The problem

We wanted to automate the reconciliation of general ledger (GL) items to the bank within the finance ledger and not rely on inefficient processes and tools, such as Excel spreadsheets.

The challenge

• Our cash book and bank reconciliation were done manually by downloading general ledger (GL) data and bank statements which was a very manual time-consuming process.
• Our cash book was not held in the finance system, so it could be manipulated by anyone with access to the Excel spreadsheet. Multiple users also required access at the same time.
• All income and expenditure items were manually checked to the bank to ensure that they had cleared to the general ledger. This was not done every day, however it was still time consuming.
• Oracle Cloud has a cashbook (cash management) but no one in the NHS is using it, and there was no guidance from our provider or Oracle on how to implement it.

The outputs

• All bank statements load and reconcile in the finance system.
• Automated reconciliation of all GL transactions to the bank.
• All creditor payments clear automatically.
• All debtor cash is now cleared as receipting now uses a unique reference from cash management.

The outcomes

• Numerous hours a day have been saved by the implementation of this process.
• We now have an improved control environment. Bank statements are held in a system where segregation of duties ensures they cannot be tampered with and daily balances are checked for completeness.
• Users have access to live reports and all items are reconciled in the system.
• We have experienced an improvement in team morale. As a team we achieved something no other Trust using Oracle Cloud had done yet. To be the first of 40 trusts in our consortium has made the team feel valued experts in their field and collectively proud of their achievements. We have written the documentation which can be shared on request.
• Our internal auditor has commented that this system has improved our controls and is pleased to see less reliance on spreadsheets.