Record-to-report automation

Automation reshapes the entire record-to-report process by removing manual friction from the core R2R process and replacing it with consistent, system-driven execution. Instead of relying on spreadsheets, email approvals and repetitive data entry, organizations use process automation to standardize journal entries, intercompany accounting and reconciliations. This reduces human errors, strengthens audit trails and improves the integrity of the general ledger. As a result, the financial close process becomes more predictable, and the month-end close shifts from a reactive scramble to a controlled sequence of automated steps. Automation also helps streamline handoffs between accounts payable, accounts receivable and other finance functions that feed into R2R activities. By connecting upstream cycles such as procure-to-pay and order-to-cash, finance and accounting teams gain tighter control over the flow of financial data into reporting.

The broader impact extends beyond efficiency. With real-time visibility into R2R activities and continuous orchestration, the CFO and finance leaders gain access to reliable financial information earlier in the cycle. That accelerates financial reporting, improves forecasting and supports more confident decision-making. Instead of waiting for static reports, stakeholders can access real-time insights into performance, cash positions and variance analysis. This strengthens overall financial performance and protects long-term financial health. Finance Automation by Redwood makes this shift possible by automating the execution layer of finance — not just workflows — and enables finance teams to move from doing the work to reviewing the results.

R2R software is technology designed to manage and automate the record-to-report process, which includes journal entries and reconciliations. It connects the general ledger with upstream processes such as accounts payable, accounts receivable, procure-to-pay and order-to-cash to ensure accurate and complete financial data. Rather than serving as a digital checklist, R2R software drives the underlying accounting process and enforces standardized controls across entities. It helps streamline repetitive tasks, reduce reliance on spreadsheets and maintain complete audit trails for compliance.

Advanced R2R software also delivers real-time monitoring and automated notifications when exceptions occur. That gives accounting teams, the CFO and other stakeholders continuous insight into the status of the financial close process. By supporting multiple use cases across reconciliation, intercompany and journal automation, it creates a single environment for structured data management. The result is more consistent financial reporting, stronger governance and the ability to optimize operations as complexity increases. Finance Automation by Redwood leads this category by delivering orchestrated execution and orchestration that works natively with SAP and scales across the most complex global environments.

Record-to-report automation works by embedding process automation directly into the R2R process and allowing systems to execute tasks instead of relying on manual intervention. Automation tools integrate with ERP systems to extract data, validate entries, post journals to the general ledger and trigger downstream close activities. Automated workflows replace manual data entry, route approvals and generate system-based notifications when predefined conditions are met. This ensures R2R activities progress in the correct sequence during the month-end close and throughout the period.

As transactions flow in from accounts payable, accounts receivable and intercompany processes, automation standardizes validation and posting rules. That improves accuracy in financial statements and supports audit-ready documentation with detailed audit trails. Continuous real-time updates provide real-time visibility into task status, reconciliation progress and open issues. The CFO and finance leaders can then use these real-time insights to support faster decision-making and more accurate forecasting. By integrating execution, validation and reporting into a single orchestrated flow, record-to-report automation optimizes operational efficiency and control across the entire accounting lifecycle. Finance Automation by Redwood powers this flow by combining execution automation with orchestration to eliminate manual effort across journals, reconciliations, intercompany and close management.

A comprehensive record-to-report automation platform includes several core components that work together to streamline the record-to-report process. First is journal and general ledger automation, which manages recurring entries, like, provisions, accruals and reclassifications while enforcing validation rules. Second is automated reconciliation, which applies rules to transactions and flags discrepancies. Third is close management functionality that orchestrates dependencies across entities and supports the financial close process with structured workflows. Fourth is integrated intercompany accounting, which ensures transactions between entities are matched and resolved before final reporting. These components combine to optimize the operational and control aspects of the R2R process.

Beyond functional modules, the platform must support secure data management, embedded audit trails and role-based access to protect financial information. It should integrate with upstream finance cycles like procure-to-pay and order-to-cash to ensure completeness of financial data. Advanced platforms provide performance metrics and automated notifications for exception handling. They also incorporate intelligent automation capabilities that reduce manual intervention across R2R activities. These elements create a scalable foundation that supports accurate financial reporting and confident oversight from the CFO and executive stakeholders. Finance Automation by Redwood brings these capabilities together in one unified platform that offers native SAP execution and a proven model for orchestrating the most complex enterprise close cycles.

Automating R2R delivers measurable gains in operational efficiency by eliminating repetitive tasks and minimizing human errors in the accounting process. By standardizing workflows across the record-to-report process, organizations can streamline journal entries and reconciliation activities. This leads to a faster, more predictable month-end close and a more controlled financial close process overall. Automation also strengthens compliance through consistent validation rules and transparent audit trails. With improved accuracy in the general ledger, finance teams produce more reliable financial statements and improve the quality of financial reporting. These efficiencies directly support stronger financial performance and improved cash flow oversight.

The strategic benefits are equally significant. Continuous real-time visibility into R2R activities gives the CFO and leadership team access to timely financial information. That enables more accurate forecasting, stronger governance and faster informed decisions. Automation also supports scalable close processes across multiple entities, which reduce delays that can impact stakeholders and board reporting. When paired with orchestration and advanced analytics, R2R automation shifts finance from reactive reporting to proactive insight generation. Organizations that adopt this approach position finance as a driver of sustainable financial health and strategic decision support. With Finance Automation by Redwood, these benefits are no longer aspirational because they’re built into every close.