Case Study: ERP Planning and Financial Controls Training
Preparing for Scalable Growth in Furniture Manufacturing
Discover how we helped a rapidly expanding furniture manufacturer evaluate systems, address accounting gaps, and prepare its internal team to scale financial operations confidently and sustainably.
Operational & Financial Challenges
The Company—a binational furniture manufacturer—produced all goods through a maquiladora in Mexico while its U.S. entity managed sales, marketing, finance, and administration. With rapid growth projected to continue, leadership engaged us to evaluate the business from an accounting perspective and identify what changes were needed to support that expansion.
We quickly identified several core issues. The Company lacked standard pricing, standard costing, and reliable tracking of direct costs by product or project. Key operational and financial data was managed in Excel, and all accounting was done through QuickBooks, offering little inventory visibility.
This setup made margin analysis nearly impossible and forecasting extremely limited.
Beyond system limitations, the Company had no internal team with technical accounting experience. Intercompany balances between the U.S. and Mexican entities were never reconciled. The controller, while knowledgeable in operations, lacked accounting depth and relied on a third-party CPA for financials, but their responses often failed to provide clarity, especially around balance sheet concerns.
Our Approach
1
Inventory Controls & System Evaluation
2
Controller Training & Financial Coaching
3
ERP Planning & Integration Readiness
From our first meetings, it was clear better inventory management tools were essential. We led the process of evaluating inventory modules compatible with QuickBooks—reviewing seventeen systems and narrowing the list to three based on functionality and integration capability with the Company’s proprietary manufacturing software.
Simultaneously, we began meeting regularly with the Company’s controller to train them on foundational accounting practices. This included month-end planning, balance sheet and P&L reviews, and the principles of cost accounting—all geared toward enabling internal ownership of the financials.
Ultimately, after reviewing integration limitations, we advised that a full ERP conversion would be necessary to truly support growth and reporting needs.
The Results
After extensive system vetting, we concluded that an ERP platform would better serve the Company’s long-term goals. We are now actively collaborating with the Company and an ERP integrator to manage this transition.
In parallel, we continue holding weekly meetings with the controller, walking through the existing third-party financials and providing hands-on coaching. The goal: to empower internal ownership of the month-end close and enable the controller to eventually manage financial statement preparation independently.
Achieve Financial Clarity with CFO Hub
Discover how CFO Hub can transform your financial operations. Reach out to us today to explore similar case studies or discuss how we can tailor our services to meet your unique business needs. Let us help you achieve clarity and confidence in your financial reporting.