Business Challenge:
When looking at consolidated statements, it can be difficult to identify factors that are affecting a company's costs. Breaking up the consolidated statements and analyzing the individual company performance can be tedious and time-consuming.
Our Solution:
This accounting firm initially loaded the consolidated financial statements for a family of four restaurants. We suggested they run each of the entities to evaluate their individual performance. Our application was able to identify that 3 of the 4 restaurants had labor costs slightly lower than their peers while they fourth entity had labor costs 10% higher than peers. The performance of the first three masked the higher costs in the fourth when evaluating the consolidated statements.
Result:
The partner was able to meet with the client to review the reports and analysis, and help the client dig into the higher labor costs within the fourth restaurant.