@BDO USA Tax · 2014-04-10 · BDO KNOWLEDGE Tax Webinar Series ‒ Tax Department Automation: Top 10 Factors to Help Ensure Success Page 1 @BDO_USA_Tax BDO USA, LLP, a Delaware limited

BDO KNOWLEDGE Tax Webinar Series ‒ Tax Department Automation: Top 10 Factors to Help Ensure Success

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@BDO_USA_Tax

BDO USA, LLP, a Delaware limited liability partnership, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms.

BDO USA, LLP, a Delaware limited liability partnership, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms.

BDO KNOWLEDGE Tax Webinar Series Tax Department Automation: Top 10 Factors to Help Ensure Success Cindy Frank, CPA, Senior Director – Tax Process Transformation Services, BDO USA, LLP

Sarah Whitmyre, CPA, Manager – Tax Process Transformation Services, BDO USA, LLP

Christina Alarcon, Senior Manager – Tax Process Transformation Services, BDO USA, LLP

Barbara Torzewski, Manager – Tax Process Transformation Services, BDO USA, LLP

Joanne Rogers, Senior Manager – Tax Process Transformation Services, BDO USA, LLP

April 10, 2014


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@BDO_USA_Tax

CPE and Support CPE Participation Requirements ‒ To receive CPE credit for this webcast:

You’ll need to actively participate throughout the program. Be responsive to at least 75% of the participation pop-ups.

Certificate of Attendance: If you are logged in the entire time and respond to all participation pop-ups, you will be able to print your certificate from the “Participation” section at the end of the webcast. If you log out before printing your certificate:

BDO USA professionals ‒ CPE will automatically be issued in CPE Tracking & Reporting at the end of every week. A copy of your certificate will be sent after you have been issued credit.

All others will be emailed instructions on how to access your certificate.


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CPE and Support (cont’d) Group Participation ‒ To receive credit:

Sign-in sheets must list a Proctor name and CPA license number. BDO USA professionals ‒ Submit your sign-in sheets using a General Training & Development Request

in BDO Service Now found at: BDOWorld > Applications & Resources > BDO Service Now > Click “Service Catalog” in the left menu, then under Training & Development, “Make a Request”.

Clients and contacts ‒ Email sign-in sheets to [email protected] within 24 hours of the webcast. Alliance members ‒ Should proctor their own group participants. This process is detailed in the

LearnLive Participant Guide, which can be found by searching “LearnLive Participant Guide” on the Alliance Portal. Call LearnLive Support below for questions.

Unfortunately, we cannot currently support group CPE for International Firms. Those wanting CPE must register and log in on their own computer.

Q&A: Submit all questions using the Q&A feature on the lower right corner of the screen. At the end of the presentation, the presenter(s) will review and answer all questions submitted. Technical Support: If you should have technical issues, please contact LearnLive:

Click on the Live Chat icon under the Support tab, OR Call: 1-888-228-4088

mailto:[email protected]


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@BDO_USA_Tax

With You Today

Cindy Frank, CPA Senior Director – Tax Process Transformation Services BDO USA, LLP 2201 E. Camelback Rd. Suite 360 Phoenix, AZ 85016 Direct: (602) 293-2366 [email protected]

Christina Alarcon Senior Manager – Tax Process Transformation Services BDO USA, LLP One Market, Spear Tower Suite 1100 San Francisco, CA 94105 Direct: 212-885-7269 [email protected]

Sarah Whitmyre, CPA Manager – Tax Process Transformation Services BDO USA, LLP One Union Square 600 University Street Suite 2528 Seattle, WA 98101 Direct: 206-403-4032 [email protected]

Barbara Torzewski Manager – Tax Process Transformation Services BDO USA, LLP 755 W. Big Beaver Suite 1900 Troy, MI 48084 Direct: (248) 244-6527 [email protected]

Joanne Rogers, CPA Senior Manager – Tax Process Transformation Services BDO USA, LLP 2201 E. Camelback Rd. Suite 360 Phoenix, AZ 85016 Direct: (602) 293-2390 [email protected]






