Does any of that sound familiar?
Our lease processing is not working as it should and we cannot identify the reason.
“IFRS reporting appeared satisfactory but now each month-end closure poses a risk.”
“The month-end valuation triggers messages we investigate for hours. Sometimes the issue is the depreciation sometimes the wrong local accounting standard and Finance is waiting…”
Every month the valuation run produces messages we investigate for hours. Sometimes it is a depreciation that did not take place. Sometimes it is a rental agreement that is too complex and gets stuck in the system and at the very least causes rounding errors. But the result is the same in every case: the reconciliation account never balances to zero. We have practically built a personal list of contracts we do not touch. Finance asks why the lease liability shifted by tens of thousands and we tell them it is under review.
(The System Health check is freely accessible without registration.)
Our lease processing is not working as it should and we cannot identify the reason.
“We are stuck right now.”
A project a migration or an operational decision has come to a halt and every week of delay makes the next step more expensive.
Our IFRS 16 work has stalled. Every way forward requires a decision nobody wants to take. The team handles daily operations plus three half-started initiatives. Escalations come back with “let us discuss next quarter.” Meanwhile the planned interface to the fleet management software remains unimplemented and still waits for someone to decide when the work begins.
(for registered users. If you are not registered yet,
you can register as an operator.)
Our lease processing is not working as it should and we cannot identify the reason.
“Our SAP RE-FX inhouse consultant is leaving soon and his expertise leaves with him.”
Key people are leaving within the next six months. Their knowledge is not documented. We have time but no plan.
Two or three people hold the operational knowledge of our RE-FX system. They know which condition types are triggered when which workarounds exist because a migration left something broken and why the cost centre structure has three exceptions. When they leave that knowledge leaves with them because it was never written down and we are not sure we could extract it even if we tried.
(full access for registered users. If you are not registered yet,
you can register as an operator.)
Our lease processing is not working as it should and we cannot identify the reason.
For corporate real estate, RE-FX is rarely the centre — which caused specific issues
For industrial groups wholesalers and telecoms SAP RE-FX arrived when IFRS 16 turned operating leases into a balance-sheet matter. It was built to satisfy the audit. Capitalise the leases produce the disclosure close the year. The figures are correct. What the configuration was never designed to carry is the strategic question. What the branch network the fleet or the machinery portfolio actually costs and where to renegotiate or exit. And because the module is positioned between Finance IT and facility management it is administered but no one takes ownership. No one budgets for it. No one is accountable for it. Until growth an audit or a CSRD disclosure forces the question.
The three situations above are three different entry points into the same neglected module. Each has its own answer and each begins in the same way. By reading the system as it actually is not as the project plan assumed it would be.
Our lease processing is not working as it should and we cannot identify the reason.
This is for corporate organisations managing their own real estate portfolio or multiple lease contracts.