Egger, a family owned, multi‐billion Euro wood products manufacturer uses the recovery audit services of Customs Connect Ltd to identify and recover lost profits.
Headquartered in St Johann in Tirol, Austria, Egger’s operations include 17 plants and 25 sales offices globally. This complex business uses SAP as their ERP system, which is administered locally. Our data experts have extensive knowledge working with SAP, so we guided Egger’s regional teams through the download process to acquire the data to be audited.
The audit initially focused on identifying duplicate payments by analysing Egger’s ERP data. Concurrently, a statement audit was conducted to identify open items on suppliers’ ledgers not known to Egger from past trading years, as well as incorrectly coded invoices resulting in under-collection of Input VAT.
The audit was conducted partly onsite at Egger’s offices in Austria and partly off-site from our offices in the UK. We managed all of the audit work, from identification to documentation of claims, whilst Egger contacted suppliers themselves to recover monies owed. This process worked extremely well and the process was seamless.
Nikolaus Ahornegger, Head of Financial Accounting at Egger Group, commented:
“The Customs Connect team have been truly professional working with us to follow a bespoke process appropriate to our Global business. My team have worked hand‐in‐hand with Customs Connect to recover identified lost profits. The benefits of this project include unbudgeted revenues from recovered claims and process improvement recommendations from Customs Connect’s root cause analysis reports.”
Overall our benchmarks show within manufacturing businesses and from an accounts payable audit, €0.17 per transaction on average is recoverable and the results Customs Connect delivered to Egger were consistent with this benchmark.
Throughout the audit, as our knowledge and understanding of Egger’s business grew, we presented new areas of opportunity to Egger for consideration.
Find out how we can help with our Recovery Audit Services.