FiREapps PRODUCT: Currency Analytics Pro™
ERP ENVIRONMENT: Oracle
When a combination of rapid international growth, currency volatility, and a lack of visibility into exposure data began to negatively impact the Other Income line on theP&L statement, the treasury team at Plantronics acted quickly to implement a new process for managing foreign exchange.
A cross-functional group from treasury, accounting, tax, and IT worked together to correct multicurrency accounting and remeasurement issues and establish a systematic process for accurately identifying, understanding, and managing the
company’s true FX exposure and risk.
Today, using the cloud-based FiREapps FX management platform, Plantronics has dramatically reduced FX gain/loss variance and improved predictability in the P&L statement by:
- Achieving and maintaining better than 90 percent balance sheet forecast accuracy.
- Improving the effectiveness of the hedge program to keep forecast-to-actual FX gain/loss variance below $250k per quarter.
- Reducing the impact of foreign exchange on earnings from several cents per share to nearly zero.
Download the Plantronics, Inc. case study