True competitive advantage is about transformation. It ‘s about seeing beyond how things are typically done and recognizing the potential for how things can be. I’ve seen accounting visionaries who realize that by applying technology in a very strategic way they can take their financial management software—and their organization— to the next level. GSO is an example of such a visionary company that transformed its hedge funds ‘ financial management to gain competitive advantage.
GSO Credit Division of NY-based Blackstone Group is a leading global alternative asset manager and provider of financial advisory services. While it used an ERP enterprise software for managing company accounting, it knew that it needed a much more robust and agile accounting solution for the rapidly changing world of hedge fund accounting. Making the bold decision that it was better business to pay for additional accounting software that is innovative, rather than using its already-installed ERP software at no additional cost—the company recognized that there ‘s a cost for lost opportunity and a higher value for competitive advantage.“Management company accounting and fund accounting are two very different areas,” explained Patrick Ochs, CTO, GSO. “Management company accounting is a lot flatter, while the level of detail required on the & (profit and loss) reports for funds accounting is far more substantial. Having a detailed level of accounting data at our fingertips, along with the audit trails, is critically important to us.”
What did this mean for GSO? Among other benefits, GSO was able to transform how it uses accounting software to fulfill its business needs at the highest level, including:
- The ability of the system to support the needs of GSO managers who are operating at a rapid pace of business.
- The flexibility to calculate FX (foreign exchange rates), & accounting and track an individual level on a specific fund. GSO now can compare and calculate its actual investments on a very sophisticated, accurate and detailed level – and in real-time.
To learn more about GSO ‘s strategic decision on how they chose and implemented an innovative accounting solution to co-exist with their ERP software, watch the GSO success story today.
Transformation is all about making smart, strategic choices. There are many good stories and case studies of companies that embody innovation and transformation. We invite you to share your stories with us in the comment section below. Go ahead, brag a little and tell us your story. It ‘s a great way to promote innovative practices.
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