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@BDO_USA_Tax

Current Corporate Tax Challenges

Tax department turnover

Lack of skilled ASC 740 professionals

Regulatory complexity & transparency

Globalization

Shortened close cycles

Inefficient data collection

Last minute changes

Increased auditor/SEC scrutiny


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@BDO_USA_Tax

*European Spreadsheet Risks interest Group

Benefits of Tax Software

Risk Management Reduced risk of spreadsheet errors

• Research has shown than 88% of spreadsheets contain errors*

o Formula errors can initially be immaterial

o Rolled over from year to year can become material

Cost of Material Weakness or Restatement

• Shakes investors’ confidence

• 6.8% loss in stock price within 60 days **

• Causes increased auditor scrutiny in future years

*European Spreadsheet Risks interest Group ** Glass, Lewis & Co. LLC


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@BDO_USA_Tax

1. Software alone is not the answer 2. Change management is crucial 3. Demo multiple packages 4. Do not start a project without enough budget 5. Don’t try to implement the software yourself 6. Hire a consulting firm with appropriate experience 7. Assign an internal point person to lead the project 8. Don’t spend months on the implementation 9. Ensure your department is properly trained 10. Ensure your department is properly supported

Top 10 Factors to Ensure a Successful Implementation


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@BDO_USA_Tax

Number 1 Software alone is not the answer

Process design is key!

Software alone won’t solve all problems.

Processes need to be integrated within the software platform.

Training is critical.

On-going improvements should be expected.


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@BDO_USA_Tax

Number 2 Change management is crucial

Change must involve people, not be imposed upon people Change can be unsettling

• It is human nature to fear the unknown

Communicate the vision and strategy, early and often

Support – both from the top as well as the bottom.

• Leaders must embrace the change and accept responsibility

• Team must be motivated to own the changes

Expect the unexpected

• Continually reassess the project and its impact


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@BDO_USA_Tax

Number 3 Demo multiple packages

There are multiple vendors on the market

Get demos of at least 3 products

• Create a decision matrix of pros and cons for each product

• Consider the use of each product’s technology

• Consider product’s ability to create tax analytics

Cost vs. Benefit

• The tool that works for one company may not fit your needs

• Consider the ease of integration of current reporting tools (Oracle, JD Edwards, Hyperion, Smartview tools)


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@BDO_USA_Tax

Number 4 Do not start a project without enough budget

Spend appropriate funds up front to save $$

Providers allow a phased approach to implementation

• Implementing too little can make you less efficient

Consider the resources available and timing of phases

• Can start with simply rolling deferreds in a system, then layer on automation the next year

• Some enhanced functionality can be overwhelming to tackle the first year


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@BDO_USA_Tax

Number 5 Don’t try to implement the software yourself

Corporate Tax Departments have limited resources

Focus your team on areas of strength

• Time spent setting up software doesn’t provide knowledge

• Existing day-to-day tasks will delay the implementation

Initial set-up is critical to ensure success

• Knowledge of best practices maximizes efficiency


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@BDO_USA_Tax

Number 6 Hire a consulting firm with appropriate experience

Successful implementations require proper knowledge

In-depth understanding of the software is critical

• Ensures efficiency and maximizes automation

• Process flow to existing software tools

• Ability to provide insight on best practices

Requires in-depth understanding of ASC 740

• Technical understanding translates to proper set-up

o FAS 123R, Disco Ops, purchase accounting

• Ability to spot technical issues in the provision process


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@BDO_USA_Tax

Number 7 Assign an internal point person to lead the project

Internal leader will keep project on track Ensure point person has appropriate skills

• Person should have significant tax provision experience • Person should be familiar with the software that is being

implemented

Ensure point person can focus solely on the project • Eliminate some daily tasks

Ensure point person has the authority to make decisions

• Avoids delays


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@BDO_USA_Tax

Number 8 Don’t spend months on the implementation

Get it done quickly to enjoy benefits Phased Implementations

• Implementation items should be prioritized • Reasonable milestones should be given to each phase

Don’t bite off more than you can chew • Implement only what you need currently • Extra “bells and whistles” can be added later

Time implementation to use of product • Gap between implementation and use of can cause learning

curve to be much curvier!


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@BDO_USA_Tax

Number 9 Ensure your department is properly trained

Customize training for user’s needs Timing

• Full system training near first use

• Separate component training for special issues

Users

• System Administrators vs. Data Providers

• Foreign Data Providers

• Management

• Auditors


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@BDO_USA_Tax

Number 10 Ensure your department is properly supported

Support is key to easing learning curve When?

