Company Overview

PT Indobagus Investama operates across multiple sectors in Indonesia, including mining (coal, nickel, granite, marble), oil palm and rubber plantations, and property development with projects spread across various islands. With geographically dispersed operations and multiple entities under one group, the business requires strong control over operational spending, approvals, and consolidated financial visibility at the holding level.

Situation (Before)

As operations expanded across remote sites and multiple subsidiaries, PT Indobagus Investama faced delays and inefficiencies in financial administration. Operational expense requests from field units were often slow and not well documented, making it difficult to trace and audit submissions properly. Verifying and approving expenses from remote or isolated sites became challenging due to limited visibility and inconsistent documentation flow. In parallel, transaction journals from different subsidiaries were not automatically consolidated, resulting in fragmented financial data at the group level. Bank reconciliation and accounts receivable/payable management were still handled manually, creating additional workload and slowing down the closing and reporting cycle.

Challenges

PT Indobagus Investama needed to solve four major issues:

1. Field operational expense submissions were slow and undocumented.
2. Difficulty in verifying and approving expenses from remote sites.
3. Journals from multiple subsidiaries were not automatically consolidated.
4. Bank reconciliation and AR/AP management were still manual.

Solution Implemented (After)

To create stronger governance while keeping subsidiary operations independent, PT Indobagus Investama implemented a multi-company structure with clear consolidation and access control:

1. Separate Entities for Each Subsidiary. Each subsidiary was created as a separate entity in the system, allowing operations to run independently while maintaining structured governance.
2. Company-Based Transactions with Holding Consolidation. Transactions were recorded per company, but could still be consolidated at the holding level—enabling a consistent group view without losing entity-level detail.
3. Consolidated Financial Reporting via Multi-Company Feature. Consolidated financial statements were made available through the multi-company feature, improving visibility for management at the group level.
4. Role-Based Access per Entity. User access rights could be restricted per entity based on operational needs, strengthening control, security, and responsibility separation.

Result

By implementing a structured multi-company approach, PT Indobagus Investama improved financial oversight across geographically dispersed subsidiaries while maintaining operational independence for each entity. The holding gained better visibility through consolidated reporting, and governance was strengthened through clearer entity separation and controlled user access—supporting more organized financial administration and group-level decision-making.