All Steps at a Glance – Consolidation 2

Last updated on 2025-07-08

Overview

Before you can perform consolidation using Lucanet Consolidation 2, you must first create and configure the necessary elements and apps.

Which elements you need to create depends on the organization and the structure of your company and on the chosen consolidation method.

As the required elements are based on and linked to each other, we recommend that you follow the sequence of steps described here.

Create prerequisites

Before you set up the consolidation, you must first create the necessary prerequisites on the Lucanet CFO Solution Platform. This includes:

Map the accounting structure of your enterprise. The elements that need to be created depend on the structure of your enterprise.

Items and accounts in the general ledger

Create the items and accounts for the general ledger (see section Elements in Ledgers and Schedules).

Subledgers

Create the subledger(s) and the corresponding items, accounts and references. (The procedure for this is described in the Lucanet Financial Client online help.)

Statistical ledgers

Create one or more statistical ledgers and the corresponding items, accounts and references (see section Creating and Configuring a Statistical Ledger).

Schedules

If necessary, create the required schedules (see section Creating and Configuring Schedules).

In the Reporting entities workspace, reporting entities into which your financial data are imported, are defined:

Define reporting entities

Define all companies of your group as reporting entities (see section Reporting Entities).

Import financial data

Import your financial data into reporting entities (see section Importing Data Into Reporting Entities).

Partners are used during consolidation to provide partner information for the intercompany transactions for postings and data imports.

You can create and configure partners in the workspace of the same name (see section Partners).

If transactions are made in different currencies in your company, you must first create the possible transaction and display currencies (see Section Creating and Configuring Currencies) and define exchange rate tables for the currencies (see Section Creating and Configuring Exchange Rate Tables).

If all requirements necessary for your company have been set up, you can proceed as follows with the configuration and execution of the consolidation:

Defining the Group Structure

Define your group structure in the Groups workspace.

Create a group

The group is the basic element of your company for consolidation (see section Defining the Group Structure).

Create consolidation dimensions and consolidation dimension elements

Consolidation dimensions are used to define all the elements of an enterprise that can be consolidated together, such as companies, or other entities that are economically related.

For each of these elements within a consolidation dimension, a consolidation dimension element must be created (see section Consolidation Dimensions and Dimension Elements).

Create consolidation area(s)

Consolidation areas are the object of consolidation in which the consolidation is executed. Consolidation areas are used to summarize all consolidation units that are to be consolidated together.

If a group consists of several foreign currency companies, all relevant exchange rate tables of the individual consolidation units must also be stored here (see section Consolidation Areas and Units).

Defining Organization Elements

Create the following in the Organization elements workspace:

  • References to consolidation areas, consolidation units, or consolidation unit groups
  • References to reporting entities to reporting entity, cost centers or cost center groups

For more information, see Organization Elements.

Defining adjustment level(s) for consolidation postings

Define the adjustment levels in the Adjustment levels workspace on which the postings related to consolidation are made (see section Creating Adjustment Levels for Consolidation Postings).

Defining Consolidation Apps

The investment relationships and consolidation methods as well as the amortization of goodwill and, if necessary, the translation with historical exchange rates, are adminstrated in the master data (see section Administrating Master Data).

Creatind Consolidated Financial Statements

Create a Consolidated financial statements element for each time period and data level to be consolidated (see section Creating Consolidated Financial Statements).

Creating and Configuring Apps for Consolidation
Configure data transfer and proportioning

With the app for Data transfer and proportioning you can automatically transfer the single-entity financial statement figures according to the investment relationships and prepare them for consolidation, including transaction type adjustments (see section Creating and Configuring Data Transfer and Proportioning).

Creating and Configuring Consolidation Apps

Depending on the method required for consolidation in your group, create the necessary consolidation apps (see section Creating and Configuring Consolidation Apps).

The following apps are currently available in the Lucanet CFO Solution Platform:

  • Equity elimination
  • Elimination of intercompany debt
  • Elimination of intercompany income and expense

Executing the Consolidation

Execute the consolidation, i.e. The consolidated financial statements and all apps contained therein, and thus generate the consolidation postings and reports (see section Executing the Consolidation).

 

You can display the postings and reports that were created via the Created elements tab in the respective app or from the overview table.