• Support during “go live” • Continuing support throughout the year • As needed basis

Where? • Virtual • Onsite

Who? • Services Team • Software Vendor


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@BDO_USA_Tax

1. Software alone is not the answer 2. Change management is crucial 3. Demo multiple packages 4. Do not start a project without enough budget 5. Don’t try to implement the software yourself 6. Hire a consulting firm with appropriate experience 7. Assign an internal point person to lead the project 8. Don’t spend months on the implementation 9. Ensure your department is properly trained 10. Ensure your department is properly supported

Top 10 Factors to Ensure a Successful Implementation


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Questions and Answers


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@BDO_USA_Tax

Conclusion Thank you for your participation!

Certificate Availability: If you participated the entire time and responded to at least 75% of the polling questions, click the “Support” button below to access the print certificate button. Group Participation Reminder ‒ to receive credit:

Sign-in sheets must list a Proctor name and CPA license number.

BDO USA professionals and Clients and Contacts – email sign-in sheets to [email protected] within 24 hours of the webcast.

Alliance Members ‒ should proctor their own group participants. This process is detailed in the LearnLive Participant Guide on Alliance Portal > Resource Center. Call LearnLive Support for questions at 1-888-228-4088.

Unfortunately, we cannot currently support group CPE for International Firms. Those wanting CPE must have registered and participated from their own computer.

Please exit the course by clicking the “Exit” button in the lower right corner.



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Speaker Biographies


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@BDO_USA_Tax

Biography Cindy Frank, CPA

Cindy Frank, CPA Senior Director, Tax Process Transformation Services BDO USA, LLP 2201 E. Camelback Road Suite 360 Phoenix, AZ 85016 Direct: (602) 293-2366 [email protected]

Cindy is a Senior Director in the Tax Process Transformation Services practice. She is an experienced tax professional with over 22 years of experience in public accounting including 12 years with the Big Four.

Prior to joining BDO Cindy’s work has included all aspects of corporate tax compliance and planning in a variety of industries including entertainment, technology and retail & manufacturing. She also focused on corporate tax issues such as periods & methods, mergers & acquisitions as well as transaction analysis and reporting.

Cindy has a broad base of tax, accounting and consulting experience with a heavy emphasis on ASC 740 Accounting for Income Taxes, FIN48 Uncertain Tax Positions and tax department process design and improvement. She has over nine years of experience assisting multi-national companies in a variety of industries in the implementation, integration and use of OneSource Tax Provision Software (TaxStream). In addition, she has extensive experience in the preparation and review of year end and quarterly income tax provisions.

Cindy is a certified implementer of the OneSource suite of products including OneSource Tax Provision, Workflow Manager and Dataflow.

Using her experience in personnel management, project planning and budgeting, and efficient resolution of multiple tasks and deadlines, Cindy oversees the national sales and service delivery effort for our diverse base of clients.


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@BDO_USA_Tax

Biography Christina Alarcon

Christina Alarcon Senior Manager, Tax Process Transformation Services BDO USA, LLP One Market, Spear Tower Suite 1100 San Francisco, CA 94105 Direct: 212-885-7269 [email protected]

Christina has over nine years of professional experience, which have been focused on public accounting for corporate taxation for technology, life science, and consumer products companies.

Christina’s experience includes working with many Fortune 500 companies as well as those in the development stage. She has worked on a wide range of corporate tax compliance, including federal, multi-state and international (inbound and outbound).

Her area of focus is in corporate income tax provisions (ASC 740) and uncertainty in income tax accounting (ASC 740-10) for large global companies in both the private and public sector. Christina is also part of BDO’s tax technology group, focusing on the use of tax technology to improve process efficiencies, including the implementation of tax provision software such as OneSource Tax Provision.

In addition, Christina has experience in dealing with research and development tax credit studies, Internal Revenue Code Section 382 studies, state nexus studies, stock compensation issues, transfer pricing issues, and audit support.

Prior to joining BDO, Christina worked with a Big Four and several regional firms.


