The TAURON Group’s subsidiaries maintain accounting ledgers which constitute the basis for preparing financial statements using ERP financial and accounting computer systems, enabling system audits of the correctness of the document flow and classifying of business events. Consolidated financial statements are prepared using an IT tool used to consolidate financial statements, providing system control with respect to the coherence and timeliness of preparing the consolidation data.
The TAURON Group’s subsidiaries have implemented IT and organizational solutions that provide control of access to the financial and accounting system and ensure adequate protection and archiving of the accounting ledgers. Access to IT systems is restricted based on applicable access rights assigned to authorized personnel. Control mechanisms are applied in the process of granting and changing access rights to the financial and accounting systems. The rights granted are also subject to periodic verification.
Due to the integration of the accounting functions and the transfer of the Group’s material subsidiaries’ financial and accounting services to CUW-R (Shared Cervices Center – Accounting), the Group’s financial and accounting processes were gradually unified. The subsidiaries adjusted their own procedures to the flow of the financial and accounting processes, taking into account the specifics of the individual segments.
The TAURON Group’s Business Model clearly distributes responsibilities with respect to the financial and accounting processes between the Company (indicated as the Corporate Center) and the subsidiaries and CUW R, indicating that the Corporate Center is the owner of processes associated with accounting and reporting of the TAURON Group. With respect to the tasks of the Corporate Center, strategic functions associated with the development of the model of operations and standards of the Group were indicated in the area of accounting and supervision of the implementation of standards in the accounting area in the subsidiaries and CUW R. Corporate Center is responsible for drawing up the financial statements of the Company and the consolidated financial statements of the TAURON Group. A clear split of responsibilities and strong emphasis on the fulfillment of the supervisory functions by the Corporate Center in relation to CUW R and the subsidiaries is, inter alia, aimed at improving the process of preparing the financial statements.