Intercompany Payment Automation for a 3-Entity Manufacturing Group on BC27

Multi-Entity Manufacturing Group

Intercompany Payment Automation for a 3-Entity Manufacturing Group on BC27
Client Profile

A manufacturing group with 3 entities (parent company + 2 subsidiaries) producing auto components across plants in Gujarat and Maharashtra. Combined revenue: ₹200 Cr+. 120+ BC users across finance, supply chain, and production.

The Challenge

3 Days of Manual Intercompany Reconciliation Every Month — With Errors That Cascaded Into Financial Reports

The group's 3 entities operated on separate BC instances with different chart of accounts structures. Intercompany transactions — stock transfers, shared service allocations, cross-company sales — were recorded manually through journal entries. Every month-end, the finance team spent 3 full days manually reconciling intercompany balances across the 3 entities. A single journal entry error could cascade into incorrect consolidated financials. By the time the error was caught — often weeks later — the books were already closed and the auditor had to be notified. The CFO described it as 'the most stressful 3 days of every month for my entire team.' They needed intercompany automation that would work across different BC instances, maintain a full audit trail, and eliminate manual reconciliation entirely.

Our Solution

Custom BC27 AL Extension with Cross-Company Data Serialization, Automated Approval Workflows, and Event-Driven Posting Logic

We designed and built a BC27 AL extension that automated the entire intercompany transaction lifecycle. The solution included: (1) Cross-company data serialization — translating transaction data between different chart of accounts structures automatically. (2) Configurable approval workflows — intercompany transactions route through entity-specific approval chains before posting. (3) Event-driven posting logic — when Entity A posts a sales invoice to Entity B, Entity B's corresponding purchase invoice is auto-created and posted, with correct GL mappings, using event subscribers. (4) Real-time intercompany reconciliation dashboard — showing matched and unmatched transactions across all entities. (5) Full audit trail — every automated posting logs who initiated it, who approved it, and what GL entries were created. The extension was built as an upgrade-safe AL extension (no base code modification) and deployed across all 3 BC instances over a weekend cutover with zero business disruption.

AL Language
Business Central 27
Azure Functions
REST APIs
SQL Server

The Result

Intercompany Reconciliation: 3 Days → 20 Minutes. Zero Errors. Full Audit Trail.

3 Days → 20 Min
Monthly Reconciliation Time
0
Reconciliation Errors Post-Go-Live
100%
Audit Trail Coverage
Weekend
Cutover Duration
What used to be the most stressful 3 days of our month is now a 20-minute automated process. Our auditor was genuinely impressed with the audit trail — every intercompany transaction is traceable from initiation to posting in both entities.
GC
Group CFO
Multi-Entity Manufacturing Group

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