This paper analyzes, evaluates, and recommends Reengineering of a Corporate Financial System (CFS) that is currently in operation in a leading global communication company. The analysis highlights the problem areas in the CFS regulatory financial statements of the Fortune 500 Company. As a result of this Reengineering process, a new state‐of‐the‐art system will be proposed that will eliminate the existing bottlenecks.
The initial purpose of the CFS was to serve the regulatory requirements inherent in the communication services line of the business. Over time, however, the system has evolved to support multiple business units. Today, the CFS General Ledger process serves the financial community of the corporate Communications, Communications Products, Information Management Services and Corporate Headquarters business units and divisions. The purpose of the CFS General Ledger System is to receive, on‐line, detailed financial data from various feeder systems, perform validations and balancing, allocations, update the General Ledger data base, and provide financial data for downstream systems in order to satisfy legal, regulatory, accounting and management decision making requirements. These functions are supported by numerous systems referred to as the “CFS Family of Systems”. They include the Corporate Financial Input System (CFIS), CFS Daily, Individual Allocation Systems, Corporate Financial Inquiry and Reporting System (CFIRS), and the Financial Reporting System. The on‐line interaction among these systems is analyzed in this paper.