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@BDO_USA_Tax

Biography Barbara Torzewski

Barbara Torzewski Manager, Tax Process Transformation Services BDO USA, LLP 755 W. Big Beaver Suite 1900 Troy, MI 48084 Direct: (248) 244-6527 [email protected]

Barbara is a manager in the Tax Process Transformation Services practice at BDO. She is an experienced tax professional with over 10 years of experience in corporate tax accounting including SEC Corporations. Prior to joining BDO, Barbara’s work has included all aspects of corporate tax compliance, accounting and planning, primarily in the manufacturing industry. Barbara has a broad base of tax, accounting and tax automation experience with a heavy emphasis on ASC 740 Accounting for Income Taxes, management of all corporate tax compliance filings, Onesource Tax Provision (Taxstream), FIN48 Uncertain Tax Positions and tax department process design and improvement. In addition, she also has extensive experience in the preparation of year end and quarterly income tax provisions. Barbara is a certified implementer of OneSource Tax Provision.



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@BDO_USA_Tax

Biography Joanne Rogers, CPA

Joanne Rogers, CPA Senior Manager, Tax Process Transformation Services BDO USA, LLP 2201 E. Camelback Road Suite 360 Phoenix, AZ 85016 Direct: (602) 293-2390 [email protected]

Joanne has 12 years public accounting experience which includes 4 years with the Big Four. Joanne’s public accounting experience coupled with her time as a member of an in-house tax department gives her a broad base of knowledge in dealing with consolidated, multi-state taxpayers and income tax provision preparation including substantial insight into how a corporate tax department functions, allowing her to more thoroughly understand the perspective of her clients.

Joanne’s core competencies include TaxStream (OneSource Tax Provision) Implementation, ASC 740 (FAS 109) Preparation and Review, FIN48 Review, and tax compliance review and preparation. She has direct experience assisting multi-national, multi-state companies in a broad range of industries both private and publicly traded.

She is well versed in analyzing accounting and tax records for acquisitions and determining and evaluating book and tax basis differences and tax consequences.



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@BDO_USA_Tax

Biography Sarah Whitmyre, CPA

Sarah Whitmyre, CPA Manager, Tax Process Transformation Services BDO USA, LLP One Union Square 600 University Street Suite 2528 Seattle, WA 98101 Direct: 206-403-4032 [email protected]

Sarah is a Manager in the Tax Process Transformation Services practice. She currently works on provision process improvement projects utilizing a variety of software products. Before joining BDO she worked for Arthur Andersen and for large publicly traded companies primarily on managing complex tax provisions, and consolidated returns for multi-national entities. While working for Washington Mutual, Inc. she gained extensive acquisition and business reorganization experience, and was hands-on in over 6 general ledger and tax compliance integration projects. Leveraging a strong information systems background with a deep understanding of various taxing jurisdiction rules and GAAP requirements she chose to transition back to public accounting to help other tax departments automate their provision and compliance reporting and reduce the chance of restatements. She is a certified implementer of ONESOURCE Tax Provision and Organization Transfer Pricing software. She is also a certified Longview Tax Provision and Corporate Performance Management software implementer, and an expert user of Corptax, and Global Integrator provision software tools.


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BDO is the brand name for BDO USA, LLP, a U.S. professional services firm providing assurance, tax, financial advisory and consulting services to a wide range of publicly traded and privately held companies. For more than 100 years, BDO has provided quality service through the active involvement of experienced and committed professionals. The firm serves clients through 49 offices and more than 400 independent alliance firm locations nationwide. As an independent Member Firm of BDO International Limited, BDO serves multinational clients through a global network of 1,264 offices in 144 countries. BDO USA, LLP, a Delaware limited liability partnership, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms. BDO is the brand name for the BDO network and for each of the BDO Member Firms. www.bdo.com To ensure compliance with Treasury Department regulations, we wish to inform you that any tax advice that may be contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding tax-related penalties under the Internal Revenue Code or applicable state or local tax or (ii) promoting, marketing or recommending to another party any tax-related matters addressed herein. Material discussed in this publication is meant to provide general information and should not be acted on without professional advice tailored to your individual needs. © 2014 BDO USA, LLP. All rights reserved. www.bdo.com

Documents

@BDO USA Tax · 2014-04-10 · BDO KNOWLEDGE Tax Webinar Series ‒ Tax Department Automation: Top 10 Factors to Help Ensure Success Page 1 @BDO_USA_Tax BDO USA, LLP, a Delaware limited