Finance4U™ Regulatory Reporting

Situation

Utilities have unique and complex financial requirements, including FERC and regulatory reporting. Finance4U Regulatory Reporting streamlines the process and saves valuable time in preparing and managing rate cases.

Challenges

Regulatory Reports are created manually (typically in Excel) based on disparate financial plans and systems, which is time consuming and results in data duplication.

When regulators have questions, it is difficult to trace back specific figures and assumptions for cost variances.

Technology Innovation

  • Adds utility-specific financial reporting to SAP, utilizing the innovations in the S/4HANA platform
  • Automates the regulatory reporting process, so staff can populate, verify and file reports 50 – 75% faster
  • For regulatory reporting, reduces the effort to create a rate case and respond to regulatory and intervener questions using enhanced traceability functionality
  • Provides the ability to perform complex “what-if” analysis for rate case planning

Reporting Package

List of reports based on unified journal entry table and real time FERC derivation:

  • GAAP Balance Sheet and Income Statement
  • FERC Balance Sheet and Income Statement
  • Statement of Equity
  • Statement of Retained Earning
  • Utility Cost Flow Tracing Report
  • Ad-hoc analysis template for all GAAP/FERC data
  • Custom report capable

 

Value Drivers

  • Real-time FERC derivation and regulatory reporting. No reconciliation is needed between FERC ledger and GAAP ledger
  • Ability to create custom FERC account hierarchies to facilitate regulatory reporting and real-time correction of FERC derivation through the solution’s custom SAP Fiori app
  • Integration between planning and actual financial data. Unified financial and regulatory planning and reporting
  • Ready-to-use reporting and KPI contents for utilities industry. Leverage user-friendly front-end and familiarity of Microsoft Office workbooks

Process Innovation

Real-time cost flow tracing shows all the detailed origins and purposes of costs broken down by: vendor, invoice number, personnel, materials, G/L account, FERC account, etc.

Cost flow tracing logic for both O&M and capital. In addition, the FERC view of lower cost objects can be achieved.

Bi-directional cost flow tracing:

  • Backward tracing from receiving cost center or asset all the way to the original cost center
  • Forward tracing from original cost center to the final receiving cost center or asset

Ready to use back-end tracing logic and front-end report templates, which is not provided by standard SAP FI-CO module.

To schedule an expert briefing, contact us at bettersolutions4U@utegration.com