The Last Mile of Finance is a term that describes the business processes and activities thattake place between the trial balance and the filing of SEC-required statements and otherstatutory reports. At present, the Last Mile has become much tougher to traverse due to newregulatory disclosure requirements including eXtensible Business Reporting Language (XBRL)and efforts to enhance Internal Controls over Financial Reporting (ICFR).
The penalties for getting financial statements wrong or filing them late can be extremelycostly. They include Security Exchange Commission (SEC) fines and technical defaults on debtand bonds, not to mention negative exposure on stock price and a higher cost of capital. Simply put, organizations have strong motivation to avoid these penalties.
Automation of the Last Mile supports the growth of the CFO’s mission, as it builds efficiency and integrates information throughout the enterprise. A purpose-built software solution forthe Last Mile can enable finance to navigate the data to catch anomalies, drill down to checkdetails, and map the XBRL tags just once, with automatic carryover to successive reporting periods.