Management Control
From financial and operational numbers to a shared view of performance.
The problem
The margins are there, but nobody can explain them.
Accounting and the ERP give two different figures for the same product or customer.
Shared costs are allocated with historical percentages nobody remembers.
Budget and actuals are compared late, by hand, in spreadsheets that do not tie out.
Our contribution
A management control model must explain how results are formed and where they belong. We start with the objects that matter to the business — products, customers, jobs, cost centres or business units — and connect accounting records with operational activity. We separate direct costs, shared costs and allocation rules, making the assumptions behind each margin measure and any gaps in the available information explicit.
We connect actuals, budgets and forecasts through comparable periods, dimensions and rules. Variances can then be examined by volume, price, mix or cost absorption where the data supports that analysis. Accounting reconciliations, management adjustments and plan versions remain traceable. The work also defines ownership, checks and closing steps needed to use the model in subsequent reporting cycles, so that changes in performance can be distinguished from changes in the calculation itself.
What the work covers
Costs and margins
We structure revenue and costs by analysis object, distinguishing contribution margins, allocated costs and amounts left unassigned.
Allocation drivers
We define allocation bases that reflect operations and make their sources, formulas and effects open to review.
Budgets and forecasts
We connect operational assumptions with financial values, retaining versions and scenarios to compare plans, revisions and actuals.
Closing and variances
We organise reconciliations and adjustments, break down material differences and assign each to the right owner.
What takes shape
Practical work products, scoped to the engagement.
- The problem
- The analysis
- The result
| # | Work product | What it contains |
|---|---|---|
| 01 | Financial control model | Documented analysis objects, hierarchies and calculation rules for costs and margins within the agreed scope. |
| 02 | Reconciliation schedule | A bridge between accounting and management figures, identifying differences, adjustments and exclusions. |
| 03 | Control cycle | A planning and reporting structure, closing checks and responsibilities for updating and interpreting results. |
Six stages
The assessment path
Check whether costs, margins and variances tell the same story in the accounts, the business systems and the reports.
A bounded engagement, with scope and fee agreed before work begins. If you go ahead with the project, the assessment fee is deducted from the follow-on engagement.
| # | Stage | Control-cycle map | Findings and priorities | Initial action plan |
|---|---|---|---|---|
| 01 | Interviews with management and financial controllers: objectives, recurring decisions, reports in use. | yes | no | no |
| 02 | Mapping of the planning and control cycle: budget, forecast, period close, reporting calendar. | yes | no | no |
| 03 | Analysis of the cost and margin model: cost centres, allocation rules, margins by product, customer or job. | yes | yes | no |
| 04 | Review of reconciliations between management and accounting data: tie-out points, differences, manual adjustments. | no | yes | no |
| 05 | Review of indicators and variance analysis: definitions, owners, readability. | no | yes | no |
| 06 | Priorities and an initial action plan. | no | yes | yes |
What you receive
- A
- Control-cycle map
- B
- Findings and priorities
- C
- Initial action plan
Two ways to start.
01 · Free data check-up
Start with a data check-up.
About an hour online, a written summary within five working days. No cost, no obligation.
- 01RequestAsk for the check-up through the contact form.
- 02Online meetingAbout an hour to trace systems, sources, reports and weak points.
- 03Written summaryWithin five working days: current situation, issues and recommended path.
- The situation
- The issues
- The path
02 · Service assessment
Go straight to the assessment.
If you already know this service is the one, we start with the six stages below.
- 01Interviews with management and financial controllers
- 02Mapping of the planning and control cycle
- 03Analysis of the cost and margin model
- 04Review of reconciliations between management and accounting data
- 05Review of indicators and variance analysis
- 06Priorities and an initial action plan