How to harmonize the Intercompany Matching Process in UPM

Abstract

This thesis is focusing on financial accounting and in particular on the process of intercompany matching in one of the biggest companies in forest industry-UPM. It gives an overall overview of the meaning of accounting for a company and of the importance of intercompany matching. The thesis describes the current situation of how the process is done and what kinds of hiccups exist within the process of intercompany matching. The aim of this thesis is to harmonize the process for all involved parties and to make the process easier and faster. This aim is achieved with a harmonized work instruction, which also will help to ease the introduction into this subject for non-experienced employees concerning this field. The theory that is used, is from accounting point of view. The information is based on an accounting book, internal controls from UPM, knowledge of colleagues and the author’s own knowledge. The result is a work instruction with a harmonized way of working concerning this process and harmonized documentation with help of a new create Excel reconciliation file. Furthermore some more suggestions for harmonizing and improving the IC-Matching process has developed which still have to be investigate more deeply by the company.