via smart contracts based on pre-agreed, immutable rules.

Business Value: Eliminates administrative overhead and builds trust among competitors collaborating on pre-competitive projects, accelerating innovation cycles.

Solves the "month-end close" nightmare for large conglomerates. A Fortune 500 consumer goods company automated reconciliations across 300+ subsidiaries, cutting the process from 15 days to 2 days and reducing FTEs required by 70%.

• Atomic settlement ensures internal transactions and external payments are synchronized, eliminating mismatches.
• Real-time subsidiary ledger provides CFOs with a consolidated, up-to-the-minute financial view.
• Dramatically reduces audit scope and cost due to provable transaction history.

Combats counterfeit drugs and ensures regulatory compliance. A major pharma network implemented a track-and-trace system that increased supply chain visibility, reducing counterfeit incidents by over 90% in pilot regions.

• Each product unit is assigned a digital twin on-chain, tracking from manufacturer to pharmacy.
• Smart contracts enforce temperature and handling rules, auto-flagging exceptions.
• Provides an immutable pedigree for regulators (FDA, EMA) and builds consumer trust.

Automates complex, conditional payments across general contractors, subcontractors, and suppliers. A European infrastructure project reduced payment disputes by 80% and accelerated contractor payments by an average of 30 days.

• Milestone completion is verified by independent engineers, with payments released automatically via smart contract.
• Lien waivers and compliance documents are digitally attached to payments, reducing legal overhead.
• Creates a transparent, indisputable record for all stakeholders, from investors to regulators.