Client Background

1. Multinational companies in the Philippines often face a dual challenge:

   • Local compliance with BIR and peso-based accounting.

   • Head office reporting in a multiple foreign currency.

2. Traditional ERP systems usually fall short, forcing accountants to rely on manual conversions in spreadsheets. Different companies, however, require different levels of multi-currency support.

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Challenges

1. Local vs HQ Gap – Systems recorded only in PHP, but HQ required reporting in other currencies.

2. One-Size-Fits-All Limitations – Some companies wanted full multi-currency ledgers, while others preferred to keep peso GL entries but still needed reports in HQ currency.

3. Manual Conversions – Finance teams spent extra time recalculating or reformatting FS for their head office.

4. Error Risk – Repeated Excel adjustments created opportunities for mistakes.

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Our Solution

NAYSA Solutions developed two flexible approaches for multinational clients

 

Option 1:  Multi-Currency Posting

1. Every transaction automatically posts in maximum of three (3) currencies.

2. Financial statements can be generated instantly in any supported currency.

3. Custom FS layouts were delivered to match HQ’s unique requirements.

 

Option 2:  Single-Currency Posting + Custom GL Reporting

1. Transactions remain recorded in PHP only, maintaining compliance and simplicity.

2. A custom GL report was developed to show transactions in their original currency, alongside peso equivalents.

3. Provides transparency for HQ reporting without altering the core accounting structure.

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Results

✅ Flexibility for Clients – Choice of multi-currency posting or custom reporting, depending on their needs.

✅HQ Reporting Simplified - Japanese and other foreign-owned companies now receive FS or GL reports aligned with their required currency.

✅ Error Reduction – Reduced reliance on manual Excel conversions.

✅ Local Compliance Fulfilled – BIR and local accounting standards fully supported.